Traders are buying up chip stocks after the recent selloff
The tech sector is rebounding today, pushing the Nasdaq Composite Index (IXIC) up triple digits, as investors buy the dip following an extended broad-market selloff. Chipmakers in particular are riding the wave as artificial intelligence (AI) reenters the spotlight, with Nvidia (NVDA) up 6.7% at last glance.
The shares of Intel Corp (NASDAQ:INTC) were last seen up 4.2% at $20.61, looking to snap a seven-day losing streak. The $19 level -- which provided a solid floor on the charts since the stock's early-August bear gap -- captured this most recent pullback. INTC has yet to rally to pre-August levels, however, despite surging on acquisition buzz in mid-February. Year-over-year, the equity is down 54.4%.
Advanced Micro Devices Inc (NASDAQ:AMD) stock is up 4.1% at $100.73, bouncing off last session's 52-week low of $94.73. The stock has been moving steadily lower since early October, with overhead pressure at the 40-day moving average, and now sports a 50.3% year-over-year deficit.
Taiwan Semiconductor Manufacturing Co Ltd (NYSE:TSM) stock was up 3.5% at $176.87 at last look, jumping off six-month lows. The 200-day moving average, which provided long-term support from November 2023 until a couple weeks ago, lingers above as potential pressure. Outperforming its peers, TSM is still hanging on to a 22.6% 12-month lead.