Exploring ADVANCED MICRO DEVICES's Technical Signals and Breakout Potential.

Our stock screener has identified ADVANCED MICRO DEVICES (NASDAQ:AMD) as a potential breakout candidate. This technical breakout setup pattern occurs when the stock consolidates after a strong uptrend. While the actual breakout is uncertain, it may be worth keeping an eye on NASDAQ:AMD.

Deciphering the Technical Picture of NASDAQ:AMD

At ChartMill, a crucial aspect of their analysis is the assignment of a Technical Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous technical indicators and properties.

We assign a technical rating of 7 out of 10 to AMD. Although AMD has been one of the better performers in the overall market, we have a mixed picture in the medium term time frame. But recently some decent action can be observed again.

• When comparing the yearly performance of all stocks, we notice that AMD is one of the better performing stocks in the market, outperforming 87% of all stocks. On top of that, AMD also shows a nice and consistent pattern of rising prices.
• The long and short term trends are both neutral. This gives a pretty neutral overall picture!
• AMD is part of the Semiconductors & Semiconductor Equipment industry. There are 107 other stocks in this industry, AMD did better than 68% of them.
• AMD is currently trading in the middle of its 52 week range. The S&P500 Index however is currently trading near new highs, so AMD is lagging the market.
• In the last month AMD has a been trading in the 153.34 - 169.51 range, which is quite wide. It is currently trading in the middle of this range, so some resistance may be found above.

For an up to date full technical analysis you can check the technical report of AMD

How do we evaluate the setup for NASDAQ:AMD?

In addition to the Technical Rating, ChartMill provides a Setup Rating for each stock. This rating, ranging from 0 to 10, assesses the level of consolidation in the stock based on multiple short-term technical indicators. Currently, NASDAQ:AMD has a 8 as its setup rating, indicating its current consolidation status.

AMD has an excellent technical rating and also presents a decent setup pattern. We see reduced volatility while prices have been consolidating in the most recent period. There is a resistance zone just above the current price starting at 164.28. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 163.45, a Stop Loss order could be placed below this zone.

Trading breakout setups.

A breakout could materialize when the stock breaks out to new highs above the current consolidation zone. One could wait for this to happen and buy when this happens. A stop loss could be placed below the consolidation zone.

Please note that this article should not be construed as trading advice. The information provided is solely based on automated technical analysis and serves to highlight technical observations. It is important to conduct your own analysis and make trading decisions based on your own judgment and responsibility.

Every day, new breakout setups can be found on ChartMill in our Breakout screener.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.