Micron Technology Jumps 6.15% As Technicals Signal Bullish Rebound

Micron Technology (MU) gained 6.15% to close at $192.77 during the most recent session, rebounding strongly from the previous close of $181.60. This price action occurred on moderate volume of 20.04 million shares, setting the stage for a comprehensive technical assessment.
Candlestick Theory
The October 13 session formed a decisive bullish candle with a $187.99–$193.40 range, engulfing the prior day’s bearish body. This suggests strong buyer conviction near the $188 support zone, which previously held on October 7 and 8. Resistance is evident at $193.40–$196.95 (October 8-9 highs), with a breach potentially signaling continuation. The rapid recovery from October 10’s low ($179.61) indicates solid demand at $180.
Moving Average Theory
Micron’s price remains firmly above all key moving averages (50-day: ~$162, 100-day: ~$142, 200-day: ~$118), confirming the primary uptrend. The 50-day consistently riding above the 100 and 200-day MAs reinforces bullish momentum. Recent dips toward the 50-day MA ($179.61 on October 10) attracted buyers, suggesting this level offers dynamic support. The ascending alignment suggests robust trend sustainability.
MACD & KDJ Indicators
MACD shows a bullish crossover emerging in negative territory, signaling waning downward momentum and potential reversal confirmation. KDJ’s K-line (36) and D-line (29) have rebounded from oversold levels, with the K-line crossing above the D-line on October 13. This confluence suggests strengthening short-term momentum. However, both oscillators remain below midline thresholds, requiring further confirmation to dismiss residual bearish pressure.
Bollinger Bands
The bands contracted sharply in late September, indicating suppressed volatility, followed by an expansion during the early October sell-off. Price recently bounced off the lower band ($179.61 on October 10) and now approaches the mid-band ($186), with the upper band at $198. A close above $193.40 could trigger a volatility expansion toward the upper band, while failure might retest $187.99 support.
Volume-Price Relationship
The October 13 rally occurred on 20M shares – below the October 10 sell-off volume (27M) – introducing sustainability concerns. However, accumulation was evident on key up days (October 8: 5.84% gain on 26.8M shares), validating upward momentum. Divergence appears at recent highs: the October 6 peak ($201) saw 36.4M shares, but the October 13 rally lacked matching volume, warranting caution.
Relative Strength Index (RSI)
The RSI (14-period) oscillates near 55, avoiding overbought (>70) or oversold (<30) extremes. It rebounded from 35 on October 10, aligning with price recovery, but remains below its September peak of 68. This neutral positioning suggests balanced momentum, though failure to break 60 could indicate underlying weakness. No bearish divergence is present, as RSI and price lows align.
Fibonacci Retracement
Applying Fib levels to the 2025 swing low ($71.02 on April 14) and high ($192.77 on October 13) yields key supports: 23.6% ($164.04), 38.2% ($146.26), and 50% ($131.90). More critically, the recent minor pullback from $192.77 to $179.61 reveals confluent support at the 38.2% retracement ($183.05) and the 50% level ($180.04). The October 10 low ($179.61) tested this zone precisely, while the October 13 bounce from $187.99 aligns with the 23.6% retracement ($186.77) of the same minor swing – reinforcing this as a pivotal support area.
Confluence is notable between the 50-day MA, the 38.2% Fib retracement, and the candlestick support at $180–183, creating a high-probability bounce zone. Divergence exists between volume and price at recent highs, suggesting cautious optimism. Overall, technical structure favors bullish continuation above $188, but sustained momentum requires volume confirmation and a decisive close above $193.40 resistance.