AMD: The Next Major Support Level!
Key Observations:
Daily Chart (Left)
Support Level Break: AMD has lost the critical support level at $148.01, indicating potential continuation of the bearish momentum. This breakdown suggests increased selling pressure, possibly leading to further declines.
Large Bearish Candle: A significant bearish candle following the support break after earnings reinforces the bearish sentiment, signaling that sellers have taken control after the support failure.
Weekly Chart (Right)
Long-Term Trend Line: The price is approaching a long-term trend line, which has historically acted as strong support, since Oct 2022. This trend line is crucial as it could provide a possible area for a bullish bounce or, if broken, lead to a long-term reversal.
Overall Bullish Structure: Despite recent declines, the overall weekly structure still holds a long-term uptrend. However, since it topped in March this year, we don't see AMD making higher highs/lows, and this could be a problem, especially if AMD loses this trend line in the next few weeks.
Conclusion:
AMD’s breakdown of daily support at $148.01 signals bearish momentum, and now it seems that AMD is seeking the weekly trend line, which serves as a crucial support area to watch for potential bullish reactions. This is our last major support level, as if AMD loses it, we'll see a big reversal in play.
For more detailed technical analyses and insights like this, be sure to follow my account. Your support helps me continue providing valuable content to help you make informed trading decisions.
Remember, real trading is reactive, not predictive, so let's stay focused on the key points described above and only trade when there is confirmation.
“To anticipate the market is to gamble. To be patient and react only when the market gives the signal is to speculate.” — Jesse Lauriston Livermore
All the best,
Nathan.
Daily Chart (Left)
Support Level Break: AMD has lost the critical support level at $148.01, indicating potential continuation of the bearish momentum. This breakdown suggests increased selling pressure, possibly leading to further declines.
Large Bearish Candle: A significant bearish candle following the support break after earnings reinforces the bearish sentiment, signaling that sellers have taken control after the support failure.
Weekly Chart (Right)
Long-Term Trend Line: The price is approaching a long-term trend line, which has historically acted as strong support, since Oct 2022. This trend line is crucial as it could provide a possible area for a bullish bounce or, if broken, lead to a long-term reversal.
Overall Bullish Structure: Despite recent declines, the overall weekly structure still holds a long-term uptrend. However, since it topped in March this year, we don't see AMD making higher highs/lows, and this could be a problem, especially if AMD loses this trend line in the next few weeks.
Conclusion:
AMD’s breakdown of daily support at $148.01 signals bearish momentum, and now it seems that AMD is seeking the weekly trend line, which serves as a crucial support area to watch for potential bullish reactions. This is our last major support level, as if AMD loses it, we'll see a big reversal in play.
For more detailed technical analyses and insights like this, be sure to follow my account. Your support helps me continue providing valuable content to help you make informed trading decisions.
Remember, real trading is reactive, not predictive, so let's stay focused on the key points described above and only trade when there is confirmation.
“To anticipate the market is to gamble. To be patient and react only when the market gives the signal is to speculate.” — Jesse Lauriston Livermore
All the best,
Nathan.
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