Collar on AMD I did a $150 put sale and got put shares. I rcvd $1.50 credit when I did it. I REALLY would love to sell AMD at $175
But I'll be okay owning the shares for a while. I will sell my puts for a profit if AMD sells off and buy more shares. I'll be fine sitting in AMD for a 6+ months to be profitable, although I don't believe I'll have to.. .
AMD trade ideas
In a Deal Worth $4.9 Bln, AMD to Acquire Server Maker ZT SystemsAdvanced Micro Devices Inc. ( NASDAQ:AMD ), a key player in the semiconductor industry, is making significant strides in its ongoing quest to challenge Nvidia Corp.'s dominance in the AI and data center markets. In a bold move, NASDAQ:AMD has announced its acquisition of ZT Systems, a privately-held server maker based in Secaucus, New Jersey, in a cash and stock transaction valued at $4.9 billion. This strategic acquisition marks a critical step in AMD's expansion into data center technology and AI infrastructure, positioning the company to better compete in an increasingly AI-driven world.
A Strategic Acquisition to Bolster AI Capabilities
ZT Systems, a veteran in the server manufacturing industry, has built a reputation for designing and producing high-performance servers for large data centers. These servers are crucial for companies investing heavily in artificial intelligence (AI) capabilities. By acquiring ZT Systems, AMD is not just expanding its portfolio; it's significantly strengthening its Data Center Solutions Business Group. This move aligns with AMD's broader strategy to enhance its AI systems and challenge Nvidia's market leadership.
Lisa Su, AMD's CEO, emphasized the importance of this acquisition, stating, "Our acquisition of ZT Systems is the next major step in our long-term AI strategy to deliver leadership training and inferencing solutions that can be rapidly deployed at scale across cloud and enterprise customers." Su's comments reflect AMD's commitment to expanding its AI capabilities, which have become increasingly vital as AI adoption accelerates across industries.
Aiming to Rival Nvidia's Dominance
Nvidia, the undisputed leader in the data center market, has built its success on offering a comprehensive suite of AI-related products, including chips, networking, servers, software, and services. AMD's acquisition of ZT Systems is a strategic move to close the gap and offer a more competitive suite of products that can meet the growing demands of AI computing.
NASDAQ:AMD has already invested over $1 billion in the past year to expand its reach in the AI market, and the acquisition of ZT Systems is expected to further accelerate this momentum. AMD's new MI range of accelerator chips is projected to generate over $4.5 billion in revenue this year, making it the most formidable challenger to Nvidia in the AI processor market. However, Nvidia's dominance remains unchallenged, with analysts predicting the company will generate $100 billion in data center revenue this fiscal year.
Strengthening AMD's AI Ecosystem
ZT Systems brings to NASDAQ:AMD a wealth of expertise in AI systems design, which includes not only silicon but also software and systems. This acquisition will enable NASDAQ:AMD to offer a more integrated and efficient AI infrastructure, which is essential as AI systems become more complex and demanding. The ability to design end-to-end data center solutions that are optimized for AI workloads will be a key differentiator for NASDAQ:AMD in the competitive AI market.
Moreover, ZT Systems' CEO Frank Zhang and President Doug Huang will play pivotal roles in integrating the company into AMD's operations. Zhang will lead AMD's manufacturing business, while Huang will oversee design and customer enablement teams. Both executives will report to AMD's executive vice president and general manager, Forrest Norrod, ensuring a seamless integration of ZT Systems into AMD's Data Center Solutions Business Group.
A Vision for the Future
The acquisition of ZT Systems is expected to close in the first half of 2025, and its impact on AMD's AI strategy will likely be felt for years to come. With this acquisition, NASDAQ:AMD is positioning itself as a more formidable competitor to Nvidia, particularly in the rapidly growing AI market. The combination of AMD's high-performance Instinct AI accelerator, EPYC CPU, and networking product portfolios with ZT Systems' industry-leading data center systems expertise will enable AMD to deliver end-to-end data center AI infrastructure at scale.
Technical Outlook
Advanced Micro Devices (NASDAQ: NASDAQ:AMD ) stock has risen 2.56% in Monday's premarket trading. After a bearish pattern, a strong bullish reversal on August 5 validated a shift in trend. AMD's acquisition deal is expected to drive growth in AI stocks, with strong buy ratings from tradingview.com and stockanalysis.com. The RSI stands at 52.92, indicating potential for further growth. However, traders should exercise caution, as AMD is currently trading below its 50, 100, and 200-day moving averages.
