Wey How@wey_how12640
$MU (long) - Closed at $984
(a weekly chart perspective)
$MU lost 21ema on the daily chart, which is not its first time in history of losing it. The last two times that it lost 21ema are actually not too far away, that is during its basing in November 2025 when its price was at $220, and in February 2026 when its price was below $400. And the price is now more than double or triple in an average of less than 6 months.
This is not saying that stocks only go up, and you shouldn't sell. This is saying that it is perfectly normal for a stock to go through its cycle of pullback and basing, with or without "reasons" or "excuses".
How you trade it depends on your style. There is nothing wrong of cashing out recently because you operate on a shorter timeframe, or continue to sit because of your longer timeframe and lower cost basis.
Personally I built most of my (re-entry) positions in December 2025, and started the year with 50% weight in $MU (then slowly peeling it off for portfolio management due to explosion in weight). With such a cushion, I can afford to adopt a more laid-back approach.
As usual there are lots of FUDs on the way up, and as usual most investors want to be in a TML and the volatility only on the way up.
Personally I am still pretty excited with its low PE, fundamentals and a structural re-rating thesis since last year. If you are a pure 100% technical chart person you probably wouldn't care about all these (or have a low to zero conviction in it, which you should for your style). But these are the "belief" that have persuaded me to focus on this name (together with $SNDK) since last year.
Back to the weekly chart.
1) 10wma is the first weekly trend support
2) Already having its 2 bearish weekly bars, a 3rd might be its first in recent time that breaks the pattern
3) Highest fall from peak is now at 25%, compared to last two 25% & 34%
4) Regardless of possible implication from 2) and 3) on the past patterns, the support of 1) and the price structure (no visible lower high and lower low yet) is more important. The support either holds, or doesn't. The structure either form, or doesn't. Only time can tell.
I don't trade prediction, but scribbles on the chart is one possible path of basing out just for my mental prep, on a slightly bullish note. The actual development can of course be vastly different from this and we should respect the price, not prediction.
The coming Hyperscalers' earnings/ AI CAPEX projection is an important catalyst.
Each time is Unique, and anything can happen.
