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AwesomeAvani
Mar 21, 2024 5:01 PM

MU breaks through ATHs Bullrun does not relent LONG Long

Micron Technology, Inc.NASDAQ

Description

MU on the monthly chart 4 weeks ago crossed above the previous ATHs of 2021-2022 and has

risen without retesting. Adding $9 to the all time highs for 10% inflation since then would adjust

them to $104 and price is now in that range and above. Price is in the uppermost anchored

VWAP bands and thus prone to reversal. However, MU is not as overextended as NVDA. Its

upside is likely there as it competes in the space. Growth will accelerate once the new chip

plant in upstate NY comes online after the construction is completed. NVDA is reportedly

looking at Vietnam. I already have a large sized position in MU. I will add to it now even

if it may be overbought. There is good cause for the overbuying. I want to support the domestic

economy and understand national security interests in chip manufacturing here in the USA

consistent with the recent federal law and stimulus associated with it.

Trade active

Direct from FOX News more on my comments about domestic chip manufacturing for purposes of national security. foxbusiness.com/technology/intel-plans-us-building-spree-thanks-billions-federal-chip-subsidies

Comment

Zoom in- trade now risk free and much unrealized profit existing call options
and shares as well as new call options for 2026. Explosive high tight ull flag printed.
Expecting consolidation with equilibrium between new greedy chasers and longs
taking profit and shorts looking at downside profits. Holding all positions. No adds
all have trailing stop losses to protect risk-on large positions.

Trade active

MU sideways today but with some up and down range in the middle of it.
Trade plan after the weekend consolidation for the upcoming week with Friday closed:

Add 10% to the position on Monday after the opening bell. Sell 25% at the morning
high on Thursday. Deploy profits into another IT stock on Thursday afternoon from
cash balance while awaiting settlement. Under consideration, are Unity, Texas Instruments, PANW, and ANET. One criterion will be a stock that is at least 10% below ATH which narrows things down quickly.

Comment

Monster Monday price action. Sold a piece at the top = took another piece
in the NY lunch hour
Comments
jagosto4110
thank you
AwesomeAvani
@jagosto4110, you're welcome. Good luck in your trading!
imranms2009
what is short term target
AwesomeAvani
@imranms2009, Short term is maybe two weeks ? I am looking at $ 120 . past ATH in blue sky flying high it will take quite a bit to drag it down. a lot of fuel ( volume)
and some investors tired of NVDA. Time will tell. the returns on my MU call options have been obscene- i will admit they are more than 10X since last fall. I take some off and put some back on a regular basis watching the weekly chart. I salute MU for building a new chip plant in New York.
jimbob2
@AwesomeAvani This seems a lot more interesting. I'm still holding very few intel. I would like this stock at 100usd to buy at. Regards.
AwesomeAvani
@jimbob2, Yeah I am a dip buyer myself. These AI plays are strong and the dips are bought up quickly with algos running off servers. Hard to get the entries. I am content with joining the trend continuation. setting a relatively tight ATR stop loss and hoping for the best. Looking at Unity Software which appears to be reversing from downgoing. Cannot figure out why it sold off after a big earnings beat. It is a chance to get a new trend early instead of chasing, which I agree is often a mediocre strategy. If it drops to $100 I will double up everything. I am up mid five figures on MU since buying options near the first of the year. Yet unrealized. My call options for July have a 25% stop loss on them so a pullback of 5% or more will trigger them. They are up more than 10x but happy to let them run. $100 share price will close them out. In the shadows, I hurt for bargains. Unity is under consideration. Another is a blast from the past Texas Instruments, perhaps a sleeper ready to wake up.
AwesomeAvani
@jimbob2, Yeah I would l like that also but have no expectations that it will happen in the short-term. Besides I have a large unrealized profit in this play and am protecting
it with a tight stop loss as well as a couple of put options at 125 for hedging / insurance.
jimbob2
Excellent. Thanks for that. I will do a boring limit order when possible.
AwesomeAvani
@jimbob2, see also my private idea on INTC might be in your comfort zone and not a buy in the heavy overbought area that is sometimes a bit chaotic
AwesomeAvani
@imranms2009, As you probably know- MU hit the target I quoted this morning. New target will be set. Partial taken. Loading more.
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