AMD recently pulled back to the prior 2021 ATH after the recent earnings release. As long as the ~165 support holds, the price action is building a bull flag that should eventually resolve higher after working off some of the recent overbought momentum.
Resistance could come from multiple significant overhead measured targets between 209 and 233, which could eventually lead to a pull back to the 80 support range.
Resistance could come from multiple significant overhead measured targets between 209 and 233, which could eventually lead to a pull back to the 80 support range.
Trade active:
AMD continued to build out the flag highlighted last week.
At the low timeframe, price had failed breakouts on both sides as the flag completed, which is quite rare to see. The failed breakdown once again tested prior ATH price support, which once again provided an ideal entry opportunity and adequate buying to quickly reverse the move.
The price was then able to once again break over the downtrend line, and backtested the breakout on Friday.
As long as price holds the downtrend breakout, the expectation is for price to continue higher to the next resistance region > 200.
At the low timeframe, price had failed breakouts on both sides as the flag completed, which is quite rare to see. The failed breakdown once again tested prior ATH price support, which once again provided an ideal entry opportunity and adequate buying to quickly reverse the move.
The price was then able to once again break over the downtrend line, and backtested the breakout on Friday.
As long as price holds the downtrend breakout, the expectation is for price to continue higher to the next resistance region > 200.
Trade closed: stop reached:
Stop hit at open
Comment:
The 162 tweezer bottom held as support, the consolidation has resolved into the expected region of resistance. At the low time frame there appears to be room to ~ 222
Trade closed: target reached:
Price briefly touched the 222 resistance level this morning before strongly reversing back lower. It Reasonable to now expect consolidation and retracement to re-test lower supports. If the 164-165 region fails then we might see a quite significant pullback over the coming months.