- and oversold
- dipped and turning back to possibly form a long positive trend
- RMI is in the lows and dipped in red - may continue being in red but from here it has to go up at some point
- Williams VixFix has a somewhat proven trend - when the vixfix bar is green and the stock candle is green, then from here or the next one green/grey candle the price goes up and vixfix cools. We got our green+green today
- We have a gap to cover at 4,40 and the stock price, although gradually, has a low angle up trend - the current price is in the lower part of the trend.
AMD has been destined to touch the 5 USD mark , and although its a long shot and all other scenarios happen, should the trend turn and with speed i give possibility of seeing 5 in 2014. And although the price is below the KeyHiddenLevels (props to timwest), it is still above the trading range it was the next day after the (while indicators are lower). I would add on a move up and consider selling below 3.70 if you need a stop loss point. If 3.7 gets reached soon, i would assume indicators are also low/lower so i migjht not sell there... but if indicators correct and the 3.70 price is reached then, it would be a better point to get out.
AMD is fundamentally sound. 4.3 billion in assets, 2.2 billion in debt, 980 million in cash, and has reversed the negative earnings trend from a few years back, including shedding nearly 5 billion of its debt.
It is a game of prove it now, which is understandable given how much spin AMD former CEO's have mouthed out over the years. One really good quarter will start catching investors eye, and the shorts (24%) will cover quickly once we set a trend.
Don't forget to take another look at this stock next year with a different perspective.
This is adding up to be one of the best trades of the decade. Price in at historical lows, high short interest, volatility creeping towards historical lows and expecting technology that will disrupt the foremost powers in semi's.