Micron Technology (MU)

[JLS]

Sympathetic trades,

My eye is on SMA(50). WDC is my reasoning. WDC also has 3D 64-layer SSDs. In fact, they’ve just announced a few days ago the world’s first 96-Layer NAND, to be sampled in second half 2017.

WDC has more diversity than MU because WDC also has HDs (hard drives), so it tends to get a higher multiple. But that can also be a disadvantage as SSDs eat HD’s lunch.

... Reuters

Researcher IHS expects this year's memory industry revenue to jump 32 percent to a record $104 billion.

Industry executives and analysts said 3D NAND suppliers will likely struggle to keep up with orders throughout 2017.

... http://tinyurl.com/vthkaqr

SMH is a tracker of a semiconductor index, $SOX or $SOX.X depending on data source, but semiconductors are a much broader market than just memory. I wouldn’t even think about going long any of this stuff at least until SMA(50) is tested and holds. But wait -- MU may have reported earnings, but WDC isn’t reporting till near the end of July. There's going to be some shuffling around of prices, but not much till after earnings reports. If I were buying any more of this stuff I would use buy-writes on dips so that I at least get paid to wait.

Meanwhile, the Calls I sold on all my MU shares (and expire this Friday) are already essentially worthless to their buyers. I’ll be selling more.