As the AI revolution continues to reshape industries, AMD's strategic acquisition of ZT Systems signals its commitment to being at the forefront of this transformation. By bolstering its AI infrastructure capabilities, AMD is not only challenging Nvidia's dominance but also paving the way for a more competitive and innovative future in AI computing.
AMD: Wave 3 of 3 AMD is having fighting against resistance at $140 and has a very clear wave structure. Wave 1 began March 8 and fell to $142 where Wave 2 began. Wave 2 ended on July 15 and and wave 1 of 3 ended on July 30. I believe wave 2 of 3 has ended (or is close) and wave 3 of Wave 3 is about to begin. PT 1 is 109, PT2 is 88. This upcoming wave will see the most selling AMD has seen this year, so PUT buyers should profit nicely.
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Position sizing is the foundation of risk management. I always set a daily and weekly stop-loss limit to ensure that I can recover mentally and financially from any losses. My daily stop-loss is capped at 5-10% of my entire trading account, and I never risk more than 30% of that daily limit on a single trade.
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When setting stop-losses, I place them at strategic points highlighted by the market, such as significant support or resistance levels. To avoid premature stop-outs due to market noise, I set my stop-loss beyond the spread and the market’s natural fluctuations. For example, if the FDAX is in an uptrend with the last higher low at 17,000 points and the spread is 15 points, I would set my stop-loss at 16,967 points (17,000 - 15 - 17).
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AMD: Aiming for higher levels! D & W charts.On the daily chart, AMD has been rebounding from the recent lows near the double support area around $132.83, highlighted on the weekly chart. This support level is made by the ascending trendline, which has been respected multiple times, indicating its significance, and the previous bottom level at $132.83.
The recent upward movement is taking the price back toward the next resistance level at $153.34, which also aligns with the open gap that has yet to be filled. The 21-day EMA (blue line) is currently below the price, suggesting that short-term momentum is favoring the bulls. However, the price needs to break above this resistance to continue the recovery towards higher levels.
If the price manages to fill the gap and close above the resistance, it could lead to further gains, potentially targeting the next open gap at $174.53. On the other hand, if AMD fails to breach the $153.34 level, it could trigger a pullback to its 21 ema or other support level, where it might find buying interest again.
The overall trend remains cautious but bullish as long as the price stays above the $132.83 support and the ascending trendline on the weekly chart. However, watch closely how the price behaves around the resistance at $153.34, as it will likely dictate the next move.
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.
AMD indicates potential weakness- HIGH RISKAMD indicates potential weakness- HIGH RISK
From our previous analysis AMD reached our bullish target and now we can see a complete transformation.
Today AMD is showing a bearish continuation pattern indicating further price decline.
The wave we may have this time will be only a corrective wave because AMD is in a very strong bullish trend a very risky to sell it.
However, you can use this analysis as an Indication about the next move that may happen during the Earnings Report on 30 July 2024.
The only way to trade AMD is if you can risk a small amount and buy PUT Options on AMD.
The risk will be limited in this way however it may develop.
Previous analysis:
AMD Ascending Wedge + Resistance Short IdeaAMD looks really nice here. This is a clean uptrend and it has stalled right at resistance around 140-142. This resistance level was tapped in January and again in May. Bulls need to hold here, a trend break would likely send it to 130 at least. If it continues, we may see 120 or lower. I think the 120-130 area is a good short target though.
AMD is very interesting today 8/14Technical Analysis
Chart Overview
Trend Analysis:
AMD has been in a rising trend since the beginning of the month, creating a series of higher highs and higher lows.
The stock has recently broken through a significant resistance level, suggesting a continuation of the upward trend.
Support and Resistance Levels:
Immediate Support: Around $138.19, marked by the light green line.
Major Support: At $134.89, this level coincides with a previous high and is a key level for bullish momentum.
Immediate Resistance: Around $142.92, the recent high reached during the current rally.
Major Resistance: At $143.15, this represents the upper boundary of the current price channel and is also near the volume profile peak.
Volume Profile:
High Volume Node (HVN): The significant trading activity around $136-$139, indicating a strong support zone if the price pulls back.
Low Volume Node (LVN): Above $142, the volume decreases, indicating less trading activity and potential for quick price movements if the level is breached.
Momentum Indicators:
MACD: The MACD line is above the signal line, which indicates bullish momentum. However, the histogram is starting to flatten, suggesting the momentum may be waning.
Stochastic Oscillator: In the overbought zone, indicating that the stock may be due for a short-term pullback.
