WTF! AMD? Again?

(08/28/09)
1. An update for the PnF (Point & Figure) chart: since today's action has resulted in a bullish triangle breakout with a target of $7.5.  Remember PnF technique is all about price and has removed time component, hence this projection merely predict a likely future resistance not when the stock will reach this price target.  The only negativity I can think of today's trading was that the opening gap did not get filled during the day.  We got the volume I was asking for yesterday and the volume did confirm the price and had crossed above the zero line (see bullet 2 of yesterday post).

2. A weekly Chart: the indicator used to color-code weekly candles has virtually captured the entire AMD bear market and the previous run-ups to 42 top.  It has proved its value in evaluation AMD stock price for long term. I am going to rely heavily on this chart for future long term direction of this baby bull.  The key resistances are likely be around 7.5, 13, 20 and 35 levels plus and minor a few percentage points.

(08/27/09)
AMD had been a dog for so long and I have stopped to update my charts many moons ago. Lately, despite of the overwhelming negativity by the street AMD's charts are getting very interesting. Technically I believe AMD is in an inflection point and a long term bull market coinciding with the semiconductor's super cycle is about to begin. My friends, it is the time to start accumulating AMD again!

1. A Very Bullish PnF Chart

2. The Money Chart: these indicators had served us well during the last run up to 42 and signaled the top. Let's see what they are telling us now.

3. How important is the recent gap up? The chart below speaks itself.  All three groups of MAs are tightly clustered round $3.7-3.8 prior to the gap up date.  Now the intermediate MAs have bounced off the long term MAs and the short MAs have crossed over both intermediate and long MAs.  Unless the broad market crashes, any price weakness toward $3.7-3.8 area should be bought aggressively.