Semiconductor Bear 3X Direxion (SOXS): Following the Stochastic RSI on These Shares

Watching the numbers for Semiconductor Bear 3X Direxion (SOXS), we have recently spotted a possible bearish divergence using the 14 day Stochastic RSI. Traders may be tracking this reading to identify possible near-term weakness.

Tracking other technical indicators, the 14-day RSI is presently standing at 24.68, the 7-day sits at 18.83, and the 3-day is resting at 19.98 for Semiconductor Bear 3X Direxion (SOXS). The Relative Strength Index (RSI) is a highly popular technical indicator. The RSI is computed base on the speed and direction of a stock’s price movement. The RSI is considered to be an internal strength indicator, not to be confused with relative strength which is compared to other stocks and indices. The RSI value will always move between 0 and 100. One of the most popular time frames using RSI is the 14-day.

Interested traders may be keeping an eye on the Williams Percent Range or Williams %R. Williams %R is a popular technical indicator created by Larry Williams to help identify overbought and oversold situations. Semiconductor Bear 3X Direxion (SOXS)’s Williams Percent Range or 14 day Williams %R currently sits at -90.46. In general, if the indicator goes above -20, the stock may be considered overbought. Alternately, if the indicator goes below -80, this may point to the stock being oversold.

Currently, the 14-day ADX for Semiconductor Bear 3X Direxion (SOXS) is sitting at 30.68. Generally speaking, an ADX value from 0-25 would indicate an absent or weak trend. A value of 25-50 would support a strong trend. A value of 50-75 would identify a very strong trend, and a value of 75-100 would lead to an extremely strong trend. ADX is used to gauge trend strength but not trend direction. Traders often add the Plus Directional Indicator (+DI) and Minus Directional Indicator (-DI) to identify the direction of a trend.

After a recent look, Semiconductor Bear 3X Direxion (SOXS) has a 50-day Moving Average of 23.37, the 200-day Moving Average is 33.06, and the 7-day is noted at 18.54. A popular tool among technical stock analysts is the moving average. Moving averages are considered to be lagging indicators that simply take the average price of a stock over a specific period of time. Moving averages can be very useful for identifying peaks and troughs. They may also be used to help the trader figure out proper support and resistance levels for the stock.

Traders may be relying in part on technical stock analysis. Semiconductor Bear 3X Direxion (SOXS) currently has a 14-day Commodity Channel Index (CCI) of -109.02. Despite the name, CCI can be used on other investment tools such as stocks. The CCI was designed to typically stay within the reading of -100 to +100. Traders may use the indicator to determine stock trends or to identify overbought/oversold conditions. A CCI reading above +100 would imply that the stock is overbought and possibly ready for a correction. On the other hand, a reading of -100 would imply that the stock is oversold and possibly set for a rally.