On Semiconductor Rises 3.03% to $59.52 as Bullish Technicals Signal Upside Potential

Candlestick Theory
On Semiconductor displays a robust bullish candlestick pattern, with three consecutive white candles culminating in a 3.03% gain to $59.52 on 2025-07-10. The extended lower wick on 2025-07-08 ($55.39 low, $57.615 close) signals strong rejection of lower prices, establishing $55.00–$55.50 as near-term support. Resistance is evident near $60.00, where the price peaked twice in July (2025-07-10’s $60.09 high and 2025-07-03’s $57.13 high). A decisive close above $60.00 may trigger further upside.
Moving Average Theory
The 50-day, 100-day, and 200-day moving averages exhibit a bullish alignment (50 > 100 > 200), confirming a long-term uptrend. The current price ($59.52) trades above all three MAs, with the 50-day MA providing dynamic support during pullbacks (e.g., $51.02 low on 2025-06-13 held above the rising 50-day MA). The 200-day MA’s upward slope reinforces structural strength.
MACD & KDJ Indicators
MACD likely shows a bullish crossover, with the histogram turning positive amid the recent rally, signaling accelerating momentum. KDJ oscillators reside in overbought territory (K and D lines >80), reflecting short-term exuberance. While this suggests consolidation risk, the MACD’s upward trajectory indicates room for continued upside before a material reversal.
Bollinger Bands
Price recently touched the upper Bollinger Band ($60.09), indicating stretched short-term valuations. The bands moderately expanded during the 3-day 8.99% surge, confirming increased volatility-driven momentum. A contraction below $59.00 could signal consolidation, but the consistent upper-band proximity underscores bullish dominance. Key support resides at the middle band ($56.50–$57.00).
Volume-Price Relationship
Volume surged 20% above average during the 5.50% rally on 2025-07-08 (8.98M shares), validating breakout conviction. Subsequent gains on elevated volume (7.05M and 8.44M shares) confirm sustainable accumulation. Conversely, the 3.52% decline on 2025-07-07 occurred on below-average volume, indicating weak distribution and reinforcing the bullish bias.
Relative Strength Index (RSI)
RSI (14-period) estimates at 72–75, entering overbought territory (>70). This aligns with KDJ’s overbought signal and near-term resistance at $60.00. Historically, similar RSI levels (e.g., during the 2025-06-04 rally) preceded brief consolidation, not reversals. RSI divergence is absent, suggesting any pullback may be shallow without trend damage.
Fibonacci Retracement
Using the swing low of $38.41 (2025-05-05) and high of $60.09 (2025-07-10), key retracement levels are 50% ($49.25), 38.2% ($51.80), and 23.6% ($54.50). Recent pullbacks consistently held above $51.80 (38.2%), most notably rebounding from $53.91 on 2025-07-02. This level now serves as major support. The 127.2% extension at $63.80 may attract price if $60.00 is breached.
Confluence and Divergence
Confluence exists between Fibonacci support ($54.50), moving averages (50-DMA near $54.00), and volume-backed price action, creating a robust floor at $53.50–$54.50. Divergence emerges in overbought oscillators (RSI, KDJ) versus MACD’s bullish momentum, implying short-term consolidation without trend reversal. The $60.00 resistance convergence (psychological level, upper Bollinger Band) is the immediate barrier; a volume-backed breakout could invalidate oscillator warnings.