Micron Stock Price Forecast 2025: Key Levels to Watch After Earnings Drop - Current Price $134.24

Important Highlights

• Micron (MU) shares plunged over 5% in premarket trading on Thursday after quarterly results and revenue guidance fell short of Wall Street’s expectations.
• Last Thursday, the stock reversed sharply on high volume, forming a bearish wide-ranging day—signaling a possible major trend reversal.
• A bearish divergence appeared as the stock made a higher high last week, but the Relative Strength Index (RSI) showed a shallower high, hinting at weakening bullish momentum.
• Potential support can be found at Fibonacci retracement levels of 50% ($131.63), 61.8% ($125.52), and 78.6% ($116.81), critical zones to monitor during the earnings-driven pullback.

Micron has experienced a remarkable 67% surge since the start of 2024, propelled by growing demand for AI-focused memory chips. However, the recent earnings miss has triggered a sell-off, prompting investors to closely watch technical support levels.

Technical Signals Indicate Slowing Momentum

Throughout the first half of 2024, Micron’s stock trended upward with minimal retracement below its 50-day moving average. Yet, the recent bearish wide-ranging day on increased volume and the RSI divergence suggest the upward trend may be losing steam.

Key Support Levels to Watch Post-Earnings

Using Fibonacci retracement from the April low to last week’s peak, the stock may find buying interest at the 50% retracement near $131.63, coinciding with a previous price resistance from May.

The 61.8% Fibonacci level around $125.52 aligns closely with the rising 50-day moving average, offering a strong confluence of support.

Further downside could test the 78.6% retracement near $116.81, a price zone that has seen significant activity between April and May.

If the correction deepens beyond these levels, the stock might revisit its Q2 earnings gap at $96.25, representing a 32% drop from the recent close of $142.36.

As of this writing, Micron shares traded down 5.7% at $134.24 in premarket hours.

Note: The analysis provided is for informational purposes only and does not constitute financial advice. Please refer to ZAMONA’s warranty and liability disclaimer.

The author does not hold any positions in Micron stock at the time of publication.

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