Price Action:
The price action shows a strong bullish move, breaking above previous resistance levels with solid green candles and rising volume.
Market Data and Sentiment
Recent News and Catalysts:
AMD continues to benefit from the semiconductor industry's strong demand, particularly in data center and gaming applications.
Positive earnings reports and guidance from the company have contributed to the bullish sentiment.
Analyst Sentiment:
Analysts maintain a positive outlook on AMD, with several increasing their price targets following recent earnings.
Most analysts see the stock as a "buy" or "strong buy" with expectations of continued growth in the coming quarters.
Market Sentiment:
Social Media: Positive sentiment, with traders and investors expressing optimism about AMD’s potential to outperform in the semiconductor sector.
Institutional Investors: Institutions continue to accumulate AMD shares, indicating confidence in the company’s long-term prospects.
Price Levels and Trading Blocks
Buy Block:
Strong buying interest is evident around the $134-$136 area, a zone of previous resistance now acting as support.
Sell Block:
Sellers are likely to be active around the $142-$144 level, as indicated by the volume profile and price action.
Entry and Exit Points
Bullish Scenario:
Entry Point: Consider entering a long position if the price holds above $142.92 with sustained volume, signaling the continuation of the upward trend.
Exit Point: Take profits around $145 and $147 levels.
Stop Loss: Place a stop loss below $139 to protect against downside risk.
Bearish Scenario:
Entry Point: Consider shorting if the price falls below $138.19 and fails to reclaim it.
Exit Point: Cover the short position around $136 and $134.89 levels.
Stop Loss: Place a stop loss above $140 to manage risk.
Key Levels to Watch
Breakout Level: A break above $143.15 could lead to a strong rally towards $147 and potentially $150.
Breakdown Level: A fall below $138.19 could lead to a retest of the $134.89 and $132 levels.
Trading Strategies
Scalping:
Look for quick trades within the $138-$143 range, buying on dips and selling on rallies.
Swing Trading:
Consider buying on pullbacks to the $136-$138 zone with a target of $145-$147.
A stop loss can be placed below $135.
Options Trading:
Call Options: For a bullish outlook, consider buying call options with a strike price near $145.
Put Options: If anticipating a decline, consider buying puts with a strike price around $135.
Conclusion
AMD is currently in a bullish phase, with a potential for further upside if key resistance levels are broken. Monitoring the $142.92 resistance and the $138.19 support will be crucial in determining the stock’s direction for tomorrow and the upcoming week.
Disclaimer
The information provided in this analysis is for informational purposes only and does not constitute financial advice. Trading stocks and other financial instruments carries a high level of risk and may not be suitable for all investors. Past performance is not indicative of future results. Please consult with a financial advisor before making any trading or investment decisions.
AMD Road to $295 has begun.The Advanced Micro Devices (AMD) is on the 2nd straight weekly bounce following the August 05 bottom. This is so far the strongest 2-week bullish reversal since November 06 2023, which was the previous bottom/ Higher Low on the 2-year Support Zone.
It is no coincidence that this rebound took place just before hitting the 1W MA100 (green trend-line). So far we have had two Bullish Legs arising from this Support Zone structure and currently we are expecting the 3rd.
Since the decline following the March 2024 High has been around -47%, similar to the September 2023 one, we expect the Bullish Leg to be equally strong. As a result, our new long-term Target is $295.00.
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ADVANCED MICRO DEVICES - Ready for a reversal?NASDAQ:AMD is retesting a significant horizontal structure and we might see a bullish reversal soon, considering that AMD already created a correction of -45% over the past couple of months.
Click chart above to see detailed analysis
AMD is clearly one of these "AI" hype stocks which is now coming back to normal levels after also NVIDIA and other tech stocks are correcting a bit. AMD has been trading in a rising channel formation since the "Covid" crash back in 2020. With the recent break and retest, we could definitely see a bullish reversal soon.
Levels to watch: $120
Keep your long term vision,
Philip - BasicTrading
AMD, Multiyear bullrunAMD has been a laggard when compared to NVIDIA. But it's in a multiyear bullrun.
We are currently in Wave 1(Sub wave 5 of 5) of larger Wave 3. Once Wave 1 is complete, which i expect by the end of this year, we can expect correction as part of wave 2.
If you like the idea, like and share :)
AMD Wendy's SetupStock has dropped almost 40% from it's ATH into a pennant into earnings. Short sellers would be insane not to cover on any good news or if sentiment just stops getting worse. Tech as a whole looks due for a bounce, AMD was a bottom indicator in 2023, could do it again in 2024.
