Microchip Technology Crosses Below its 10-day MA (MCHP)

Published on Tue, 01/08/2013 - 12:11
By Robert Cotter in Moving average crossovers, MCHP, microchip technology, moving crosses, nasdaq:mchp

Today, shares of Microchip Technology (NASDAQ:MCHP) have crossed bearishly below their 10-day moving average of $32.82 on a volume of 1.0 million shares. Swing traders may find an opportunity for a short position, as such a crossover often suggests lower prices in the near term.

In the past 52 weeks, Microchip Technology share prices have been bracketed by a low of $28.92 and a high of $41.50 and are now at $32.51, 12% above that low price. Over the past week, the 200-day moving average (MA) has gone down 0.2% while the 50-day MA has advanced 0.3%.

Microchip Technology (NASDAQ:MCHP) has potential upside of 8.3% based on a current price of $32.51 and analysts' consensus price target of $35.20. The stock should find resistance at its 200-day moving average (MA) of $32.98, as well as support at its 50-day MA of $31.34.

Microchip Technology Incorporated designs, manufactures, and markets microcontrollers, related mixed-signal and memory products, and application development systems for high-volume embedded control applications. The Company also designs, develops, and markets linear/mixed-signal, power management, and thermal management products.

By Robert Cotter
rcotter@fnno.com

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