Bittersweet Chips

Small caps are notably outperforming the major averages today, a change of pace which I am sure bulls are enjoying. In addition, we know that energy, retail, and biotech are also acting rather well.

One sore spot, however, is the SMH (ETF for the semiconductors) flashing red as I write this. 

Three of the larger chips, INTC QCOM TXN, have been acting less than favorable for a good while now, even if the NVDA run has been legendary. True, a chip like SWKS is green and sporting an impressive daily chart base.

But the titans in the group, like TXN (below on the daily chart, losing a base at its 20-day moving average) are vulnerable to seeing outflows away from chips and down to the retail and energy sectors attempting to carve out mid-winter bottoms. 

I will update some specific ideas off this analysis, long and short, in my usual Midday Video for Members coming up.