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LivestreamMenu(PRO Views are exclusive to PRO subscribers, giving them insight on the news of the day direct from a real investing pro. See the full discussion above.) NYSE insider Jay Woods is keeping a special eye on Micron this week as he sees the potential for the semiconductor manufacturer, which he called the “stock of the year,” to slide around 15% after posting its fiscal third-quarter earnings. Micron’s latest earnings report is due out after the bell this Wednesday. Woods, chief market strategist at Freedom Capital Markets, said Micron stock has fallen six of the last eight times they’ve reported, with an average drop of 6.5%. The stock has more than quadrupled this year, rising more than 300%, with Woods pointing out its are about 15% above their 20-day moving average. Now, the question on traders’ minds, he added, is whether it can keep this momentum going. “Average trader’s watch religiously when looking to see if things are a little overextended. Then you talk Fibonacci extensions — it’s on its sixth extension higher — this is very rarefied air, so if it is to go to another extension — we’re talking up to $1,500 — I do not see that happening,” Woods said. “Look for this to pull back. If it pulls back, pull back down to $1,000. That’s going to sound like a big drawdown, but it’s something that traders be watching as it starts to get in line with this 20-day moving average.” A drawdown back to the $1,000 level would mark a slide of nearly 12% for Micron, which ended Thursday at $1,133.99 per share. (Watch full video above.) Woods also touches on the following in the exclusive video: Two other key stocks with earnings this week: FedEx and Darden Restaurants , the latter of which he referred to as a “barometer” for the “middle-age consumer” bucket. The Russell reconstitution this Friday, which Woods called “the biggest trading day of the year.” Thursday’s personal consumption expenditures report reading. The trader is looking for a core number around 3.4%. (This weekly Monday video is exclusively for CNBC PRO subscribers.)Read More
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