The importance of the length of the linear regression channelYou can see here that a linear regression channel that starts as early as September 2022 explains why Micron shares are now rising.
MU trade ideas
MU - Time to build long positionMU is pulling back on low volume to fill the earning gap.
Started a small long position, this has scope to go further down to fill the gap completely.
If so, Around 95-96 is the good entry
Long around - 95-96
Stop Loss - 90
Target 1 - 120
Target 2 - 130
Target 3 - 135-140
$MU with a bullish outlook following its earnings #StocksThe PEAD projected a bullish outlook for NASDAQ:MU after a positive over reaction following its earnings release placing the stock in drift B with an expected accuracy of 75%.
97-100 per share soon. Long term buy structure See my blue zones below and buy when its in the zone.
This has seen to much selling pressure and just hit major support dating back a few years. Only way this fails is if the company looses its backbone during earnings.
MU 0.618 Fib retraction since gap -LONGMU has retracted to 0.618 Fib retraction since gap up with a little bounce, support in the area - long, target 131
MU ,bulls looks don't want to repeat past mistake Last time big gap was created and was filled much later ... this time bulls don't want to repeat the same mistake.. (looks like )
Micron Technology – New Growth Cycle Key Supporting Arguments
▪ Rising sales of AI-enabled smartphones and PCs
▪ Favorable pricing environment for memory chips in the upcoming quarters
▪ A quarterly report that will be released on September 25 is expected to be strong and provide a more positive outlook for this quarter and the year
▪ Micron Technology has resumed its buyback program
Investment Thesis
Rising sales of AI-enabled smartphones and PCs. The robust sales of AI smartphones, including Apple and Samsung devices, along with a new PC refresh cycle in the coming quarters, should bolster sales of the company’s memory chips. In the second quarter of 2024, sales of AI-enabled PCs increased by more than 100%, contributing 85% to the quarterly sales growth. According to IDC’s initial estimates, PC and smartphone sales growth will further accelerate in the third quarter, and the penetration of memory chip-intensive AI devices will continue to expand. Micron Technology’s management projects that AI-enabled PCs will have on average 40-80% more DRAM, and DRAM in AI smartphones will increase by 50- 100%, which will bolster the growth in demand for DRAM chips. Minimum SSD capacity for AI-enabled PCs has already doubled, while the expansion of SSD capacity in smartphones is driven by an increasing share of premium fullconfigured devices in total sales. Major U.S. telecommunications companies have independently reported extremely strong demand for iPhone 16, with consumers favoring more expensive models.
Favorable pricing environment for memory chips in the upcoming quarters. Recent data from TrendForce and comments from Micron management suggest that pricing environment remains favorable. DRAM chip prices are expected to rise by approximately 11% through the third quarter of 2024. Since August, Samsung and SK Hynix have raised the prices of DDR5 chips by 15-20%, and Micron will undoubtedly follow suit. This price increase, combined with a growing share of HBM sales, will significantly boost Micron’s ASP of DRAM chips in the fourth quarter. Although price trends in the NAND segment have been slightly weaker than expected because customers over-accumulated inventories in the first half of 2024 in anticipation of higher prices. Nevertheless, the overall positive trend in the NAND segment remains intact.
The quarterly report to be released on September 25 is supposed to be strong, with a more optimistic outlook for the quarter and the year. In early August, Micron Technology resumed its share buyback program, indicating management’s confidence in the company’s business performance. Ahead of the report, several investment firms have revised downward their financial forecasts for the company, which reduces the risk of unmet expectations. Contracts with industry leaders, anticipated price increases, and the rising shipments of HBM memory and SSDs for the B2B segment set a positive tone for Micron Technology, whose stock has been heavily oversold in recent months.
Our price target for Micron Technology (MU) over a two-month horizon is $109, with a “Buy” rating. We recommend setting a stop-loss at $78.
MU Micron Technology Options Ahead of EarningsIf you haven`t bought MU before the breakout:
Now analyzing the options chain and the chart patterns of MU Micron Technology prior to the earnings report this week,
I would consider purchasing the 90usd strike price Calls with
an expiration date of 2024-10-18,
for a premium of approximately $6.50.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
MU Update: Ready to Test New Highs?Continuing from my last two ideas on NASDAQ:MU , the double-bottom formation still has potential. There's an unclosed gap around $123 that should be closed, and I see similarities between the earnings surge back in March and the current one in September. If this plays out, my price target is $137.13, with a possible test of the all-time high at $157.
