Micron Technology Inc. MU and Western Digital Corp. WDC shares were trading higher Thursday amid a report from the Wall Street Journal that the chipmakers are both eyeing an acquisition of the privately held Japanese semiconductor company Kioxia.
Micron Technology posted a second-quarter earnings beat Wednesday.
Here is a technical take on each of the stocks.
Micron Technology Daily Chart Analysis: The daily chart above shows a gap up Thursday from Micron. The chart looks to be forming an “ascending triangle” pattern.
The chart shows that the price has struggled to get over the $95 level and consolidate above. This indicates this area may hold as resistance again in the future.
Throughout the year, the stock has built higher lows that can be seen by connecting the lows with a line.
Higher lows building up to a flat top resistance level is what technical traders may call an ascending triangle pattern. This pattern is a bullish continuation pattern, and bulls would like to see the stock cross above the $95 resistance and consolidate for a potential push higher.
Bears would like to see the stock stop forming higher lows for a potential trend change.
Western Digital Daily Chart Analysis: In the daily chart shown above, Western Digital looks to be forming what technical traders may call an “ascending triangle.”
The chart shows in the past the price has struggled to get over $71 and consolidate above. This indicates this area may hold as resistance again in the future.
Throughout the year the stock, has built higher lows that are seen by connecting the lows with a line.
Higher lows building up to a flat top resistance level is what technical traders may call an ascending triangle pattern. This pattern is a bullish continuation pattern, and bulls would like to see the stock cross above the $71 resistance and consolidate for a potential push higher.
Bears would like to see the stock stop forming higher lows for a potential trend change.
MU, WDC Price Action: Micron shares were trading 4.08% higher to $91.81 at last check Thursday. Western Digital shares were up 4.61% at $69.83.
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