SanDisk current price: around $1,600

Direction read: high-range consolidation, but bullish

Short-term support: 1,550

Key support: 1,450

First resistance: 1,650

Strong resistance: 1,700-1,750

Today’s core: SanDisk is being redefined by the market from a “traditional storage stock” into a beneficiary of AI infrastructure, but the swapping of high-level holders’ positions is also intensifying. The AI storage theme remains the main driver.

Recently, many people have started paying renewed attention to SanDisk.

Previously, the market labeled it as:

Storage.

NAND.

Consumer electronics.

Cyclical stock.

But now, capital is redefining it.

AI infrastructure supply chain.

That’s why SanDisk can attract a large amount of capital attention in a short time.

Because the market is starting to realize:

AI competition isn’t just a GPU war.

It’s also a data war.

What was the biggest misunderstanding in the market over the past year?

Many people thought:

AI = Nvidia.

But in reality, the AI industry chain is very long.

Model training needs compute power.

Model operation needs inference.

And behind all of this, you can’t do without:

High-speed storage.

Data centers.

Servers.

Networking equipment.

Power supply.

So when AI capex keeps expanding, the beneficiaries can’t be only GPU manufacturers.

The storage industry chain will also be revalued.

Why has SanDisk been so strong recently?

There are three core logics.

First:

Growth in enterprise-level storage demand driven by AI.

In the future, data centers will generate ever larger volumes of data.

AI model training, inference, and enterprise applications all require large amounts of high-speed read and storage.

Second:

The storage cycle is improving.

In the past few years, the storage industry went through a downturn.

Vendors cut production.

Inventory declined.

Prices started to repair.

If the industry enters a phase of improved supply and demand, profit upside will be very pronounced.

Third:

Capital is looking for the AI second-tier.

After Nvidia’s huge rally, the market began searching for:

the next beneficiary direction.

That’s also why storage stocks like Micron and SanDisk have been in focus recently.

But now, around $1,600, I won’t simply go long.

The reason is simple.

Correct logic doesn’t mean the price will always be cheap.

SanDisk has already experienced a very large rally this year. The market has already priced in part of the AI storage expectations in advance. Recently, AI-related stocks have shown noticeable volatility, and capital is also reassessing valuations.

Now the biggest question is:

Can future growth still continue to exceed market expectations?

From a technical standpoint.

Around $1,600 is already in a key tug-of-war zone.

If it keeps moving higher:

A break above $1,650 and holding it.

Then the market may continue challenging the $1,700-1,750 area.

Because a breakout means capital is willing to continue assigning higher valuations.

But if resistance near $1,650 keeps persisting.

Short-term funds may choose to take profits.

Then a pullback to $1,550 and even $1,450 wouldn’t be surprising.

My trading plan:

For holders:

Don’t change your logic just because of one day’s volatility.

What to watch closely:

Whether AI storage demand continues to strengthen.

Whether industry pricing continues to improve.

No position:

Around $1,600, I won’t chase.

More inclined to wait for:

First, a pullback near $1,550 to observe whether there is support and absorption.

Second, after breaking above $1,650, wait for a pullback confirmation.

Because what you’re buying now isn’t the old SanDisk.

You’re buying the growth in AI data demand over the next few years.

My view:

SanDisk’s biggest value isn’t how much it can rise in the short term.

It’s that it represents a market shift:

In the past, the AI theme focused on compute power.

In the future, capital may start looking for:

“who can serve AI infrastructure expansion.”

That’s also why the storage sector is worth tracking continuously.

From the trading desk: In the AI era, compute power determines the ceiling, and storage determines efficiency. When the market starts moving from selling GPUs to searching for winners in data infrastructure, SanDisk may be becoming the direction of focus for the next phase of capital.