My Trade Plan: I'll be looking for a retest of the 150-day MA for support before entering, aiming for ~20% profit. However, it's crucial to monitor the volume closely.
What are your thoughts? Are you bullish or bearish on MU, and where do you see it heading next?
MU: Gap, Pause, Run?Someone recently showed me this 'simple strategy' and I've had some success with it. The idea is, a stock gaps up big, like MU did on this chart back in March and again on September 26th. After the gap up you watch for a pause. The pause can be a day, few days, or even a week, doesn't matter. If the stock falls back down and closes the gap (or get's close), the trade idea is over. But if it trades sideways for a bit and then breaks above the high of the initial gap up candle, in this case 114.80 on 9/26, you enter.
Entry: above 114.80
Volume: strong volume
Target: no target, close the trade when price closes below the 5 or 10 Moving Average.
Stop: depends on your risk tolerance; My plan is the low of the gap up candle, in this case 107.53.
This LONG swing trade idea is not trade advice and is strictly based on my ideas and technical analysis. No due diligence or fundamental analysis was performed while evaluating this trade idea. Do not enter a trade based on my idea, do not follow anyone blindly, do your own analysis and due diligence. I am not a professional trader.
Micron Technology (MU) Shares Surge by Approximately 15%Micron Technology (MU) Shares Surge by Approximately 15%
The US stock market is experiencing positive momentum following the much-anticipated decision by the Federal Reserve to cut interest rates this month. The S&P 500 (US SPX 500 mini on FXOpen) closed at a new all-time high, driven by yesterday's news of:
→ Steady US GDP growth at 3% annually
→ Low unemployment, with 218K jobless claims filed last week (forecast = 224K, previous = 222K).
One of the top performers on the stock market yesterday was memory chip maker Micron Technology (MU). As seen on the MU stock chart, yesterday's candle closed around the $110 level, up from below $95 at the start of the week.
The strong bullish momentum was driven by Micron Technology's quarterly earnings report. According to Barron’s:
→ Earnings per share reached $1.18 for the fourth fiscal quarter, beating analysts’ forecasts of $1.11;
→ Revenue grew by 93% year-on-year to $7.75 billion;
→ Micron Technologies expects revenue next quarter to be $8.7 billion, surpassing forecasts of $8.3 billion and significantly more than $4.73 billion for the same period last year;
→ Micron Technologies' CEO Sanjay Mehrotra stated that demand for AI "drove a strong ramp of our data-center DRAM products and our industry-leading high-bandwidth memory."
Technical analysis of the MU stock chart shows that the price is moving within an upward channel (marked in blue). Key points include:
→ In early September, a Rounding Bottom pattern formed near the lower boundary of the channel – a bullish sign;
→ In yesterday's broad bullish gap, the price exceeded the key $109 level, which previously acted as both support and resistance (indicated by arrows).
Bearish Outlook for MU Shares: Supply forces may emerge around the $109 level, forming a false bullish breakout, with the possibility of testing the psychological level of $100.
Bullish Outlook for MU Shares: Strong company fundamentals and a bullish stock market could drive MU shares towards the median of the upward channel.
According to TipRanks, Wall Street analysts forecast an average target price for MU shares of around $150 over the next 12 months.
This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Micron Technology - The perfect chart!NASDAQ:MU is one of these stocks, which just respects every level, cycle and structure.
If I would give each chart an individual rating, the chart of Micron Technology would be 10 out of 10. Micron Technology is actually respecting every structure level and providing textbook trading opportunities. If we get a retest of the previous all time high, which is now turned support and perfectly lining up with the support of the rising channel, I will certainly look for longs.
Levels to watch: $90
Keep your long term vision,
Philip - BasicTrading
MU: Trading Around a Critical Resistance Level!Since MU broke through its reversal point at $91.47, the stock has entered bullish territory, and has now reached our technical target at $111, which was set in our last public analysis on September 18, when the price was around $88 (link below this post).
Now that the technical has materialized exactly as expected, according to the evidence we had at the time, we can update our reading.
Daily Chart (Left):
Resistance at $111: The price has reached its resistance at $111, however, it needs to close above it to confirm a true breakout. If a top signal materializes below this area, then a pullback might occur.
