Micron Technology (MU)

[JLS]

Time to retrace ...

$SPX is at the top of a well established range. The dashed declining green line matches the previous decline. The good thing is that the projected endpoint is slightly higher than the previous endpoint. Swing traders will be happy (as their trade will follow the trend); but long-term investors, not so much.

Micron? If $SPX goes down, so will MU. Cows are like that -- they follow the herd.

The problem is: MU's green dot happens before SnP's green dot. So ... does the technology sector and MU bounce off the bottom green tine and head higher to the center white tine? Doubt it. Two solutions: MU declines more slowly and ultimately still gets down to the bottom green tine at about $51; or, $SPX never gets to its bottom green tine and instead finds support at the center tine of its white fork just below $2,740. That would be convenient because that level was established as a Sup/Res level during the middle of May (aligned with the green forks handle).