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AMD 200DMA Breakdown

By Johns Wu on Jun 06, 2006

AMD, Advanced Micro Devices Inc, is showing weakness today as it easily brokedown at the 200DMA.

AMD_06_05_06.GIF

It has also broken down at a consolidatory support. It could make a low risk short entry right here. "Support becomes resistance."

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This entry was posted on Tuesday, June 6th, 2006 at 1:01 am and is filed under Stock Charts. You can skip to the end and leave a response. Pinging is currently not allowed.


4 Responses to “AMD 200DMA Breakdown”


By Anonymous on June 6th, 2006 at 5:49 pm

While it may look like a short from a pure technical standpoint, I wouldn’t say it is a ‘low risk’ short entry.

Keep in mind this is the company that has been causing INTC grief for the past 3 years. INTC went down from $34 to $17.80 while AMD went up from 7.5 to 42, back to 30 in the last 3 years.

Also, if you look at the longer-term chart for AMD, this looks more like a consolidation rather than a selloff.

By Danny on June 6th, 2006 at 8:12 pm

the market may be telling us that AMD won’t get the contract for dell’s notebook chips.

By Dave on June 6th, 2006 at 11:36 pm

best short would prob be on the pull back to the broken support level &/or trendline

Danny: The market may also be telling us that AMD’s growth is slowing. (along the lines of what you said)

By Anonymous on June 7th, 2006 at 7:58 am

Watch the action on INTC today. Is is getting hammered, so far -2.2%.

Also, today DELL announced a deal with GOOG to supply servers for the search appliance. GOOG is known to prefer AMD chips in their data center due to low power dissipation of Opterons.

I think AMD is a HOLD, not a SELL, yet.

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