Support at $96.18: Should a pullback occur, the $96.18 level, aligned with the 21-day EMA, can provide support. The price is comfortably trading above this area, which reinforces the bullish momentum.
Gap Resistance at $127.24: If the bullish momentum continues, the next major level to watch is the gap resistance at $127.24. Closing this gap could provide a significant boost for the stock, as it will have cleared a major technical barrier.
Weekly Chart (Right):
Double Bottom Pattern: A clear double bottom is forming around the $85 level, which typically indicates a potential reversal pattern. The price broke through the neckline at $111, but it needs to close above it to confirm this pattern.
Projected Target at $157.54: Based on the double bottom pattern, the potential target is around $157.54. This key point is the next technical resistance.
Conclusion:
MU is in a bullish phase, trying to break through the $111 resistance. With the double bottom pattern in play, the stock has room to test the $127.24 gap resistance and potentially extend toward the $157.54 target. However, should watch for possible top signals, as this could bring a pullback to the $96.18 support area, which may offer buying opportunities if the trend remains intact.
For more detailed technical analyses and insights like this, be sure to follow my account. Your support helps me continue providing valuable content to help you make informed trading decisions.
Remember, real trading is reactive, not predictive, so let's stay focused on the key points described above and only trade when there is confirmation.
“To anticipate the market is to gamble. To be patient and react only when the market gives the signal is to speculate.” — Jesse Lauriston Livermore
All the best,
Nathan.
Multiyear breakout with retest - Ultimate setupA Semiconductor stock which is a booming and potential industry for a long term view has emerged with one of the best technical setup.
Setup: Multi year (24 years) of consolidation and breakout with volume. This coupled with retest.
Can't ask for better stock
Target 101.45Following weekly chart, got a long signal from my screener.
TP 101.45 - 6% around
SL close under 86 candle close.
Micron Stock Soars 15% on Robust AI Demand and Strong OutlookMicron Technology (NASDAQ: NASDAQ:MU ) has made waves in the market following its fiscal fourth-quarter earnings, signaling a powerful comeback driven by robust demand in the AI sector. As a major supplier of memory chips, especially for Nvidia, Micron's performance not only beat Wall Street expectations but also positioned the company to achieve record-breaking revenue in the upcoming quarter. Shares surged more than 15% in premarket trading as global chip stocks rallied in response to the earnings report.
AI Fuels Micron's Impressive Growth
Micron's fourth-quarter revenue skyrocketed, reaching $7.75 billion, a nearly twofold increase compared to the same period last year. This growth can be directly attributed to the soaring demand for AI-driven technologies. The company swung to a profit of $887 million, or $0.79 per share, a stark contrast to last year’s $1.43 billion loss. The results exceeded analysts’ estimates, signaling a strong foothold in the AI market.
CEO Sanjay Mehrotra confirmed that the surge in demand is primarily from the AI sector, propelling Micron into fiscal 2025 with the "best competitive positioning in the company’s history." Looking ahead, the company expects first-quarter revenue to land between $8.5 billion and $8.9 billion, surpassing analyst expectations. The projected earnings per share (EPS) for Q1 between $1.46 and $1.62 also highlights Micron's potential to sustain this impressive growth trajectory.
Micron’s partnerships with AI giants like Nvidia, alongside the launch of its HBM (High Bandwidth Memory) chips, have been pivotal. These memory chips are essential for AI data centers and machine learning processes, further cementing Micron's role in the future of AI technologies. Notably, the company reiterated that its HBM chips are sold out through 2024 and 2025, showcasing the robust demand and limited supply of key memory components.
Global Chip Rally: Micron’s Surge Sparks Global Optimism
Micron's stellar results sent ripples through the global semiconductor market. Shares of rival firms Samsung Electronics and SK Hynix rose sharply in South Korea, with gains of over 4% and 9%, respectively. SK Hynix further boosted market confidence by announcing the mass production of its own HBM chips, designed for AI applications. The positive outlook extended to Europe as well, where Dutch semiconductor equipment maker ASML saw shares jump 4%, along with other industry players like Be Semiconductor and STMicro.
This surge highlights that Micron's strong earnings report is not just a victory for the company but also a signal of sustained AI demand, driving optimism across the semiconductor space.
