MU trade ideas
MU has a big testMU's next target is $53. With wave 5 being completed in the SPY, we are out of the ABC correction. The market is now back in the hands of the bulls, so if $53 can be broken, I'm looking at $55.50 as the next target.
Symmetric Triangle Earnings 9/29MU was trading in an ABC pattern and has broken up from a falling wedge
Has morphed in to a symmetrical triangle
49.10 is long entry level with a clear uptrend in place
Gap under price that looks to be filling by a candle tail
NV is fading a bit. Short interest low
Possible stop under 42
Earnings 9/29
Not a recoomendation
MU Micron Technology will continue the uptrendMU Micron Technology will continue going up after finding support on the 200 sma that was lining up with the 0.618 fib level which was also lining up with the 3/1 gannfan line and a major support level to the left. It made a double bot and an overall higher low structure.
MU will continue going up until the 1.618 fib level (58.13) which is the 2/1 gannfan line, aswell as a major resistance area
THE WEEK AHEAD: MU, BBBY EARNINGS; XOP, GDXJ, SLV, EWZ, KRE, XLEEARNINGS ANNOUNCEMENT VOLATILITY CONTRACTION PLAYS:
MU (27/57/10.8%)*, announces Tuesday after market close.
BBBY (32/105/20.2%), announcement Thursday before market open.
Pictured here is an MU October 16th 44/55 short strangle, paying 1.52 as of Friday's close (.76 at 50% max).
For those of a defined risk bent: the MU October 16th 40/45/52.5/57.5 iron condor was paying 1.74 at the mid as of Friday's close, (.87 at 50% max).
For BBBY, I'd probably go short straddle, skinny short strangle, or skinny iron condor with the October 16th 14/15 skinny short strangle paying 2.46 as of Friday's close (.62 at 25% max), and the October 16th 10/14/15/19 4-wide paying 2.02 (.51 at 25% max) with risk one to make one metrics.
OPTIONS LIQUID EXCHANGE-TRADED FUNDS SCREENED FOR >35% 30-DAY IMPLIED AND RANKED BY PERCENTAGE THE NOVEMBER (56 DAY'S) AT-THE-MONEY SHORT STRADDLE IS PAYING AS A FUNCTION OF STOCK PRICE:
XOP (16/54/17.8%)
GDX (22/54/17.0%)
SLV (39/48/14.4%)
EWZ (19/44/14.1%)
GDX (21/43/14.1%)
XLE (26/41/13.5%)
SMH (24/40/11.3%)
BROAD MARKET:
QQQ (33/34/10.9%)
IWM (31/34/10.6%)
SPY (21/26/8.3%)
EFA (22/24/7.1%)
DIVIDEND GENERATORS FOR THE IRA SCREENED FOR THOSE WHERE THE NOVEMBER AT-THE-MONEY SHORT STRADDLE IS PAYING >10% OF STOCK PRICE:
SLV (39/48/14.4%)**
EWZ (19/44/14.1%)
KRE (27/44/14.2%)
XLE (26/41/13.5%)
MUSINGS:
With the major binary event of the year approaching (U.S. general elections), I'll be attempting to resist the urge to trade in the margin account and will flatten that completely running into the October monthly expiry. The intent was to wind that account up prior to year end, so now is as good a time as any.
With retirement approaching, my medium to long-term focus will be turning to IRA trades in a cash secured environment, with the focus on exchange-traded-funds with dividends and the general go-to strategy being short put, acquisition, and covering, resorting to highly liquid single name only in the event that sector and broad market volatility totally dry up. I'll continue to grind on those broad market/exchange-traded fund trades through the election as long as volatility hangs in there, naturally keeping some powder dry in the event that a high volatility event presents itself. This basic approach has worked well over the years, and I see no particular reason to change it now, even though it has zero sexiness and can be slow going, particularly if you're not the patient type.
My current stock positions are in SPY (covered call), TLT (covered call), IYR (covered call), and EFA (covered call). In addition, I've got short puts or short put ladders deployed in QQQ, IWM, SPY, SLV, EWZ, KRE, XLE, GLD, and HYG.