Upside price targets are 155, if through then 200
Stop loss = breakdown of the pennant
Great Opportunity or a Sign Of Weakness?After seeing NVidia's reaction to there event, SMCI falling and a dead cat bounce. I truly have high hopes for AMD, BUT as we see in the volume profile levels there are gaps to be filled on the downside.
But, another thing to take into consideration is the chips act is awarding grants and loans to these companies now. Good news could be the only thing that makes it rocket.
For now... looks pretty iffy to me.
Advanced Micro Devices Inc. — Support Target Revealed!AMD has been in a strong decline since March 2024, the exact same date when Bitcoin and the Cryptocurrency market peaked.
We are experiencing a classic ABC correction (a Zig-zag) as known from the Elliott Wave Theory charting system.
The initial bearish signal came as a Doji in March. The candle hit a new high but lacks in volume compared to previous sessions. The action that ensued confirmed the bearish potential.
Later, in July (last month), AMD produced a lower high and this is fully confirmed by the biggest bearish session in years, 15-July. This ultra-bearish session is followed by two additional red candles.
The last session that closed, last week, produced a very strong volume breakout; telling us that the bearish move is very, very likely to continue. High probability of additional selling by market participants.
Knowing all this, we wonder, where is the main support for this corrective wave?
👉 Based on past history and Fibonacci proportions, the target for this bearish wave sits around the price range of 96 and 85.
Thank you for reading.
Namaste.
AMD SlingshotBullish Biased on this one with or without the Earnings, but hoping for a template of reference elements to help navigate the journey of the future of this stock. While the path of the Stealth Icons should be self explanatory, the curved lines might not have meaning for the price action in the future but still should provide the broad idea I am looking for in this picture. Hopefully the stock remains in the cup and eventually explodes one way or another out of it above the top gray.
While the bottom gray might not hold in case of a prolonged corrective formation with different wave patterns and design, leading to an encounter with any of the rectangles, I firmly believe there is almost no chance of the price entering the green/blue zone polygon. I might be wrong, but still, it is an element to highlight my vision for this one.
Don't know if this one will prove to be as interesting as the Netflix Project, which is similar in design with the dotted path targets, but still, as usual in nen project, there will be updates, comments, candlestick analysis, bias confession, and more.
If the price does indeed eventually go up, my hope is that somewhere near the gray we might have some more candlestick related price action relative to the top gray. I expect not hectic but impulsive trading days for AMD and potential surprises that might disrupt the flow of the evolution of the price. Looking back on the past activity there are many gaps, many long candles so more of the same could be expected, especially near and after earnings.
AMD surpasses expectations and raises AI chip sales for 2024Advanced Micro Devices (AMD) reported impressive quarterly results, beating analysts' expectations and raising its revenue forecast for artificial intelligence (AI) chips through 2024. According to the company's projections, demand for AI chips will outstrip supply through 2025, indicating a sustainable growth trajectory for AMD's key business segments.
For Q3 2024, AMD forecasts revenue of 6.7 billion USD, which aligns with LSEG analysts' average estimate of 6.61 billion USD. This projection is supported by the recovery of the PC market, which is experiencing a resurgence after a significant downturn. Integrating new artificial intelligence features is expected to boost consumer demand further.
In the data centre segment, AMD's largest division, revenue in Q2 rose 115% to 2.8 billion USD, exceeding expectations of 2.79 billion USD. Notably, quarterly revenue from artificial intelligence chips in this segment surpassed the 1 billion USD mark for the first time. Overall, AMD's revenue in the second quarter grew by 9% to 5.8 billion USD, exceeding the forecasted 5.72 billion USD.
Technical analysis of Advanced Micro Devices (NASDAQ: AMD)
Exploring potential trading opportunities based on AMD's stock performance:
Timeframe : Daily (D1)
Current trend : the stock is in a downtrend, but recent strong earnings and positive forecasts may catalyse a shift to an uptrend
Resistance level : 153.60 USD
Support level : previously at 138.60 USD, which has now been breached
Potential downtrend target : if the downtrend persists, the downside target could be at 117.50 USD
Short-term target : if the trend reverses and the stock returns above the previous support level, a short-term target could be 174.60 USD
Medium-term target : with sustained positive momentum, the stock price might aim for 188.50 USD
Investors and traders should keep a close eye on AMD, especially as the company capitalises on the growing demand for artificial intelligence chips and benefits from the recovery of the PC market. AMD's strategic focus on artificial intelligence and data centres sets it apart from its competitors, which may further boost the stock.
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