I will point to a metric. Wall street is short. I hope for longs that they do cover and this is the bottom. Until there is a change in that trend I will wait to purchase. Wall street is short a lot more than MU now. Folks forget that this market does go down. After nearly 6 years some folks are realizing that this is possible. There are a lot of very good companies that have great earnings that go down with the market when it corrects. This market hasn't even corrected and they have dropped MU to this new 52 week low. So I could use the same scenario that because nothing has changed why should the stock go up. What they are saying, which may not be correct, is that margins will be lower than anticipated in the 2 H of the year now. That would be a change and a negative one. I hope for your sake that it is not true.
I went for an early lunch at 11:30 and put in a stop loss at 34.55. Well I see that the stock is lower than that now and I have sold my shares. Admit that I thought LUV would be higher but obviously I was wrong. The market has been selling at the end of the day so unless there is some positive news that comes out I will just be setting up a watch list. GLTA
When you look at a chart of MU it does appear that it is going lower. Back in December when multiple firms were upgrading and raising price targets yet it did not move up you realize then that they were using that opportunity to short. They have continued that trend for 5 months now and it does appear to be continuing with a strong break below the 52 week low. Now they come out and say that the stock is cheap but dram pricing is low so the earnings and guidance will be poor. I have no idea how low they will take MU but it is not going to turn around until they cover their shorts and that may not be until the second half of the year or it may not be until 2016and the stock has went much lower.
I am waiting to buy because this may be just rhetoric that things will turn around the second half. I do not trust wall street and this may be the high today for a number of years or even forever. I traded JDSU in 2000. Some days I made over $30,000. I was one of the fortunate ones as after a few of those I quit trading it as this was too good to keep happening. Look at what JDSU was in 2000 and look where it is now. There are no guarantees that MU will ever get back to 27 never mind 32 where a lot of folks got in. One, as best as they can, needs to follow what wall street is doing not what you think it should do. GLTA
I Purchased at 34.10. Wall street needs to cover to make their money. I think they have begun covering.
Wall street brokers have been making a bundle short after having encouraged folks to go long. Now selling picking up as clients are now selling while losing significant money.
This is wall street and this is how they put the fear into the market. They short and of course without them being the buyers it goes down quickly. Traders get fearful and sell so it exacerbates the problem. Then there is a lull as wall street covers a bunch of shares clients are now selling. When they quit covering it goes down further. This is what they have been doing with airlines, transportation stocks and other sectors. Wall street is making a lot more money short now then they are long. When this happens market begins correcting. In 2008 wall street that created the mess with the over priced market made a bundle shorting.
They are shorting and selling like crazy. Going lower.
Good to make it a little more jovial as it continues to move down. The dividend doesn't look so attractive when the stock continues to fall to this extent.
They do not care what you think of them. The CEO from AAL will just withdraw his millions to purchase new cars and homes whether the stock is at 39 or 56.
I do not know whether it is time to get out or not. I do think that it is going lower though. Now analysts are saying that we go to 23 then we go back up. Basically they are telling longs to hold longer because it only goes another 3 down and then maybe back 10 or more. They first part is probably true so they make a little more on their short. It is going to 25+ today and this market is selling off.
We know that earnings are not going to be as good this quarter. Wall street taking advantage of the short opportunity. Wall street trades this stock. They cover and go long and it moves up for no apparent reason.
They sell and short and we hear about lowering the estimates again but 2 H to be better. Those that are long are hoping that the lower earnings will already be priced in and the guidance is good. I am waiting for earnings and guidance. There have been a number of sectors getting hit hard with shorts. INTC buying ALTR puts the hope of a purchaser for MU on the back burner. Will wait to see what wall street does with MU. GLTA
He did provide a way that some folks that bought at the end of the day Friday could get out with a profit before it continued down.
I do not want to be discouraging but if wall street goes short this market these rails will go much lower very quickly. At present they are short only particular sectors. I know rails have fallen fairly quickly from March yet one needs to remember that the market has continued up to the highs. If the market corrects a bunch or even goes into a tailspin these rails will get hit hard still as in 2008.
They ship a lot of oil via rail. There has been a very big cut back on the amount of oil being sent anywhere. Rail has had a significant cut back so their profits and revenues are lower. Consequently their stock price is going lower. Shipments in Canada and the USA are both down significantly.