Skip to Content
Symphonies
Super Semiconductors | Dereck Nielsen
Today’s Change
—

A symphony is an automated trading strategy — Learn more about symphonies here

About

Rides semiconductor uptrends but cools off when the market overheats. Uses a market filter, trend checks, and buy‑the‑dip rules to shift among chip leaders, SMH, short‑term bonds, volatility hedges, or inverse chip funds.
NutHow it works
Market filter: If the S&P 500 (SPY) is in an uptrend (short‑term avg > 200‑day), focus on chips (SMH). If SPY looks overheated (RSI = hot/cold meter), park in hedges (volatility, bonds, dollar). Chip timing: A trend gauge (MACD) then picks either the 3 strongest chip stocks, a 50/50 SMH + short‑term Treasuries mix, or a buy‑the‑dip in SMH/SOXL when deeply oversold. If SPY trends down, it turns defensive: short‑term bonds or inverse chip ETFs (SOXS/SSG), with rare short bounces via SOXL.
CheckmarkValue prop
Semis-focused strategy with disciplined hedging. Out-of-sample: ~39.6% annualized return vs SPY ~20.4%, delivering stronger upside in chip cycles. Managed risk via trend timing and buy-the-dip, but expect larger drawdowns (~42% vs ~19%).

Loading backtest data...

Invest in this strategy
OOS Start Date
Jul 27, 2023
Trading Setting
Threshold 5%
Type
Stocks
Category
Semiconductors, trend following, momentum, tactical hedging, leveraged etfs, volatility, bonds, defensive stocks, u.s. dollar
Tickers in this symphonyThis symphony trades 32 assets in total
Ticker
Type
ADI
Analog Devices, Inc.
Stocks
AMAT
Applied Materials Inc
Stocks
AMD
Advanced Micro Devices
Stocks
ASML
ASML Holding NV
Stocks
AVGO
Broadcom Inc. Common Stock
Stocks
BSV
Vanguard Short-Term Bond ETF
Stocks
INTC
Intel Corp
Stocks
KLAC
KLA Corporation Common Stock
Stocks
LRCX
Lam Research Corp
Stocks
MCHP
Microchip Technology Inc
Stocks

FAQ

A Composer symphony is an automated trading strategy that executes trades based on parameters of your choice. Some symphonies are similar to holding one ETF in normal conditions and rotating to a different ETF when market conditions shift, for example a 5% drop in the S&P 500, while others use complex rules with dozens of triggers. However, complex doesn’t always mean better. A simple, well-structured symphony can be just as effective as an intricate one. Learn more about how symphonies work here.

"Super Semiconductors | Dereck Nielsen" is currently performing the same as yesterday today. Performance updates in real time during market hours.

"Super Semiconductors | Dereck Nielsen" is currently allocated toMU, AMATandLRCX. Holdings automatically adjust as market conditions change based on the strategy's rules.

Year-to-date, "Super Semiconductors | Dereck Nielsen" has returned 41.14%. You can adjust the performance chart above to view returns across different time horizons.

The maximum drawdown for "Super Semiconductors | Dereck Nielsen" is 42.44%. The maximum drawdown measures the largest peak-to-trough decline. It's an important metric to evaluate risk and the strategy's behavior during market stress.

To invest in "Super Semiconductors | Dereck Nielsen", simply click the Invest button on this page. You'll need to open an account with Composer if you don't have one yet, then you can start investing. Composer will automatically execute the trades for you based on the strategy's rules. Composer also supports trading individual stocks, ETFs, and options.