Public trading strategy
Micron profits exploding on AI demand — jump in before the earnings rush
Created
Thesis
The demand for AI technology requires massive amounts of memory chips, and Micron is one of the few companies that supplies them. Because their profits are growing so rapidly and nearly all of it drops straight to the bottom line, investors are likely to bid the stock up as they realize how much money the company is making. This creates a strong momentum opportunity to ride the wave of enthusiasm into and potentially through the earnings announcement.
Strategy approach
Build a momentum strategy that enters long MU on the daily timeframe when the stock breaks above its 20-day high. Exit if the stock closes below the 10-day moving average, or hold for a maximum of 15 trading days.
Markets and timeframes
MU1D
Entry and exit at a glance
These are the named rules in the shared configuration. Review the full conditions below before using a strategy.
- Entry: DONCHIAN/ADX Crossover Long (MU@1d) (2 conditions)
- Exit: Position Exit Rule (MU@1d) (1 condition)
- Exit: Stop Loss at 5.0% (1 condition)
- Exit: Take Profit at 10.0% (1 condition)
Shared strategy rules
Rule configuration
{
"data_dependencies": [
{
"symbol": "MU",
"timeframe": "1d"
}
],
"entry_rules": [
{
"conditions": [
{
"left": {
"field": "close",
"type": "price"
},
"operator": "crossed_above",
"right": {
"chart_ref": {
"symbol": "MU",
"timeframe": "1d"
},
"field": "upper",
"indicator": {
"name": "donchian",
"period": 20
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "MU",
"timeframe": "1d"
},
"field": "adx",
"indicator": {
"name": "adx",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 20
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1",
"name": "DONCHIAN/ADX Crossover Long (MU@1d)",
"priority": 1
}
],
"exit_rules": [
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "close",
"type": "price"
},
"operator": "less_than",
"right": {
"chart_ref": {
"symbol": "MU",
"timeframe": "1d"
},
"indicator": {
"name": "sma",
"period": 10
},
"type": "indicator"
}
}
],
"enabled": true,
"id": "exit_1",
"name": "Position Exit Rule (MU@1d)",
"priority": 1,
"purpose": "signal"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "less_than_or_equal",
"right": {
"type": "constant",
"value": -5
}
}
],
"enabled": true,
"id": "exit_2",
"name": "Stop Loss at 5.0%",
"priority": 10,
"purpose": "stop_loss"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "greater_than_or_equal",
"right": {
"type": "constant",
"value": 10
}
}
],
"enabled": true,
"id": "exit_3",
"name": "Take Profit at 10.0%",
"priority": 11,
"purpose": "take_profit"
}
],
"position_sizing": {
"max_position_percent": 25,
"method": {
"risk_percent": 2,
"stop_loss_percent": 8,
"type": "fixed_risk"
},
"min_position_value": 100
},
"trigger_timeframe": "1d",
"version": 1
}Indicator configuration
{
"indicators": [
{
"name": "donchian",
"period": 20
},
{
"name": "sma",
"period": 10
},
{
"name": "adx",
"period": 14
}
]
}Parsed strategy
{
"data_dependencies": [
{
"symbol": "MU",
"timeframe": "1d"
}
],
"entry_rules": [
{
"conditions": [
{
"left": {
"field": "close",
"type": "price"
},
"operator": "crossed_above",
"right": {
"chart_ref": {
"symbol": "MU",
"timeframe": "1d"
},
"field": "upper",
"indicator": {
"name": "donchian",
"period": 20
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "MU",
"timeframe": "1d"
},
"field": "adx",
"indicator": {
"name": "adx",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 20
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1",
"name": "DONCHIAN/ADX Crossover Long (MU@1d)",
"priority": 1
}
],
"exit_rules": [
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "close",
"type": "price"
},
"operator": "less_than",
"right": {
"chart_ref": {
"symbol": "MU",
"timeframe": "1d"
},
"indicator": {
"name": "sma",
"period": 10
},
"type": "indicator"
}
}
],
"enabled": true,
"id": "exit_1",
"name": "Position Exit Rule (MU@1d)",
"priority": 1,
"purpose": "signal"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "less_than_or_equal",
"right": {
"type": "constant",
"value": -5
}
}
],
"enabled": true,
"id": "exit_2",
"name": "Stop Loss at 5.0%",
"priority": 10,
"purpose": "stop_loss"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "greater_than_or_equal",
"right": {
"type": "constant",
"value": 10
}
}
],
"enabled": true,
"id": "exit_3",
"name": "Take Profit at 10.0%",
"priority": 11,
"purpose": "take_profit"
}
],
"position_sizing": {
"max_position_percent": 25,
"method": {
"risk_percent": 2,
"stop_loss_percent": 8,
"type": "fixed_risk"
},
"min_position_value": 100
},
"trigger_timeframe": "1d",
"version": 1
}Strategy instructions
Trading agent generated from recommendation idea 'Micron profits exploding on AI demand — jump in before the earnings rush'. Thesis: The demand for AI technology requires massive amounts of memory chips, and Micron is one of the few companies that supplies them. Because their profits are growing so rapidly and nearly all of it drops straight to the bottom line, investors are likely to bid the stock up as they realize how much money the company is making. This creates a strong momentum opportunity to ride the wave of enthusiasm into and potentially through the earnings announcement.
Performance
No trade count, win rate, or realized P&L figures are provided in this public preview. The thesis and shared rules do not establish a performance record.
What this public preview can establish
- The thesis and strategy approach describe a market view. They do not show whether an entry or exit condition is currently met.
- Technical strategy fields are shared above. Inspect the actual conditions and check when they were evaluated before relying on them.
- No trade count, win rate, or P&L figure is published in this preview. It cannot establish a performance record.
Explore
How CommonQuant researches and tests strategies · Public paper-trading record and its limits · Discover public strategies