Advanced Micro Devices Inc. reported a first quarter EPS of -0.13, well above (25.77%) the consensus estimate of -0.18. $AMD stock price has been experiencing strong accumulation after the company announcing that new servers will be launching on its technology at a much cheaper price. Current trend for $AMD appears to be very bullish with a strong potential of reaching the upper channel extension in the mid term.
I am going to start off by covering the first image (Daily Dot Chart). I changed the price settings to a Dot graph because I want to make evident past gaps that are significantly important for the forthcoming price action. Gaps most of the times serve as very strong S&R levels, also they tend to repeat themselves close to where they occurred in the past; so after $AMD breaks the $4.30 support, we could see a large gap in the next opening or so.
Important levels to pay close attention are around: $5.50â$5.30â$4.80â$4.30â$4.00.
I bought shares at 4.06 after breaking above the $4 support, closing the day about 5.8% up. Personally I discovered $AMD a bit late, not being able to buy right above the lower channel extension, however I think there is still immense opportunities of profit at current levels. $AMD shows a Volume by Price with strong support around the $5.30â$5.50 level; notice that it is one of the lenghiest bars in the graph. If we get to see a breakout above that Volume by Price bar, one could predict higher prices, eventually reaching the upper channel extension.
Other events to consider: MACD is bullish; RSI is overbought, not meaning there is going to be a reversal, though a soft consolidation might soon originate.
The second image is based on a 60min time frame. $AMD appears to have a rising wedge pattern with a successful bullish breakout; right below the upper line is a decent exit point just in case there is any pullback which $AMD might eventually encounter. In conclusion, I am long $AMD since $4.06 with a strong bullish forethought.
Alexander Schachter
I am going to start off by covering the first image (Daily Dot Chart). I changed the price settings to a Dot graph because I want to make evident past gaps that are significantly important for the forthcoming price action. Gaps most of the times serve as very strong S&R levels, also they tend to repeat themselves close to where they occurred in the past; so after $AMD breaks the $4.30 support, we could see a large gap in the next opening or so.
Important levels to pay close attention are around: $5.50â$5.30â$4.80â$4.30â$4.00.
I bought shares at 4.06 after breaking above the $4 support, closing the day about 5.8% up. Personally I discovered $AMD a bit late, not being able to buy right above the lower channel extension, however I think there is still immense opportunities of profit at current levels. $AMD shows a Volume by Price with strong support around the $5.30â$5.50 level; notice that it is one of the lenghiest bars in the graph. If we get to see a breakout above that Volume by Price bar, one could predict higher prices, eventually reaching the upper channel extension.
Other events to consider: MACD is bullish; RSI is overbought, not meaning there is going to be a reversal, though a soft consolidation might soon originate.
The second image is based on a 60min time frame. $AMD appears to have a rising wedge pattern with a successful bullish breakout; right below the upper line is a decent exit point just in case there is any pullback which $AMD might eventually encounter. In conclusion, I am long $AMD since $4.06 with a strong bullish forethought.
Alexander Schachter
Will require patience. Have a very small position. If Goldman can push it down to 3 or below by July I may add. I don't like it below 2.50. I'm not trading it short term. (It can go bankrupt, so what keeps it alive? Good technology is part of it, but their real ace in the hole I believe is that none of the customers would want to see an INTEL virtual monopoly. So orders will always be there somewhere. The question is, can they make money? Just losing at a slower rate is going to get old.