Still liked by many on Wall Street

Taking a look at Micron as many Wall Street analysts remain optimistic about the company and its stock. Since the firm is within the semiconductor industry, the AI hype certainly supported its price rally toward the recorded all-time high of $158. Having now fallen almost 40% to $95.14 a share, many analysts believe this is an opportunity for long-term investors. The highly anticipated spending on AI in the months/years to come is said to be a key driver for companies in the semiconductor industry, with Micron amongst them who may benefit. From a technical outlook, we can see the price has fallen closely to the supportive trendline, which dates back to January 2023. This trendline has not been tested since October 2023, which also corresponds with the 200-day moving average. With the current market sentiment, we may see a gradual decline toward the 200MA as it catches up before any consolidation period. This would create a good buying opportunity for long-term investors as the trendline along with the 200MA would offer great support. However, it’s not guaranteed that a grind lower will occur and perhaps last week’s low of $84.69 may be the bottom here. A break below $84.69 would increase the likelihood of a pullback toward trendline/200MA support (around $78 as of today). Towards the upside, a move back above $98-$99 may not be enough in the short term as the MACD indicator is heavily bearish, which may weigh on the momentum. The RSI seems to have stabilised a touch compared to the MACD, hence, a gradual curve on the MACD would offer a better risk to reward. Especially for traders.