It's me again, Insider. When prices surge, first look at where the money is coming from.
Let me put the conclusion up front: SOXL has broken out on rising volume, but the bullish structure hasn't been confirmed yet, so I'm staying neutral. The current price is 103.99, up 4.9% in 24 hours, with a trading volume of $3.160 billion. It's still 1% below the 24-hour high, which means the price couldn't hold on to the very top after surging. The taker buy/sell ratio is 1.14, so buyers are indeed pushing the price higher. Short-term momentum is strong, but it's not enough for confirmation. The large-trader long/short ratio is 5.86, with 85% of large-trader accounts holding longs. They're adding to their long positions, but such extreme readings often show up near interim highs, so I wouldn't treat this as a reason to chase the rally. There are just two key levels: a move above 104.88 would show that this breakout can continue, and I'd turn bullish; a drop below 103.22 would show that the high-volume surge was a false move, and I'd turn bearish. Right now, the price is sitting in the upper-middle of that range, and neither side has made its case. I'd rather wait and see. Maybe I'm reading too much into it again; if the data changes, I'll say so plainly.
I only comment on market trends I understand. If I don’t understand them, I’ll just say so.
— Insider Jun · Today’s first post: I’ve reached a conclusion, and I’ll come back to see how it holds up.
📌 Want to keep up with market trends? Tap my profile to follow “Insider Jun,” or search for ChainSeer in the Square to find me (updated several times a day).