AMD Extends Rally With 13% Gain In 4 Days As Technicals Signal Bullish Momentum

Advanced Micro Devices (AMD) rose 3.59% in the latest session, extending its winning streak to four consecutive days with a cumulative gain of 13.10% during this period. The stock closed at $143.40 after trading between $139.46 and $144.18, supported by substantial volume of 74.1 million shares. Below is a technical analysis of AMD using the required framework:
Candlestick Theory
AMD’s price action shows a sustained bullish trend, with the last four sessions forming consecutive green candles—characterized by higher highs and higher lows. The recent breakout above the December 2024 resistance of $142.82 (2024-12-04 high) signals bullish conviction. Immediate support resides near $139.46 (today’s low), backed by the psychological $130 level. A confirmed close above $144.18 could target the November 2024 peak of $150.71, though failure to hold $139 may trigger a retracement toward $126–$128.
Moving Average Theory
The moving average configuration demonstrates a robust uptrend. The 50-day MA (~$125) crossed above the 100-day MA (~$118) and 200-day MA (~$115) in May 2025, forming a bullish "golden cross." The current price ($143.40) trades significantly above all three MAs, confirming strong momentum. The alignment (50 > 100 > 200) suggests sustained intermediate-term strength, with the 50-day MA acting as dynamic support.
MACD & KDJ Indicators
MACD (12,26,9) exhibits a bullish posture, with the histogram expanding above the signal line since early June, reinforcing upward momentum. Concurrently, the KDJ oscillator shows overbought conditions (K and D > 80), reflecting the sharp rally. While this indicates near-term exhaustion risk, no bearish crossover is yet evident. MACD’s strength outweighs KDJ’s overbought signal, suggesting pullbacks may be shallow within the dominant uptrend.
Bollinger Bands
Volatility expanded sharply during the four-day rally, with prices pushing against the upper Bollinger Band (20-day MA + 2σ). Today’s close near the upper band ($144) signals short-term overextension. However, the band’s widening after a prior contraction (mid-May to June) implies institutional accumulation and trend continuation potential. A consolidation phase toward the 20-day MA (~$135) would offer a healthier entry point.
Volume-Price Relationship
Volume surged 30% above the 30-day average during the June 24–25 breakout, confirming bullish conviction. The rally from $126.39 (June 16) to $143.40 occurred on consistently elevated volume, diminishing concerns of a "buying climax." Notably, the June 24 surge (+6.83%) recorded the highest turnover ($10.7B) since April, validating the breakout above $138 resistance. This volume profile supports further upside.
Relative Strength Index (RSI)
The 14-day RSI sits at 75, entering overbought territory (>70). Historically, AMD’s RSI has peaked near 80 during strong trends (e.g., July 2024). While warning of short-term consolidation, the current reading aligns with momentum-driven rallies. Bearish divergence is absent; RSI’s higher highs match price action. A pullback to reset RSI toward 60 could provide re-entry opportunities without invalidating the trend.
Fibonacci Retracement
Using the swing low of $85.17 (April 22, 2025) and high of $144.18 (June 25), key Fibonacci levels are: 23.6% ($130.25), 38.2% ($121.64), and 50% ($114.68). The price recently consolidated near the 23.6% level before breaking out. This zone now serves as primary support. A retracement to $130–$132 would align with Fibonacci and volume-based demand zones, offering potential institutional accumulation areas.
Confluence & Divergence Observations
Bullish confluence appears at $130–$135, where Fibonacci support (23.6%), the 50-day MA, and volume-based demand converge. Crucially, MACD momentum and volume confirm the candlestick breakout. The only caution stems from overbought signals (RSI and KDJ), though these lack divergence. Absent a reversal candle or volume drop, the path of least resistance remains upward, with $150–$155 as the next technical target.