However, on Friday, the gain in SMH was +0.30 pct, so the rest of the week was not as strong as it might appear.

And the other tech groups are not doing as well as the chip stocks, which themselves are topping out after being quite over-extended on the upside.

Exporters should do well here, but tech companies that import from Pacific Asia will experience higher costs in the months ahead.

Is there still a reason for U.S. Senators to be talking 27 pct tariffs on Chinese goods?

Well, I'm just waiting for some of those people in Washington to begin complaining that the currency revaluation in China that started this week is much too small, and too slow, and yada, yada. You haven't heard the end of this issue by a long shot, and it's going to get worse when the U.S. stock market starts to drop.

What traders have to be concerned about is more talk of U.S. protectionism, and trade war. Of course, politicians will say that these two concepts are mutually exclusive, but of course they are not.