Technical Outlook: (NASDAQ: NASDAQ:MU ) Breaks Through Key Levels
On the technical front, Micron's stock is showing strong bullish momentum. In premarket trading, NASDAQ:MU is up 15.44%, pushing it above its recent resistance levels and one-month high. The stock has now crossed its support pivot, positioning it to target the next significant resistance level around $130.
The Relative Strength Index (RSI) indicates that NASDAQ:MU still has room to run, as it remains neither overbought nor oversold. The daily price chart is also signaling a gap-up pattern, which is a key bullish reversal indicator. This pattern suggests that NASDAQ:MU may have successfully transitioned out of its recent downtrend, with the potential for further gains as the stock forms a more balanced and sustained upward trajectory.
Moreover, the stock's strong earnings report and upbeat future guidance provide fundamental backing for this technical breakout. As NASDAQ:MU breaks through these key levels, it opens the door for a sustained rally, especially with the AI demand narrative continuing to dominate the semiconductor sector.
Micron Poised for a Bull Run
Micron Technology's robust earnings, driven by its crucial role in the AI supply chain, have propelled the stock to new heights. Micron Technology (NASDAQ: NASDAQ:MU ) is poised for continued growth, especially as AI demand shows no signs of slowing down. With a record-breaking revenue forecast for the current quarter and strong technical signals pointing toward further gains, investors can look forward to a promising future for Micron in the booming AI era.
As the AI revolution continues, Micron's positioning as a key supplier of memory chips for AI applications will likely drive sustained growth, making NASDAQ:MU a stock to watch closely in the coming months.
What Lies Beyond the Horizon of Memory?In the ever-evolving landscape of technology, the horizon of memory has been pushed back further than ever before. Micron Technology, a pioneering force in the semiconductor industry, has once again redefined the boundaries of what is possible. Their recent financial performance, driven by the surging demand for AI-powered memory solutions, is a testament to their unwavering commitment to innovation.
Micron's Q4 results were nothing short of extraordinary. Revenue soared by an astonishing 93%, fueled by the insatiable appetite for data center memory chips that power AI applications. The company's strategic positioning as a leading supplier of High-Bandwidth Memory (HBM) has proved to be a masterstroke. HBM, a critical component in AI servers, has become a cornerstone of Micron's success, securing long-term contracts and commanding premium pricing.
Beyond HBM, Micron's diversified memory portfolio ensures a sustainable growth trajectory. The company's dominance in DRAM and Nand flash memory, essential components for personal computers, servers, and smartphones, positions it to capitalize on the ongoing surge in device shipments and the increasing integration of AI functionalities.
Micron's competitive edge is further solidified by its strategic investments in capacity expansion, including a new fabrication site in New York. This expansion not only reinforces Micron's position as a leader in the memory chip industry but also paves the way for future innovation and growth.
As the AI revolution continues to unfold, Micron's unwavering commitment to pushing the boundaries of memory technology remains steadfast. Their ability to anticipate and address the evolving needs of the market has positioned them as a key player in shaping the future of AI and beyond. The question that lingers is: what lies beyond the horizon of memory?
MU This gap is killing both longs and shorts this gap will be again created tomorrow , gaps normally do get filled sooner or later ... its just the matter of time
MU, Can it do it?There is a lot of hype for this name on X
The trendline from 2023 bottom has been holding strong as support and now we have the 200EMA as well.
I will likely take a stab at it above 91 targeting 100
MU 127 next target FibFun
This is what I found in most bullish and bearish retracements , once you get 100% retracement of up or down move then next level is normally 1.618. If it retrace up to 50% after 100% then it's even more bullish, if it goes under 50% after 100% then it's super bearish. Have fun finding 50-100% fib retracements.
MU Formed double bottom expected to hit 130MU Formed double bottom expected to hit 130.. it's a W pattern
What You Need to Know Ahead of Micron Technology Earnings ReportMicron Technology Inc. (NASDAQ: NASDAQ:MU ) is set to release its fiscal fourth-quarter earnings report after market close today, Wednesday, September 25, 2024. Investors are eagerly anticipating this report, as it could provide crucial insights into the state of the memory chip industry and the broader tech sector.
Key Takeaways:
- Analysts expect Micron (NASDAQ: NASDAQ:MU ) to swing to a profit this quarter, with year-over-year revenue expected to almost double.
- Key metrics to watch include inventory levels and guidance for the next quarter.
- Micron's relationship with Nvidia ( NASDAQ:NVDA ) and its role in the AI hardware space is expected to be a central focus.
