Analysts Warn SOXX Shows Bearish Divergence Despite Record Highs

Analysts warn that technical indicators for the iShares Semiconductor ETF (SOXX-US) show bearish divergence, signaling weakening momentum despite the ETF reaching record highs this week. The Relative Strength Index (RSI) has failed to re-enter overbought territory, even as SOXX closed at a new peak on June 18, 2026, up 6.62% for the day. BTIG technical analyst Jonathan Krinsky noted "momentum is clearly waning," with the RSI showing lower highs and lower lows since April 24, 2026, despite SOXX's price continuing to climb. The ETF's RSI currently stands at 64.43, failing to surpass 70, a level typically indicating overbought conditions. Similar bearish divergences preceded significant pullbacks, including a 15.8% drop in March 2026 and a 46.2% decline in late 2021. Krinsky warns of a "high risk" for a "shakeout" to the 50-day moving average, currently around $508.14, approximately 20.5% below its recent close.