Chip stocks are bouncing back from a fresh bear market as Wall Street's safe havens slip

Chip stocks ended Monday in a fresh bear market, with the PHLX Semiconductor Index (^SOX) finishing Nov. 2 about 22% below its Oct. 6 peak and closing a second straight day under its 200-day moving average. Tuesday brought a rebound: nearly all chip and storage names in the S&P 500 rose early, led by memory and chip-equipment stocks, and the SOX climbed back above its July 29 low. Still, the iShares Semiconductor ETF (SOXX) must reclaim its 200-day average near $477. Next resistance levels are about $524 and $596. Analysts also flagged semis’ weight in the S&P 500 dropping from near 20% to 16%.