I kinda like $AMD here. Also a case study on 2 legged pullback
I'm a big bull on $AMD. Already exited all my position from the 9 buy on July 19. I am looking to re-buy around current area.
The stock has been making a 2 legged down move. My experience says, after a big impulsive move that breaks multiple highs, the pullback IF it is a 2 legged pullback, its second leg would end around the 75% extension of the first leg. Not all the time, but most likely, if the impulse move is strong enough, and both legs of the pullback are shallow enough, the reversal usually occurs around that 75% extension area.
IF the pullback is 2 legged pullback, but the second leg does NOT breach the first leg low (not in this case of $AMD), then we got a standard buy at the 25% or 12.5% extension of the impulsive move starting from the low of the first leg of the pullback, a method about which I have been posting a lot.
As of now, $AMD is making a 2 legged pullback that is terminating around that 75% extension area.
The market is reversing, I don't quite trust it just yet. Rarely do we just dump and 180 reverse, there might be some sideway red days. In the case of $AMD, I'll watch how price reacts at the 12.5% extension of the impulsive move and then go from there.
The stock has been making a 2 legged down move. My experience says, after a big impulsive move that breaks multiple highs, the pullback IF it is a 2 legged pullback, its second leg would end around the 75% extension of the first leg. Not all the time, but most likely, if the impulse move is strong enough, and both legs of the pullback are shallow enough, the reversal usually occurs around that 75% extension area.
IF the pullback is 2 legged pullback, but the second leg does NOT breach the first leg low (not in this case of $AMD), then we got a standard buy at the 25% or 12.5% extension of the impulsive move starting from the low of the first leg of the pullback, a method about which I have been posting a lot.
As of now, $AMD is making a 2 legged pullback that is terminating around that 75% extension area.
The market is reversing, I don't quite trust it just yet. Rarely do we just dump and 180 reverse, there might be some sideway red days. In the case of $AMD, I'll watch how price reacts at the 12.5% extension of the impulsive move and then go from there.
