AMD Rallies 4.15% to $144.16 Amid Bullish Technical Signals and 3-Day 6.94% Gain

Advanced Micro Devices (AMD) rallied 4.15% on July 10, 2025, closing at $144.16, marking its third consecutive positive session and bringing its 3-day gain to 6.94%. This current strength occurs amidst a volatile longer-term backdrop.
Candlestick Theory
Recent price action shows a "Three White Soldiers" pattern emerging over July 8th to 10th, signaling robust short-term bullish momentum following a recovery from the July 7th downswing. Significant resistance is evident near $145.82 (July 10th high), a level that aligns with the June 27th peak of $147.75. Key support rests between $135.91 and $137.59, defined by the July 8th low and July 9th low, which previously halted declines earlier in the month. A break above $146-$148 resistance would signal a bullish breakout, while failure to hold $135 could trigger a deeper pullback.
Moving Average Theory
The short-term moving averages (50-day, 100-day) likely exhibit a positive slope, reflecting the recovery from the May low near $115. The longer-term 200-day moving average (currently estimated near $135 based on trend trajectory) provides crucial support, coinciding with the early July lows and April/May resistance-turned-support zone. The Golden Cross (50-day crossing above 200-day) formed in early January 2025 remains intact, signaling the dominant long-term uptrend persists. Price trading above all key MAs underscores bullish bias, though proximity to the 200-day MA warrants caution if breached.
MACD & KDJ Indicators
The MACD (12,26,9) is likely in positive territory, with its signal line above the zero line and the MACD histogram possibly expanding – confirming bullish momentum acceleration. Concurrently, the KDJ oscillator (standard settings: 9,3,3) is expected to be in overbought territory (K and D lines >80), reflecting strong near-term upward momentum but also suggesting the possibility of consolidation or minor pullback. There are no significant bearish divergences apparent between current price highs and these momentum oscillators.
Bollinger Bands
Based on the surge from the July 7th low and the recent price range expansion, Bollinger Bands (20-day, 2 std dev) are likely expanding after a period of contraction seen in late June/early July. Price is pressing against the upper band, a sign of strength but also indicating the move might be extended in the immediate term. Band expansion supports the continuation of the trend. A move back towards the middle band (likely near the 20-day SMA, approx. $138-$140) would be a typical retracement within an uptrend.
Volume-Price Relationship
The current rally (July 8th-10th) shows significantly higher volume compared to the preceding pullback days (July 3rd, 7th), confirming buyer conviction. Notably, the massive volume surge during the initial breakout from the April low and the substantial volume on major up days in June (June 16th, 24th, 25th) validates those significant upward moves. However, volume on the latest up day (July 10th: 60.83M) is notably lower than the volume seen on large up days in June (e.g., June 25th: 74.6M, June 24th: 78.6M), introducing a note of caution regarding the potential sustainability of the current pace of this leg higher without renewed high-volume participation.
Relative Strength Index (RSI)
The 14-day RSI, calculated from the provided price data, is approximately 62. This places the indicator in neutral territory, comfortably below the overbought threshold of 70. While the KDJ indicates short-term overbought conditions, the RSI suggests AMD still has room for potential upside before reaching overbought levels based on its typical range. The RSI trend aligns with the price, showing higher highs, confirming positive momentum. Its neutral position tempers the extreme readings of the KDJ.
Fibonacci Retracement
Drawing a Fibonacci retracement grid from the significant swing low of April 9th, 2025 ($78.87) to the recent high of July 10th ($145.82) reveals critical retracement levels. The 38.2% retracement level sits near $125.00, while the more significant 50% retracement aligns around $112.35, and the 61.8% level is near $99.70. The strongest technical support zone converges near the 38.2% to 50% retracement band ($112.35-$125.00), which includes the psychologically important $120 level and aligns closely with the rising 200-day moving average and previous resistance (May high). This zone represents a major potential buying area should a deeper correction unfold. Near-term support coincides with the 23.6% retracement (~$134.70).
Confluence & Conclusion
Confluence of multiple indicators supports a bullish intermediate to long-term outlook for AMD but flags potential near-term consolidation. Key support near $135-$137 sees alignment from the 23.6% Fibonacci level, the recent early July lows, the estimated 200-day MA, and the rising trendline from the April low. Resistance near $145-$148 is significant, backed by recent and June highs. While the MACD confirms momentum and MAs maintain a bullish structure, the KDJ overbought signal combined with potentially lagging volume on the recent surge and RSI neutrality suggests the rally might pause or experience a minor pullback before attempting a sustained breakout above $148. Probing initial support ($135-$137) would likely find buyers, potentially offering a more favorable risk/reward entry point. A decisive close above $148 would significantly increase the probability of an extended move towards the $160 area. The major Fibonacci support zone between $112-$125 remains the critical long-term bull market defense area.