David, this is one time that we are getting different signals. You
are maybe expecting a decline to the 25 support level (if it doesn't hold above 27), and I agree that 25 is a very strong support level.
I now believe that the 28.5 was probably the bottom from the
Kurlak comment. We are still in the upward channel. I am
expecting a buy signal on my computer as early as late today,
however, I don't know if I want a position over the 3 day
weekend. That being the case, the odds are strong that I will
have a buy signal by Tuesday morning, and I will go long.
As far as on the downside, I don't know if the support is still
there at 26, but when MU traded down to 26 recently, the bid
volume remained over 100k all day. At one point, it did slip
down to 70k, then popped back to 170k bid at 26. So. it is
possible that a fund has a buy at 26.
As far as the gap that you mention, I see that a little differently
also. The HIGH on 1-12 was 29.5, and the low on 1-13 was
29.625, or a gap of only 1/8.
As I type, I see that MU has made it back to the 30 strike
price on expiration Friday.
Patrick |
