AMD - holding the 200dma

Whilst the main market settled moderately higher, there was significant strength in Advanced Micro Devices (AMD), which settled +4.3% at $12.67. The 50dma is a basic target within the near term. If the main market cools 4-5% in Sept/Oct, the 200dma will be very vulnerable to breaking.


AMD daily

AMD monthly

Summary

Suffice to add, near term bullish, for a company that has a rapidly growing line of high quality products that are increasingly respected within the tech/gaming/mining community.

A main market wave lower of 4-5% - to the sp'2350s, seems due this Sept/Oct. If correct, AMD is going to struggle to hold the 200dma.

More broadly though, the stock looks exceptionally bullish. That view only changes if the main market sees a bearish monthly close.

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notable call buying today...

Traders were rolling from the Oct' calls to the Nov'13s. Any break of the 200dma in Sept' or Oct' though, and AMD would implode to at least $10, in which case those Nov'13s will become worthless.

Yours... prefers NVDA graphics cards