VanEck Semiconductor ETF (SMH)VanEck Semiconductor ETFBATS:SMHKalaGhaziThe price action in SMH is showing significant resistance at the $575-$580 zone. This rejection aligns with the semiconductor ETF testing the upper boundary of the 1-day Hull Moving Average (HMA) ribbon, a key technical indicator that defines the prevailing trend structure. This rejection at a major technical confluence is particularly noteworthy because SMH is also forming a rounding top pattern on the daily chart. This pattern is a classic bearish reversal formation that typically occurs after a sustained uptrend, signaling that buying momentum is waning and distribution may be taking place. Key levels to monitor: Resistance: The $575-$580 zone and the top of the 1D HMA ribbon remain the primary hurdle for any bullish continuation. Support: A decisive break below the neckline of the rounding top pattern would provide stronger confirmation of a bearish reversal. This would likely target lower support levels, with the first significant level to watch being the $540-$550 area. Further selling pressure below the current levels would validate the bearish signals and could trigger a more pronounced technical pullback.