Micron Testing Potential Bounce Area

Micron Technology (MU) has been working with a head and shoulders pattern for a while now, but as time goes on, that pattern has changed some as well. Here, I’ve put together my latest rendition of the technical pattern, and its prospects have probably improved some from a technical standpoint.

Now, don’t get me wrong, if we break below the support it is currently trying to hold, I think it gets much uglier from here, but if it can’t hold and bounce, there is the potential for a bigger move back into the 900’s, before having to deal with any major resistance. The big fear though with this stock is the overnight risk, especially with KOSPI struggling as much as it is of late, the potential for large overnight gaps lower still is enough to keep me from wanting to play this bounce.