During Friday's "Mad Money" program, host Jim Cramer said he's a buyer of Advanced Micro Devices, Inc. (AMD) . The company's demand is getting stronger in personal computing, gaming and the data center, Cramer told viewers. We looked at the charts on April 28, and wrote that " You never know when an earnings report derails a good forecast. Judging by the price action and the indicators I would look for higher prices on AMD. New and existing longs should risk below $50 at this point in time."
Let's check out the latest charts of AMD.
In this daily Japanese candlestick chart of AMD, below, we can see that prices briefly dipped below $50 on the opening Monday morning, but have not closed below it. Prices look like they are making a bullish, engulfing pattern, which is a bottom-reversal pattern. Trading volume looks like it will be on the lighter side and suggests that selling pressure has dried up. The daily On-Balance-Volume (OBV) line will probably turn up today and the Moving Average Convergence Divergence (MACD) oscillator is still in a take profits sell mode.