Micron Stock Slips From Record High Amid China Business Concerns—Watch These Key Price Levels

Core Insights - Micron Technology is suspending some of its business operations in China, specifically ceasing the supply of server chips for data centers due to a ban by Chinese authorities on its products in critical infrastructure [1] - Despite the recent setback, Micron shares have shown significant growth, gaining 135% since the beginning of the year and 19% in October, driven by expectations of increased demand for memory chips from AI data centers [3] Business Operations - The company will continue to supply chips to the automotive and mobile phone sectors in China, indicating a partial retention of its market presence despite the suspension of server chip sales [1] - Analysts from UBS and Citi have raised their price targets for Micron shares to $245 and $240 respectively, citing potential benefits from memory and storage hardware shortages and partnerships with AI companies like OpenAI [2] Technical Analysis - Micron shares recently broke out of a pennant pattern, which occurred on the highest trading volume in over three weeks, suggesting a potential continuation of the upward trend [4][6] - The relative strength index indicates that while the stock is near overbought levels, it remains below previous peaks, suggesting room for further price increases [5] - Key price levels to watch include a potential climb to around $245, with support levels identified at approximately $158 and $130 [6]