Can AMD shares break $100 on renewed demand?
Semiconductor stocks have been on fire in recent months after the global chip shortage that has rocked the market and affected a wide variety of companies across different sectors.
According to some analysts, AMD shares could rocket higher and break the $100 price level, as the demand for its chips are expected to produce strong annual sales in its next earnings report.
In the long-term, monthly price chart of AMD’s share price, it’s clear to see the recent uptrend that started in 2015.
However, for much of this year the share price has remained in a tight range. In the daily chart below, it’s clear to see the horizontal support around $74.00.
This has helped to lift the share price and break through the descending resistance line, confirming that buyers are in control.
Now the price cycles have created a series of higher highs and higher lows, suggesting more upsides could be likely. Currently, price sits at historical support from the previous high around $84.50.
This could provide the platform for buyers to build towards the top of the longer-term range around $100. It’s a stock to watch!
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