Shares of Advanced Micro Devices, Inc.(NYSE:AMD) rose for the fifth consecutive day in Monday’s morning session with a gain of 7.73% to session high of $2.37.
The stock, which is still down over 50% so far this year, has recovered almost 27% in the past one week from $1.87 to $21.37 (as of 10:24AM EST). The stock has crossed its first resistance of $2.25.
Importantly, the recent rally was driven by increased volume with 22.73 million shares (Tuesday), 27.47 million shares (Wednesday), 42.80 million shares (Thursday) and 66.90 million shares (Friday).
In today’s session, more than 16.50 million shares have already been traded within less an hour of trading. Strong volume with strong money flow is solid indicators from the technical prospective.
However, divergence is yet to be confirmed as the stock is yet to move back to its 50-Day Moving average price of $2.51.
MACD Histogram has turned positive with 12-day and 26-day MACD are in uptrend however still in the negative territory.
RSI has bounced back strongly from the oversold zone and now at 59.50.