Previously, I was hesitant to dump my stock positions or allow them to be called away due to their paying dividends, but may change my tune, particularly with SPY, where the dividend is a paltry 1.76% relative to what the 30-day 2 x expected move short put is paying currently. Naturally, what a given option will pay will depend on where the implied volatility is at the given moment, but here the 2 x expected move short put nearest 30 days is the October 26th 305, paying 2.60 or .86% ROC at max (10.32% annualized).
The basic question is whether it's generally worth it to hang out in shares when you don't have to, even if you're getting a little extra something something if you've covered.*** Short puts, after all, make money regardless of whether the stock goes up or sideways and can even make money if the market goes down, assuming that your break even isn't broken; stock only makes money if it goes up. Short puts can be rolled to reduce cost basis further; once you're in stock, you're married to the position.
I guess I'm trying to talk myself into allowing my shares to be called away ... . :-)
* -- The first metric is the implied volatility rank (i.e., where 30-day implied is relative to where it's been over the past 52 weeks); the second, 30-day implied volatility; and the third, the percentage the October at-the-money short straddle is paying as a function of stock price.
** -- Neither SLV nor GLD pay a dividend.
*** -- The 2 x expected move short call nearest 30 days is the October 26th 346, paying 1.56 or 18.72 annualized, which also far exceeds what you'll receive in SPY dividends on an annual basis (currently 5.681/share or $568.10 per year for a one lot).
MU showing great strength MU broke upwards from the could and showing incredible strength. First resistance to be cleared is $52.17 (R2 Fib Pivot). Next stop is at $55.66 (R3 Fib Pivot).
$MUMU jus touch its supply level, next week is earnings can go both side ways but I could say demand level 1 luckily level 2
🤖 MU LONG 🤖MU is one of the few stocks that has been struggling on making the V-shaped recovery compared majority of it's peers in the tech industry. As we can see MU is back to it's consolidation range back from June-August.
Breaking above 51.30 and we'll retest 53.50-54.00 hard resistance. I picked up a few 52C 10/2 swings from yesterday and ended up trimming half for 30% and swinging the rest considering the amount of time we have and how MU's is setting up.
PT @51.90-52 and 52.60-52.75
Ideal PT @53.8-54.20
Conservative SL @50.55
Max SL @49.69
Look to Short MU and TP if MU fails to break over 51.50-51.60-51.75 minor resistance @Open today
$MU Micron a Bull among the bears
Previous Targets hit so lets se where to next,
Our weekly resistance level has been hit and held perfectly,
thus we set our alert for $51.50 for possible long entry.
Potential targets in teh short term as per chart.
Stock has shown great relative strength this week so bullish
in teh short to medium term.
MU a great long term betMicron has broken out of its first pennant, but I see a tide of selling going into next week dragging MU down to high $47's. I am waiting until the end of the month to go long on anything, but Micron is high on my list of lagging stocks that I see busting out to ATH's going into the end of the year.
ABC Bullish Earnings 9-29 AMC Falling Wedge S TrianglePossible stop below 42.2. Small gap below price that may fill
Falling wedge is also noted but I forgot to draw it ..sorry. MU broke up from falling wedge when it gapped up. Falling wedge upper trendline is 46.95 and possible support there
Falling wedges are often bullish at the bottom and can signal a reversal
MU also broke up from a symmetrical Triangle at 46.75. Targets for S Triangle are 53.7 and 60.3
Considered a vlaue stock and is usually not a volatile stock to own.
Very bullish chart but possible small pull back to fill gap below price
NV is rising
Short interest low
Earnings are soon
Not a recommendation
$MU prior to earning could target 49.8 and 51.5 bullish candleClosed with bullish candle on Friday with little higher volume. Earning expected to be at 28th Sep which will gives better view for semi-conductor business . its worth to watch $NVDA $AMD $INTC response after $MU earnings .. the stock been upgraded several times to area of 60s but stocks prices didn't act like others. MU likes to play alone . if earning so bad its possible to visit 38 but if better than expectations we can see 51.5 then 56 then 60s . i would see bullish move on coming day unless market completely crashed stoploss for pre-earning bullish move at 44.5
Targets on bullish move are 48 -49.8-51.5-54.8-62-75
Micron technology back in its uptrend.As you can see in the chart micron bounced back this am into its initial uptrend, heading towards a higher, broader uptrend. It was just upgraded to a buy.
