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AMD Technical Analysis

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AMD- December 2024

Current Price Trends and Short-Term Analysis

Hourly Chart (Short-Term)

The short-term trend for AMD on the hourly chart is currently down, indicating some immediate bearish momentum. However, there are early signs of a turnaround as the price edges up from $132 toward the $145 level. Significant resistance exists at $145, which will act as a crucial test for further upward momentum. Until AMD decisively breaks this level, the price action is likely to remain choppy and sideways.

Immediate-Term Outlook

In the immediate term, AMD appears to be stabilizing and attempting to shift upward. The current price action suggests that the stock may oscillate within the range of $132 to $145 in the short term, building a base for a potential breakout. Key resistance levels are $145, $150, and $155.

Medium-Term (Three-Month Daily Chart)

Trend Overview

On the three-month daily chart, AMD exhibits a downward trend. However, the stock is showing signs of turning around, as indicated by improved technical indicators such as the MACD and RSI. The price is likely to consolidate and move sideways to upward before gaining enough strength to push through resistance levels.

  • First Resistance: $145
  • Second Resistance: $150
  • Third Resistance: $155
  • Major Resistance: $173 (once $155 is breached)
  • Support Levels: $132 (near-term support), $129 (monthly downside)

Long-Term Monthly Outlook (December Range)

December Price Range

The projected range for AMD in December is:

  • Upside: $155
  • Downside: $129

By the end of December, AMD is expected to approach the $155 resistance level. If the stock breaks above this level, the next target would be $173, representing a significant psychological and technical barrier.

Technical Indicators

  • MACD: The Moving Average Convergence Divergence (MACD) has crossed over into positive territory, signaling a potential bullish reversal.
  • RSI: The Relative Strength Index (RSI) has recovered from 32 (oversold) to 47, indicating strength but suggesting further consolidation is needed before a sustained upward move.
  • Price Exhaustion: Evidence of price exhaustion suggests that sellers are losing momentum, giving buyers an opportunity to take control.

Conclusion

AMD is currently at a critical juncture in its price action. While the short-term trend is down, the stock is showing signs of recovery as it moves toward the $145 resistance level. In the immediate term, choppy sideways action is expected, with potential upside toward $155 by the end of December. Breaking above $155 would open the door to the next major resistance at $173.

Technical indicators such as the MACD and RSI support the view of a gradual turnaround. However, the stock needs to build strength through consolidation before achieving sustained upward movement. Investors should monitor the key resistance levels ($145, $150, and $155) and broader market sentiment for confirmation of a breakout. Patience is key as AMD navigates its recovery path.

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