Watch $MU for follow through! – December 21, 2023
This is Scott with your Chart of the Day. I want to take a look at Micron Technology ( NASDAQ: MU ).
MU ( NASDAQ: MU ) announced earnings last night and the stock gapped up this morning, it actually did really well. It held the gap and did it on higher than average volume. If you weren’t aware of this, I just want to bring it to your attention.
Anytime you see a stock gap, hold the gap and do it on good volume, and then especially close near the highs, I actually think that that’s a stock you want to pay attention to. They had an opportunity to sell it off and they didn’t. The bulls liked it; we have a breakout here on the daily chart.
If we flip to a weekly chart you can see that it is continuing this long cup pattern that it started building back in 2022. Semiconductors and technology were not really where you wanted to be in 2022. You can see that we’ve rounded the corner, we’ve turned the stock around, and now it’s just creeping towards the highs and making a new weekly high.
That’s the thing that I like to pay attention to. I want to make sure that we have confluence on the weekly chart and the daily chart. Honestly, both of these look good, so in my opinion, this is definitely a stock you want to keep on a watch list.
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