The tech sector has been trending lower since the beginning of September and finally saw a gain in the past week, halting a three-week losing streak. Lam Research (LRCX) started falling a little earlier and ended up falling for six weeks, until it bounced back two weeks ago and then really jumped this past week. Looking at the weekly chart for the stock, the drop seems to have stopped at the 52-week moving average.
Looking at the chart a little more closely, I saw a trend channel of sorts. The lows from late 2018 and in the middle of 2019 connect with the recent low. The drop and recovery from February through May took the stock out of the channel, but that period in the market was somewhat of a black swan event. We also see that the highs from July ’18, February ’20, and August ’20 all connect to