Evaluation of SOXL ETF downgraded after the last trading session

The SOXL ETF price fell by -1.81% on the last day (Monday, 5th May 2025) from $13.29 to $13.05. During the last trading day the ETF fluctuated 4.20% from a day low at $12.87 to a day high of $13.41. The price has risen in 6 of the last 10 days and is up by 49.83% over the past 2 weeks. Volume fell on the last day along with the ETF, which is actually a good sign as volume should follow the ETF. On the last day, the trading volume fell by -97 million shares and in total, 122 million shares were bought and sold for approximately $1.59 billion.

The ETFhas broken the very wide and falling short-term trend up. Firstly a slower falling rate is indicated, but this may very well be an early signal of a trend shift. On the reaction, there will be support on the roof of the current trend broken, which is $12.94, a level that may pose a second chance to hit a runner. According to fan-theory $23.95 will be the next possible trend-top level and thereby pose a resistance level that may not be broken at the first attempt.

Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. The SOXL ETF holds a buy signal from the short-term Moving Average; at the same time, however, the long-term average holds a general sell signal. Since the longterm average is above the short-term average there is a general sell signal in the ETF giving a more negative forecast for the ETF. On further gains, the ETF will meet resistance from the long-term Moving Average at $13.71. On a fall, the ETF will find some support from the short-term average at $12.44. A break-up through the long-term average will give another buy signal, while a fall below the short-term average will add another sell signal and strengthen the general signal. A sell signal was issued from a pivot top point on Friday, May 02, 2025, and so far it has fallen -1.81%. Further fall is indicated until a new bottom pivot has been found. Volume fell together with the price during the last trading day and this reduces the overall risk as volume should follow the price movements.

SOXL finds support from accumulated volume at $12.77 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

This ETF may move very much during the day (volatility) and with a very large prediction interval from the Bollinger Band this ETF is considered to be "very high risk". During the last day, the ETF moved $0.540 between high and low, or 4.20%. For the last week, the ETF has had daily average volatility of 7.17%.

SOXL holds several negative signals and we believe that it will still perform weakly in the next couple of days or weeks. We, therefore, hold a negative evaluation of this ETF.Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this ETF since the last evaluation from a Hold/Accumulate to a Sell candidate.