AMD shares continued gaining ground Tuesday, boosted by upbeat Wall Street commentary following the chipmaker’s “Advancing AI” event last week.
The stock broke out from a pennant pattern earlier this month and closed above the closely watched 200-day moving average in Monday’s trading session.
Investors should watch crucial overhead areas on AMD’s chart around $145, $160 and $175, while also monitoring support levels near $115 and $108.
Advanced Micro Devices (AMD) shares continued gaining ground Tuesday, boosted by upbeat Wall Street commentary following the chipmaker’s “Advancing AI” event last week.
Piper Sandler on Monday raised its price target for the stock and expressed enthusiasm for AMD’s recently unveiled Helios server rack architecture, which will combine the company’s next-generation AMD MI400 chips into one larger system. The investment bank pointed out that the hardware, anticipated for release in 2026, is “pivotal” for the growth of AMD Instinct GPUs.
Meanwhile, analysts at Bank of America speculate that the chipmaker could announce Amazon (AMZN) as a partner after the tech giant’s cloud unit, Amazon Web Services (AWS), was a key sponsor of last week’s event.
AMD shares rose 0.6% to around $127 on Tuesday, after surging nearly 8% yesterday to pace S&P 500 advancers. The stock is up 66% from its early-April low, though has gained just 5% since the start of 2025 amid uncertainty over chip export curbs and the company’s ability to capture a greater share of the lucrative AI chip market that’s now dominated by Nvidia (NVDA).
Below, we break down the technicals on AMD’s chart and point out crucial price levels worth watching out for.
After hitting their May high, AMD shares formed a pennant, a chart pattern that signals a continuation of the stock’s uptrend that started in early April.
Indeed, the stock broke out from the pattern earlier this month and staged a volume-backed close above the closely watched 200-day moving average in Monday’s trading session. Moreover, the relative strength index indicates bullish momentum, generating a reading just below the indicator’s overbought threshold.
Let’s identify three crucial overhead areas on AMD’s chart to watch and also point out support levels worth monitoring.
Follow-through buying could trigger an initial rally toward $145. This area may provide overhead selling pressure near several peaks and troughs that formed on the chart between April and December last year.
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