Micron short term consolidation looks attractive

Back in December 2014 Micron was a $36 stock, before gradually losing 3/4 of its value and bottoming out at $9.31 on January 20, 2016. After that, MU came under pressure in February and again in May, but the January lows held each time. Since mid-May the stock has sprinted up 30%, before consolidating its gains over the past week.

MU 2 year chart, via FreeStockCharts.comMU 2 year chart, via FreeStockCharts.com

As the chart shows, MU is consolidating just below its 200 day SMA, while the 10 day SMA is catching up from below. This to me looks like a very attractive pattern.

Beyond the purely technical, there are fundamental aspects to the MU story that I find interesting, but I will leave those for another post.

Disclosure: I am long MU stock.

June 8, 2016 at 9:05am · random thought · stocks · MU


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