Can the storage sector keep going? What should we do now?
Recently, the logic behind the storage sector remains strong, but the market has gradually shifted from a “fundamentals-driven” phase to a “fundamentals + capital game” phase.
Fundamentals: Slightly bullish.
Demand for AI servers, HBM, and enterprise-grade SSDs continues to grow, while supply-side capacity expansion requires a relatively long cycle. According to TrendForce, global DRAM revenue in 2026 Q2 increased quarter-over-quarter by 59.5%, while the top five NAND manufacturers’ revenue grew quarter-over-quarter by 77%. Demand for enterprise SSDs remains robust.
Technicals: Strong trend, but volatility has clearly amplified.
Micron, SanDisk, and SK Hynix previously saw sharp rallies, but recently have shown noticeable consolidation and pullbacks. The trend hasn’t easily broken down, but the short-term market is no longer in the early “low-level entry” phase. The risk-reward for chasing rallies has clearly deteriorated.
Capital flows: This is the biggest thing to be cautious about.
Storage has become a popular trading theme in the market. When capital is concentrated, price increases can accelerate quickly, and declines can also trigger stampedes. The sector’s recent pullbacks reflect more position sizing and sentiment rather than a sudden deterioration in fundamentals.
So my thinking is very simple:
Don’t chase at highs blindly—wait for a pullback and confirmation.
Don’t easily dismiss the long-term thesis just because of short-term declines.
If you already have positions, focus on position management and key support levels, rather than frequently chasing and selling in the middle of price swings.
If you don’t have positions, it’s better to miss part of a rally than to chase in with heavy weight when sentiment is at its hottest.
What’s truly worth paying attention to in this storage cycle isn’t “how much more it can rise,” but whether, after the fundamentals continue to play out, capital can form a second wave of trend again.
#Aİ
$SNDK $MU
Recently, the logic behind the storage sector remains strong, but the market has gradually shifted from a “fundamentals-driven” phase to a “fundamentals + capital game” phase.
Fundamentals: Slightly bullish.
Demand for AI servers, HBM, and enterprise-grade SSDs continues to grow, while supply-side capacity expansion requires a relatively long cycle. According to TrendForce, global DRAM revenue in 2026 Q2 increased quarter-over-quarter by 59.5%, while the top five NAND manufacturers’ revenue grew quarter-over-quarter by 77%. Demand for enterprise SSDs remains robust.
Technicals: Strong trend, but volatility has clearly amplified.
Micron, SanDisk, and SK Hynix previously saw sharp rallies, but recently have shown noticeable consolidation and pullbacks. The trend hasn’t easily broken down, but the short-term market is no longer in the early “low-level entry” phase. The risk-reward for chasing rallies has clearly deteriorated.
Capital flows: This is the biggest thing to be cautious about.
Storage has become a popular trading theme in the market. When capital is concentrated, price increases can accelerate quickly, and declines can also trigger stampedes. The sector’s recent pullbacks reflect more position sizing and sentiment rather than a sudden deterioration in fundamentals.
So my thinking is very simple:
Don’t chase at highs blindly—wait for a pullback and confirmation.
Don’t easily dismiss the long-term thesis just because of short-term declines.
If you already have positions, focus on position management and key support levels, rather than frequently chasing and selling in the middle of price swings.
If you don’t have positions, it’s better to miss part of a rally than to chase in with heavy weight when sentiment is at its hottest.
What’s truly worth paying attention to in this storage cycle isn’t “how much more it can rise,” but whether, after the fundamentals continue to play out, capital can form a second wave of trend again.
#Aİ
$SNDK $MU
