Today, 4 November, after the close of the main trading session, Advanced Micro Devices (AMD) is set to release its quarterly earnings report and outline its plans for the near future. Market participants remain optimistic, as several key bullish developments last month strengthened confidence in AMD’s role in the AI infrastructure race:

→ AMD shares surged in early October following news of a multibillion-dollar deal with OpenAI.
→ Oracle Cloud chose AMD’s graphics processing units (GPUs) for its new AI supercomputers.
→ IBM announced a breakthrough in quantum computing made possible through the use of AMD chips.

Buoyed by this wave of positive news and high expectations, AMD’s share price climbed above the psychological $250 mark (+61% since early October), reaching a record high.

Technical Analysis of AMD Stock

Price analysis shows that since April, the market has been forming a broad upward channel (shown in blue):

→ Strong news led to the correction phase (shown in red) being replaced by a resumption of the bullish trend in an aggressive manner;

→ Today, AMD’s price is testing the upper boundary of the channel.

The thickened S/R lines indicate that the angle of ascent is becoming steeper. Much now depends on today’s earnings release. Traders are awaiting confirmation from CEO Lisa Su regarding the company’s revenue forecasts tied to new deals amid the ongoing AI boom.

If bold expectations fail to materialise, a pullback could follow:
→ towards the lower thickened support line;
→ or deeper, towards the median line of the upward channel.

Alternatively, we may see the bulls attempt to break above the upper boundary and extend the blue channel higher.

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