Earnings Expectations:
For Q4 2024, analysts are forecasting revenue of $7.65 billion, a substantial jump from the $4.01 billion reported in Q4 2023. This rise is largely driven by the growth of Micron’s memory chips used in AI data centers and high-performance computing systems. Earnings per share (EPS) are expected to come in at 84 cents, a significant improvement from last year’s loss of $1.31 per share.
1. Revenue Growth:
Micron (NASDAQ: NASDAQ:MU ) is expected to post significant year-over-year revenue growth, fueled by strong demand for AI-related memory chips. The company's partnership with Nvidia has been a key driver in this sector, as high-bandwidth memory (HBM) used in AI data centers continues to see robust demand. Analysts believe Micron’s growth trajectory will be further accelerated by the ongoing AI boom.
2. Profitability:
After reporting losses last year, Micron (NASDAQ: NASDAQ:MU ) is anticipated to return to profitability with net income of $1 billion for the quarter. This marks a major turnaround, thanks to increased demand for high-performance memory and storage solutions used in AI, edge computing, and data centers.
3. Inventory Levels:
One key area to watch will be Micron’s inventory levels. The company has been dealing with growing inventories as demand for legacy memory chips has waned. Both Citi and Morgan Stanley recently lowered their price targets for Micron (NASDAQ: NASDAQ:MU ) due to concerns about high inventories and weak demand for older memory components. However, analysts expect inventory issues to ease by the end of the year, with improvements in gross margins and revenue in the coming quarters.
Business Outlook:
Looking ahead, analysts are optimistic about Micron’s potential growth. The AI-driven upgrade cycle is expected to drive demand for edge devices and data center memory solutions, while a possible server refresh could also provide tailwinds. Analysts estimate that Micron (NASDAQ: NASDAQ:MU ) will generate $8.4 billion in revenue in the first quarter of fiscal 2025, with EPS expected to rise to $1.45.
Market Sentiment:
Despite these positive views, some caution remains in the market. While Micron’s stock has gained about 10% year-to-date, it has also faced volatility, especially in the wake of mixed earnings reports from its competitors, such as Broadcom and Nvidia. This has led to reduced enthusiasm for the AI trade, though a positive earnings report today could reignite investor interest in AI-related semiconductor stocks.
Technical Analysis:
From a technical standpoint, Micron Technology stock (NASDAQ: NASDAQ:MU ) is showing signs of bullish momentum. As of today, the stock is up 1.50%, rebounding from a presumed downtrend. It is trading within a falling wedge pattern on the daily chart, a bullish reversal indicator. If Micron Technology stock (NASDAQ: NASDAQ:MU ) delivers a positive earnings surprise, the stock could break through the upper boundary of this pattern, leading to a potential rally toward its 200-day moving average around $105 and possibly higher toward the $130 resistance pivot.
Key Technical Indicators:
- Relative Strength Index (RSI): Currently sitting at 52.00, the RSI indicates a neutral stance, but given the earnings catalyst, the stock is poised for a potential breakout.
- Support Levels: The stock has solid support around $86. A drop below this level could signal further downside risk.
- Resistance Levels: Overhead resistance is found near $100, with the 200-day moving average acting as the next significant level to break around $105.
Investor Sentiment:
Investor sentiment in the options market has grown increasingly bullish in recent weeks. Call options far outweigh put options, with large positions held at the $95, $100, and $155 strike prices, expiring shortly after the earnings report. This suggests that traders are betting on a positive earnings outcome that could propel the stock higher.
Conclusion:
Micron’s earnings report later today is shaping up to be a pivotal moment for the company and its investors. Strong results driven by demand for AI-related memory chips could not only send the stock higher but also restore broader enthusiasm for the AI trade, which has faltered in recent months. However, traders will need to keep a close eye on inventory levels, management’s guidance, and market sentiment to assess the stock's future direction.
In short, Micron Technology stock (NASDAQ: NASDAQ:MU ) may stand at the cusp of becoming one of the biggest bargains in the semiconductor space, with upside potential fueled by AI and data center demand, but tempered by near-term concerns over inventories and legacy products.
MU , looks ready to breakout Since 20% of all AI spend goes to memory and given the past earnings were all beat top and bottom line, and stock is already beaten too much, I expect no matter what the earnings are stock will go up
