Although earnings are set to grow by 75% this year, AMD has rallied roughly 30x off the 2016 low into the highs in 2018. There is currently a disconnect between perception and reality with p/e at 75 and p/b at 19.
This is a short term lowered risk play based purely off technical indicators. Due to the lack of fundamental analysis behind this trade, I recommend a smaller position size. I am very bullish long term on AMD, however I see a decent short opportunity as a short term play.
AMD double bottom at $16 (October and December), and pending volume kick that would solidify continuation of bullish reversal
AMD double bottom at $16 (October and December), and pending volume kick that would solidify continuation of bullish reversal
Watching for the short. RSI and the pivot points are the key indicators that stick out to me. They arrested the CFO of Huawei, one of the biggest telecom companies in the world. Not a minor event. May seem like old news to us, but in China, it's still fresh in their memory. I don't expect these trade talks to go well.
When looking at the 2008 recession i noticed some similirates. The first wave ended at a 1.618 extension which is also did in 2019. What next? We then had a impulsive wave up, touching the 0.618 extension of the 2nd wave up in 2008. In 2019 we are doing the same, but this time the wave went above the 0.618. It states that wave 2 can reach a maximum 0.786 extension...
We will see a bull flag continuation or range expansion to the downside 17-18 area. I think bull flag possibility is kinda forceful pattern so I'll go with the second option. Entered short at 19.6 and set more orders at 20.30 - 20.60 SL 22 Targets 18.65 17.63 Reasons: Bearish Daily Candles near known resistance area. I don't expect a breakout with this...
Price action is constrained under a rising wedge formation. As soon as it breaks the pattern enter a short, take porfits at the lower trendline. I'll really appreciate if you would leave a like.
AMD is approaching our first resistance at 25.23 (horizontal overlap resistance, 50% fibonacci retracement) where a strong drop might occur below this level pushing price down to our support at 19.61 (horizontal swing low support, 61.8% fibonacci retracement). Stochastic (21,5,3) is also approaching resistance where we might see a corresponding drop in price.
After a bullish run AMD has been trading sideways in the last 4/5 days. I'd trade a bullish breakout from this level.
AMD had a very strong 30% move from 19 to 25, and it's having a nice little pullback here. Yesterday was an inside day and I would love to long the breakout today! If it breaks to the downside, this trade doesn't exist anymore. Let's see how it goes!
WE WERE AND STILL ARE BULLISH ON MICRON BUT... OUR AVERAGE COST WAS DOWN TO AROUND $30.77 AFTER LOWERING OUR COST FROM THE HIGHER PRICES WE PAID, UPWARDS OF $59 A SHARE THE STOCK WENT UP OVER 10 POINTS WITHIN A SHORT PERIOD OF TIME NOW, THE NEGATIVITY RETURNS TO THE CHIP SECTOR FROM DOGS LIKE NVIDIA...WE MENTIONED IN A PREVIOUS POST NVIDIA WAS A BUBBLE AND NOW...
On my last post i covered why AMD is going to hit the the 24 USD mark, and then drop. Well we went up slight higher, to 25USD and we began dropping. So where does that lead us? If we look at the previous analysis we just finished C, and now we would go for the 1:1 extension of A-B which is slighty higher at 7 USD. Beware bulls, its going to get nasty.
Season 20, episode 2 -- AMD thinks they have The Might Morphin GeForce Rangers cooling fans against the wall, but what they don't know is that you're supposed to buy low and sell high.
Test of the previous top coming. Believe a channel will be forming at the top.