I don't know just spit balling, But I was a betting man... Which from time to time I am; I would bet that MU is going to the bottom extreme of the pitch fan. Also, I'm not giving anyone advice. I'm just drawing lines on a graph. You know; For funsies.
Outlook:
- bear flag on 1H time frame
- Above 43.93, bear flag will be invalidated.
- Price still above both EMA 12 &26, that means the bulls have an upper hand.
- Below 42.99 -> bearish
- Above 43.93 -> bullish
Micron has had many issues of late, particularly with the commentary from analysts, yet another downgrade today hampered its chance of advancing. We will look for a break of $44.
We are currently sitting on the original kick-off line dating back to 1993. This line may provide the support for an eventual move towards the 2000 ATH of 98+
Micron is just screaming out to the value investor in me, and I've been waiting for their earnings call. Apparently a lot of others have, too, and I suspect that the news is no where near as dire as predicted with a resurging confidence in their future revenue growth potential from recent acquisitions of 3D development processes that they developed in conjunction...
So I made some money flipping GM puts this morning, I decided to go and buy MU puts with the profits. WIth DRAM prices down significantly since last earnings, I expect their guidance to suck.
As you guys already know, earnings are a crap shoot. Keeping to a small amount on this. Safer play would be to go with April puts on some other chip stock or SMH (sector ETF).
LONG TERM TRADE. ONLY FOR THE PATIENT.
On Thursday, $AVGO (Broadcom) earnings call called for a bottom in the semi business in Q2. With that being said, $MU is looking like a good setup for a long term swing trade. In December, we see micron bounced at $28 and rallying to $43. Now we are currently sitting on the 9 day avg line (1 week time frame). I have chosen...
