Good Long Entry For MU Now

Although I don't know where the stock price will move, I think there's a good chance MU retests the highs of the low 60s in the next few months. In case I'm wrong, I would place a stop loss below the minor low at 47 (around 45 is good). You risk about 5 dollars for a gain of 13-15, so your risk reward is about 3 to 1.

Also, something to note is that MU gapped down below the 49-50 level on Friday, which was the previous breakout location. However, MU quickly recovered even though the entire market was selling off. The current price action is hinting at a false breakout, and the upward move that follows false breakouts tend to be very quick and violent.

Good luck trading!

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Blog: bigfryfinancialmarkets.com