Micron Technical Analysis (NASDAQ:MU)
Technical analysis relies on the belief that future price movements of a stock can be forecasted through the study of historical market data and technical charts. Just by looking at the Micron stock price one can't take a trading decision. A trader needs to find a chart pattern, which is a clear cut pattern formation on the MU stock chart which creates a trading signal.
You can view Simple Moving Average - SMA 20 day, 50 day & 100 day, Exponential Moving Average - EMA 20 day, 50 day & 100 day charts, and Bollinger Bands for Micron. The technical analysis form of Micron stock analysis tries to understand the market by studying the stock market trend itself as opposed to other aspects like the company's fundamentals.
Micron Moving Average
Moving averages help predict the price direction of MU stock based on certain triggers, but with a lag, and form building blocks for other technical indicators like the MACD and bollinger bands. The longer the duration of the moving average, the higher the lag. For example, 200 day moving averages for Micron are mostly signals of long term trends and will help long term traders.
Micron Bollinger Bands
Bollinger bands comprise of a center line usually MU SMA, and two MU stock price bands above and below it. The stock is considered overbought when the price starts moving closer towards the upper band, and is considered oversold as stock price moves closer towards the lower band. The stock price is trading between the average and the lower band in the context of Micron bollinger bands.
Micron Moving Average Convergence Divergence or MACD
The moving average convergence divergence or MACD is a technical indicator which helps gauge the stock price trend, as the indicator is useful in understanding the strength, direction and momentum of the stock price. The Micron MACD indicator is below 0 indicating a bearish trend.
Micron Relative Strength Index
This technical indicator compares the relative strength or weakness of a stock. It measures the magnitude of rise or fall in stock price movements . If the RSI of MU stock goes above 70 it could indicate an overbought condition, and if it goes below 30 it could signal an oversold position.