The Memory Bottleneck Trade: DRAM

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Friday, September 4, 2026 

DRAM is the cleanest way to own the entire memory complex in one ticker: Samsung, SK Hynix, Micron, plus the storage names (Sandisk, Seagate, Western Digital, Kioxia). It launched in April and has already become one of the fastest-growing ETFs in history because the market finally realized memory, not just GPUs, is the binding constraint on AI. I personally like identifying ETFs, not only to track a basket of stocks and trade individual names, but also to buy the ETFs themselves. Sometimes I buy them in long-term accounts, and sometimes I trade them. In the Mastering the Trade room today, I placed a few longs on DRAM. Let’s discuss why…

DRAM – Daily Squeeze

After reaching new, all-time highs at $81.34, DRAM pulled back hard in July with a swift break through the 50 SMA. It was down ~32% for the month. Since then, however, it bottomed out and started consolidating, forming a squeeze! The first dot of the squeeze occurred on August 6th, and today was the first day that it broke out above resistance. Today’s daily chart showed one of my favorite buy signals, a gap above the 50 SMA and upward move of over +6.61%. 

DRAM – Daily Chart 9.4.26

DRAM is breaking out above resistance at the 50 SMA, plus it has a daily squeeze.

Why This Industry Group Matters

Think of AI data centers as giant factories that turn electricity into intelligence. The GPUs get all the headlines, but they are useless without enormous amounts of fast memory sitting right next to them. Demand is exploding, and supply can’t keep up. Some of my favorite memory stocks were breaking out today as well. I’m still long MU with a price target of $1100 before earnings, as mentioned on Charles Payne and traded in the Mastering the Trade room. It has been pretty back and forth, but after entering the Earnings Hot Zone this week, and finally took off. 

Take a look below:

MU – Daily Chart 9.4.26

MU has entered the Earnings Hot Zone and finally broke out above the $1,000 area of key resistance. 

While I’ve been enjoying trading MU this year, the options are expensive, along with the price of the stock itself! DRAM, the ETF, gives me exposure to the entire group without having to pick which Korean giant or which U.S. name will be the best. I also love the benefits of the low-priced ETF where I can buy shares, long options, or more.

I hope everyone has a fantastic Labor Day Weekend! I look forward to getting back to it next Tuesday.

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