Technical Analysis Overview:
4-Hour Chart:
* Trend: MU is retracing after a sharp rally, consolidating near the $96-$97 level.
* Indicators:
* EMA (9/21): The price is below the 9 EMA, but the 21 EMA is providing nearby dynamic support.
* MACD: Shows bearish momentum, but the histogram is contracting, signaling potential stabilization.
30-Minute Chart:
* Price Action:
* The stock is holding above $96, a key level aligned with immediate GEX resistance.
* $92.5 acts as critical support, highlighted by high PUT support.
* Volume: Lower volume on the pullback suggests a lack of strong selling pressure.
Key Levels to Watch:
Support Levels:
* $92.5: Significant support zone aligned with strong PUT activity (-99.65% GEX).
* $90: Next major support level, close to the 3rd PUT Wall.
Resistance Levels:
* $96-$97: Immediate resistance and highest positive NETGEX level.
* $100: Next resistance, coinciding with the 3rd CALL Wall.
* $106.7-$110: Major resistance aligned with the 2nd CALL Wall.
GEX Insights:
Key Gamma Levels:
* Positive Gamma Walls (Resistance):
* $96-$97: Immediate gamma resistance and the highest positive NETGEX.
* $100: 21.31% GEX (3rd CALL Wall).
* $110: 34.38% GEX (2nd CALL Wall).
* Negative Gamma Levels (Support):
* $92.5: -99.65% PUT support, critical to maintaining bullish structure.
* $90: High PUT activity (-75.97% GEX).
Options Metrics:
* IVR: 29.9, indicating relatively low implied volatility.
* IVx: 49.1, close to average.
* Call/Put Bias: 30.7% Calls, leaning slightly bullish.
Trade Scenarios:
Bullish Scenario:
* Entry: Above $97 with volume confirmation.
* Target: $100-$106.7.
* Stop-Loss: Below $92.5 to limit risk.
Bearish Scenario:
* Entry: Rejection at $97 or a breakdown below $92.5.
* Target: $90-$87.5.
* Stop-Loss: Above $100 to control losses.
Directional Bias:
* MU's recent pullback presents a consolidation phase, with $96-$97 as a critical inflection point. Bulls need a breakout above this zone to retest $100-$106, while bears will likely target $92.5 or lower if support breaks.
Conclusion:
MU is at a decisive level, with $96-$97 serving as immediate resistance. A breakout or rejection here will define the next trend. Traders should keep an eye on gamma resistance and support levels for actionable opportunities.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always conduct your research and trade responsibly.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.