Western Digital Corp. (NASDAQ:WDC) shares fell on Thursday. This move follows a sharp 8.71% surge during Wednesday’s session. The broader markets also faced pressure. The Nasdaq fell 0.24%, while the S&P 500 shed 0.12%.

Geopolitical Friction Impacts Tech Sentiment

Market volatility follows President Donald Trump’s announcement to extend “Operation Epic Fury.” Trump warned of strikes on Iran for “two to three weeks” more. “We are going to hit them extremely hard,” Trump stated during his address.

This escalation has caused a historic decoupling between oil and equities.

The AI Storage’ Gold Mine’

CNBC’s Jim Cramer remains bullish on the sector’s long-term prospects. Cramer noted that memory companies like Micron Technology Inc. (NASDAQ:MU) and Western Digital are sitting on a “gold mine.” He cited the unprecedented data demands of artificial intelligence as a primary driver for storage.

Western Digital Technical Analysis

At $288.24, the stock is trading 3.8% above its 20-day simple moving average (SMA), the stock’s average price over the last 20 sessions. It’s 29% above its 100-day SMA.

Moving average structure still leans constructive, with the 20-day SMA above the 50-day SMA, and the golden cross in July (July 22) keeping the longer-term trend bias positive.

The stock has gained 598.49% over the past 12 months. With price still below the $319.62 52-week high but far above the $28.83 low.

  • Key Resistance: $296.50
  • Key Support: $238.00

WDC Stock Price Activity: Western Digital shares were down 3.25% at $288.04 at the time of publication on Thursday, according to Benzinga Pro data.