AMD jumps while new AI chips challenge Nvidia's leadership

Advanced Micro Devices (AMD, Financials) experiences some positive waves. According to HSBC analysts, the company's latest MI350 -AAI chips can compete directly with Nvidias (NVDA, Financial). And what's next of Amdthe Mi400 Seriesmight Nvidias give the Vera Rubin platform of the next generation a real run for his money.

After AMD had remained most of the past year, he finally showed some muscles. Shares exploded from a flag pattern; The volume rose to a one -week high; And momentum indicators such as RSI and moving average values flash bullish characters. The setup looks clean; Follow-through is now important.

Technically speaking, the first major hurdle is close to $ 175. It is a sticky zone that has been bound to the maximum years of recent years. If bulls manage to hit through, 215 US dollars could come into view, where some dealers may make profits. When the stock cools down, 135 US dollars is your first line of defense. 115 US dollars are deeper support for patient buyers.

This step is important just because it is a short-term breakoutbut, because the AMDS position in the AI set-up finally gains credibility. Nvidia's dominance has not yet been questioned; But AMD is no longer just a shadow fighter. It enters the ring with real gloves.

Investors will want to keep an eye on the AMDS nights. and all updates to chip programs or data center offers; Because this story just starts.

This article first appeared on Gurufocus.