Opinion: Neocloud and memory sectors are experiencing position clearing; pullbacks often present the best buying opportunities.
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U.S. stocks closed lower across the board, with semiconductor, memory, and optical communication sectors leading the declines. The Philadelphia Semiconductor Index fell 4.65%.
According to BlockBeats, on July 8th, based on BIT (bit.com) market data, the US reinstated military strikes against Iran and oil sanctions. As a result, all three major US stock indices closed lower: the Dow Jones Industrial Average fell 0.25%, the Nasdaq Composite fell 1.16%, and the S&P 500 fell 0.45%. The semiconductor and memory sectors declined, with the Philadelphia Semiconductor Index falling 4.65%, and SpaceX falling nearly 7%, hitting a new low since its IPO. The memory sector saw the largest declines, with Western Digital (WDC) down 7.86%, Seagate Technology (STX) down 4.68%, Micron Technology (MU) down 4.71%, and SanDisk (SNDK) down 7.26%. Semiconductor stocks generally declined, with Lam Research (LRCX) down 6.87%, Applied Materials (AMAT) down 6.46%, Marvell Technology (MRVL) down 7.45%, KLA-Tec (KLAC) down 7.22%, AMD (AMD) down 6.51%, and Intel (INTC) down 9.66%. Optical communication concept stocks also faced pre-market pressure, with Astera Labs (ALAB) down 11.12%, Ciena (CIEN) down 3.44%, Coherent (COHR) down 6.43%, Lumentum (LITE) down 4.42%, and Corning (GLW) down 4.84%.
US stocks saw the Nasdaq under pressure in overnight trading, but the semiconductor and memory sectors rebounded strongly, with memory chains leading the gains among tech stocks.
According to Mars Finance, on July 6th, based on BIT (bit.com) market data, the three major US stock indices diverged in overnight trading. The Dow Jones Industrial Average rose 1.14%, the S&P 500 was essentially flat, and the Nasdaq Composite fell 0.8%. Market structure indicates that funds continued to rebalance within growth stocks, with traditional heavyweights and value sectors showing relative strength. Within the technology sector, however, divergence and volatility were observed, although the semiconductor and memory sectors clearly exhibited independent rebounds, driven by the need for valuation repair after previous corrections. NVIDIA (NVDA) rose 0.17%, TSMC (TSM) rose 2.11%, Marvell Technology (MRVL) rose 1.94%, Seagate Technology (STX) rose 3.39%, Western Digital (WDC) rose 4.91%, SanDisk (SNDK) rose 5.85%, and Micron Technology (MU) rose 4.36%.
Trading Viewpoint: Asian memory stocks rebounded strongly after testing the 50-day moving average; positions in Kioxia and SK Hynix have been covered.
According to Mars Finance, on July 3rd, trader 3X Long Labubu stated that during the Asian trading session today, memory stocks Kioxia and SK Hynix rebounded strongly after testing their 50-day exponential moving averages. Coupled with a 30-minute pivot point signal, he decided to repurchase these two memory stocks, using the 50-day EMA as a stop-loss level. The trader decided to adjust his strategy to selectively add to his positions, while hoping that Micron and SanDisk would replicate similar price movements next Monday. The trader believes that the South Korean KOSPI index, as a leading indicator of the semiconductor cycle, should be closely monitored, especially its 50-day moving average.
US stocks fell in pre-market trading, with semiconductor and memory sectors generally declining; SanDisk and Micron both fell more than 3%.
According to BlockBeats data, on July 1st, in pre-market trading, S&P 500 futures fell 0.32%, Dow Jones futures fell 0.35%, and Nasdaq 100 futures fell 0.54%. The semiconductor and memory sectors declined, with the following stocks falling: Nvidia (NVDA) down 0.93%; Intel (INTC) down 1.18%; AMD (Advanced Micro Devices) down 1.18%; Qualcomm (QCOM) down 0.2%; Seagate Technology (STX) down 1.72%; Western Digital (WDC) down 1.91%; SanDisk (SNDK) down 4.47%; Micron Technology (MU) down 3.06%.
In pre-market trading on the US stock market, semiconductor, memory, and optical communication sectors continued their decline, with Micron and SanDisk both falling by more than 5%.
According to Mars Finance, on July 8th, based on BIT (bit.com) market data, semiconductor stocks generally fell in pre-market trading in the US. Marvell Technology (MRVL) fell 4.46%, Arm (ARM) fell 3.51%, Intel (INTC) fell 3.47%, Lam Research (LRCX) fell 3.11%, and Applied Materials (AMAT) fell 2.85%. The memory sector saw the largest declines, with SanDisk (SNDK) falling 5.59%, Micron Technology (MU) falling 5.28%, Western Digital (WDC) falling 4.53%, and Seagate Technology (STX) falling 4.19%. Optical communication concept stocks also came under pressure, with Astera Labs (ALAB) down 4.57%, Applied Optoelectronics (AAOI) down 4.47%, Credo (CRDO) down 4.42%, Corning (GLW) down 4.22%, Ciena (CIEN) down 3.69%, and Coherent (COHR) down 3.44%.
James Wynn suffered a total loss of $22.06 million, with his 50x leveraged short position in the S&P 500 experiencing four partial margin calls within six days.
According to Onchain Lens Odaily, James Wynn (@JamesWynnReal)'s 50x leveraged short position in the S&P 500 has been partially liquidated four times in the past six days. The current position is 149.34 units, valued at $1.13 million; the opening price was $7373.44, the mark price was $7537.55, and the liquidation price was $7555.59. This position currently has a floating loss of $24,500, an ROE of -108.83%, and the liquidation price is 0.24% higher than the current mark price. The partial liquidation loss over the past six days is $28,400, with a cumulative loss of $22.06 million.