What Happened
AMD (Advanced Micro Devices) is facing renewed selling pressure, with shares sliding amid broader concerns around AI chip stock valuations and competitive pressures from Nvidia in the data centre GPU market. AMD has pulled back toward the $155โ$160 range, a zone that has acted as a battleground for buyers and sellers over recent sessions.
Key Levels
- Support 1: $155 โ a prior consolidation zone and psychologically significant level
- Support 2: $148 โ the next meaningful floor, aligning with the March 2024 swing low
- Resistance 1: $168 โ where recent rally attempts have stalled
- Resistance 2: $180 โ major overhead resistance and the 200-day moving average cluster
Technical Picture
AMD is trading below its 50-day moving average (currently near $168), which is a bearish signal indicating short-term momentum has turned negative. The broader trend remains down from the 2024 highs above $220. RSI is hovering around 38, approaching oversold territory but not yet at a level that typically triggers strong buying interest. A sustained close below $155 would confirm further downside.
What Traders Are Watching
- $155 hold or break: A daily close below $155 could accelerate selling toward $148
- Volume on any bounce: Low-volume recoveries back toward $168 would be viewed with scepticism
- Nvidia’s price action: AMD often moves in sympathy โ if Nvidia weakens further, AMD is likely to follow
- Next earnings date: Any guidance commentary around AI chip demand will be critical for re-rating the stock
Bias
Bearish. AMD is trading below key moving averages with no clear catalyst to reverse the current downtrend. Until price reclaims $168 on strong volume, the path of least resistance remains lower.
Note: AMD is a US-listed stock and is not directly available on the ASX, but Australian traders can access exposure via US market accounts or ASX-listed ETFs with US tech holdings such as FANG+ or NDQ.