Semiconductor names are the lifeblood of technology, and lately, some of the best charts have come from this group. Microchip, like Adobe, is a “flash” component producer – and it has an exceptional chart and technical pattern.
On the chart, you can see a sharp move up on the last earnings reports, followed by drop that has been round-tripped. The stock is now hovering near all-time highs, and it could possibly moving up toward the $100 level.
This is a good sign, and with solid relative strength and a renewed MACD buy signal, it is blue sky ahead for Microchip. Earnings will be released soon, and we expect this company to beat it again and buyers to come after the stock.
Microchip Technology (Nasdaq:MCHP) Video Chart Analysis
Take a deeper dive into the chart action on tech stock Microchip Technology Nasdaq: MCHP and learn how to read the technicals. Get Bob Lang’s full analysis as he marks up our chart of the week.
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About Microchip Technology
Microchip Technology Incorporated develops, manufactures, and sells semiconductor products for various embedded control applications. The company offers microcontrollers, such as 8-bit, 16-bit, and 32-bit microcontrollers under the PIC brand name; and microcontrollers for automotive networking, computing, lighting, power supplies, motor control, wired connectivity, and wireless connectivity. It also provides development tools that enable system designers to program PIC microcontrollers for specific applications; analog, interface, mixed signal, and timing products comprising power management, linear, mixed-signal, high-voltage, thermal management, RF, drivers, safety and security, USB, Ethernet, wireless, and other interface products; and memory products consisting of serial electrically erasable programmable read-only memory, serial flash memories, parallel flash memories, and serial SRAM memories for the production of very small footprint devices. In addition, the company licenses its SuperFlash embedded flash and Smartbits one time programmable NVM technologies to foundries, integrated device manufacturers, and design partners for use in the manufacture of microcontroller products.
