$MU

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Looking at the intraday 1-hour chart, the broader market structure has been in a sustained downtrend, evidenced by the price action trading below the major moving averages (MA200 at 903.74 and MA120 at 844.75). However, a significant structural shift has just occurred: after bottoming out near 650.00, the price has broken out of its consolidation phase, forming a sharp V-shaped recovery that has pushed the asset into a short-term bullish reversal. The intraday pop of +12.02% to 812.00 signals a violent change in market character, invalidating the immediate bearish momentum.

The K-line structure shows a massive bullish engulfing-style sequence on the recent green candles. The price has aggressively sliced through the shorter-term MAs (MA5 at 818.66 and MA10 at 787.51), which are now curling upward, indicating strong buying pressure. We are currently seeing a minor pullback in the pre-market to 789.97, which is acting as a retest of the MA10 support level. The MACD indicator confirms this bullish momentum, with the MACD line (11.71) crossing above the signal line (9.20) and the histogram turning positive, though the price is currently facing resistance at the 827.58 swing high.

My plan is to capitalize on the current pullback into the 785.00–790.00 zone, which aligns with the rising MA10 and the recent breakout level. I will wait for a 1-hour candle close to confirm support holds above 785.00 before entering a long position. My immediate take-profit target is the recent high of 812.00, with a secondary target at the MA60 resistance around 776.09 (if it acts as support) and ultimately the MA120 at 844.75. My stop-loss will be placed strictly below the recent swing low of 750.21 to protect against a failed breakout.

I predict that despite the pre-market dip of -2.71%, the underlying momentum from the 12% intraday surge is too strong to ignore. Micron is likely experiencing a "buy the dip" scenario, and I expect the price to find a floor around the 780-790 region and bounce back toward the 812.00–820.00 resistance level during the regular session.

What trade plan I follow and why❓️

I am following a "breakout-retest" momentum strategy. The reasoning is that the chart shows a clear rejection of lower prices (650.00) and a violent shift in volume and price action. Trading the retest of the breakout level (near the MA10) offers a high risk-to-reward ratio compared to chasing the green candles at the top.

When I start my trade❓️

I will start my trade only when the regular market opens and the first 15-minute candle stabilizes above the 780.00 level, confirming that the pre-market sell-off is just a temporary profit-taking event rather than a trend reversal.

The most recent pattern is a "Bullish Breakout" followed by a "Doji/Spinning Top" in the pre-market. The large green candles indicate strong institutional buying, while the current small red candle suggests indecision and profit-taking. This retracement is healthy and sets up a potential "Bullish Harami" or "Morning Star" continuation if the next candle closes green.

Bullish on the retest. The market has clearly shifted from bearish to bullish on the intraday timeframe. While the pre-market drop is notable, the structural break above the 800 level is the dominant signal. The trade is valid as long as the price holds above the 750.21 swing low, with a high probability of retesting the 812.00 highs.