AMD stock price has hit new record highs, as the company’s stock appears to have become a toast of WallStreetBets followers.
Shares of Advanced Micro Devices touched off 108.52 to mark a new record high after solid demand led the stock to a 4th straight day of gains.
Data shows that the company has further eroded the market share held by Intels, as the latter continues to falter on the delays in the production of its new chips.
Meanwhile, AMD appears to be navigating the global chip shortage very well. Analysts believe that continued business with Taiwan Semiconductor Manufacturing Company is allowing AMD the resources it is using to beat its targets.
The company reported strong earnings on Tuesday and upped its forward guidance for sales and revenue. Since then, it has continued to hit new highs in trading.
Technical Outlook for AMD
AMD’s stock price ascent comes off an inverse head and shoulders pattern on the daily chart, technically speaking. The breakout from this pattern has exceeded the measured move and now challenges resistance at 107.07 (100% Fibonacci extension). Continued advance brings the AMD stock price towards 113.35 (127.2% Fibonacci extension).
On the other hand, if the price fails to break 107.07, we could see a correction that targets 104.43, with 102.12 and 98.24 serving as additional downside targets. 95.52 (7 July high) and 92.79 complete potential targets that could face a challenge from an extensive corrective decline.