Advanced Micro Devices (AMD) has weakened since late November. The shares were trading around $160 and subsequently fell to near $70 in early July -- a rude awakening for buy-and-hold investors. The stock has begun to improve so let's inspect the charts and indicators.
In this daily bar chart of AMD, below, we can see that the shares are making a rally and it is easy to suggest that this advance could fail like others before it. But a good market observer needs to be alert to changes in volume and other clues to know when a shift is underway. Prices have closed above the declining 50-day moving average line.
The daily On-Balance-Volume (OBV) line has turned up strongly in July telling us that buyers of AMD are now more aggressive. The Moving Average Convergence Divergence (MACD) oscillator has turned upwards at a higher low than in early May for a bullish divergence. AMD is now close to crossing above the zero line for an outright buy signal.