Micron Technology Inc. (NASDAQ: MU) shares were trading higher Friday after the stock was dubbed a “top pick” at Evercore. The stock made the list after it was argued the stock could benefit from the “green shoots” seen in the memory industry.
Micron Technology was trading 8.13% higher at $83.28 late in the session.
Micron Technology Daily Chart Analysis
Shares look to have broken out of what technical traders call a falling wedge pattern and has been pushing higher since.
The stock was pushing lower in the wedge pattern before the stock was able to break above the resistance in the pattern. This showed the stock was seeing some bullish momentum, and the stock has continued to push higher since.
The stock is trading above both the 50-day moving average (green) and the 200-day moving average (blue), indicating sentiment is now looking bullish.
The stock may find support near either of these moving averages in the future.
The Relative Strength Index (RSI) has pushed higher and now sits at 76 on the indicator. This is well into the overbought range, showing that the stock is seeing much more buying pressure than selling pressure throughout the past few days.
What’s Next For Micron Technology?
Bulls are looking to see the stock continue to push higher as it breaks out. After a period of bullish movement, the stock may start to cool off. This is when bulls would like to see the stock hold its gains while it consolidates.
Bearish traders are looking to see the stock stop pushing higher and reverse. Bears are then looking to see a new lower high trendline start to form and for the stock to hold this line as resistance for a time. Bears would also like to see the stock fall below the moving averages for the sentiment to turn bearish once again.
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