I am extremely bearish
on the semiconductor sector. In particular, Intel
Corporation (NASDAQ:INTC) for the reasons listed below. I am looking to short 5,000 shares of the stock at a price of $37.20 or higher. I am looking for a quick drop of $2+ for a $10,000 profit in a week or two. Any sector that rises over 50% in a year without a pull back, is a likely candidate. This is what has happened to the semiconductor index $SMH. Intel Corp
in particular has hit a double top
from 2014 which is why I am focusing on this as a big short. When an index is beyond extended and one of its biggest components has a double top
, the short is a high reward and low risk trade.