“A break above that 50-day moving average could bring us as high as that 150-day moving average near $680,” Ross said, adding that the longer-term moving average has served as support for the past two years. “That reinforces its importance.”

For more aggressive traders who are watching for a potential break out, the Direxion Daily Semiconductors Bull 3x Shares (NYSEArca: SOXL) takes the 3x or 300% long daily performance of the PHLX Semiconductor Sector Index while the ProShares Ultra Semiconductors (NYSEArca: USD) reflects the 2x or 200% daily performance of the Dow Jones U.S. Semiconductors Index.

iShares PHLX Semiconductor ETF

For more information on the semiconductors sector, visit our semiconductors category.

Max Chen contributed to this article.