Friday, the semiconductor sector was hammered. SOXX lost 5.64% in a single day, dropping straight from 625 to 589. A massive red candle with 11M volume—someone is rushing to unload.

The 589 level is interesting—it just touched the 20-day moving average. Over the past three months, every time it returned here, it bounced back. But this time is different: previous pullbacks had shrinking volume; Friday's drop was a real, heavy-volume sell-off.

Keep an eye on two key levels next week. If 589 breaks, the next decent support is around 530—there's a hundred-point gap with no buffer zone in between. If it holds, 617 is the first resistance.

I don't think this is a trend reversal. The moving average structure is still intact, and long-term capital hasn't fled yet. But Friday's candle is right there—let's see how it holds early next week. If Monday opens lower, I'd rather wait and watch.

Semiconductors are one of the most crowded trades this year. This kind of sharp decline is actually healthy—it flushes out weak hands. The question is how deep.