Micron Tech forming a flag?
MU is very interesting to me at the moment, it's currently formed a flag and as you can see in the chart we have had a steady up trend across the board in both price, RSI and MACD.
You could argue MACD has already broken out of a triangle type formation to the upside even.
The risk-to-reward ratio is quite good, you can place a trade with a stop loss just under the flag and it gives you almost a 9:1 RR. With a more liberal stop loss, you are still
looking at an R:R of almost 3:1.
The main concern here is if the tech sector start lagging in general, this could easily lag with it. Which is why I am inclined to buy the breakout and not the flag formation.
Cheers
You could argue MACD has already broken out of a triangle type formation to the upside even.
The risk-to-reward ratio is quite good, you can place a trade with a stop loss just under the flag and it gives you almost a 9:1 RR. With a more liberal stop loss, you are still
looking at an R:R of almost 3:1.
The main concern here is if the tech sector start lagging in general, this could easily lag with it. Which is why I am inclined to buy the breakout and not the flag formation.
Cheers
Opinions on Chart's, not financial advice.
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