Advanced Micro Devices (AMD) shares have been on an upward trend, buoyed by positive feedback from Wall Street analysts following the company’s recent “Advancing AI” event. Piper Sandler raised its price target for AMD, highlighting the significance of the new Helios server rack architecture that integrates AMD’s next-generation MI400 chips. This move is seen as crucial for the growth of AMD Instinct GPUs, with Bank of America analysts speculating on a potential partnership announcement with Amazon following the tech giant’s involvement in the event.
On Tuesday, AMD shares climbed around $127, marking a 0.6% increase from the previous day’s surge of nearly 8%. Despite this recent growth, the stock has only seen a 5% rise since the beginning of 2025 amidst uncertainties surrounding chip export restrictions and AMD’s positioning in the competitive AI chip market, currently dominated by Nvidia.
Technical analysis of AMD’s stock reveals that it broke out from a pennant pattern earlier this month, signaling a continuation of the uptrend that began in early April. The stock closed above the key 200-day moving average in the latest trading session, supported by bullish momentum indicated by the relative strength index.
Investors are advised to watch key price levels on AMD’s chart, with potential overhead resistance areas around $145, $160, and $175. These levels may trigger selling pressure based on past trading patterns. On the flip side, support levels near $115 and $108 should be monitored during potential retracements, offering opportunities for investors to enter or accumulate positions.
As of the publication date, the author does not hold any securities mentioned in the article. The insights and opinions shared are for informational purposes only, and readers are encouraged to conduct their own research before making investment decisions.
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