The Great Semiconductor Washout: What Wall Street Is Missing
The washout opportunity?
Semis are bouncing from critical technical support, but the more interesting story is what sits beneath the surface. Positioning has cleaned up, valuations have reset, and fundamentals remain surprisingly resilient, from memory pricing to Korean semiconductor activity. Meanwhile, CTAs have dumped nearly $3bn of Nasdaq futures just as the market reversed higher. With a big earnings week ahead and seasonal tailwinds kicking in, the question is whether the recent washout has created the conditions for a more sustained rebound.