MU - a key stock to at least track

Whilst the main market closed significantly higher, there was particular strength in Micron Technology (MU), settling +3.0% at $30.35. Near term offers a little higher to the $31s. Things will turn hyper bullish with any daily closes >$33.00.


MU daily

MU monthly

Summary

Even if you never trade it, Micron is arguably one of the key stocks that will help give clarity to the mid term main market outlook into 2018.

Any price action in MU >$33 would give VERY high confidence that the main market will see a Sept/Oct' retrace of only a moderate amount - around 4-5%, before resuming strongly upward into spring 2018.

I understand some would disagree, but I've been following MU for a considerable time, and its a pretty good representation of the tech sector, and the broader market.

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*On a pure valuation perspective, MU is ludicrously priced, with a forward PE in the 5s. Just dwell on that for a while.