AMD is headed for its sixth-straight win
Shares of Advanced Micro Devices Inc (NASDAQ:AMD) are up 7.2% at $120.53 at last glance, after the semiconductor company announced a $6 billion share buyback program. Plus, firm is one of multiple chipmakers, including Nvidia (NVDA), to ink a partnership with HUMAIN, a new artificial intelligence (AI) venture in Saudi Arabia.
Today's pop has AMD headed for its sixth-straight win. Now trading at its highest levels since January, the equity is hanging around breakeven for 2025. The shares' overhead 160-day moving average, which hasn't been toppled on a closing basis since October, is getting tested today.
One storyline to monitor; the rally off AMD's April 8 two-year bottom of $76.48 has the stock firmly in "overbought" territory, per its 14-day relative strength index (RSI) of 90.2.
Over in the options pits, 415,000 calls and 137,000 puts have been exchanged, which is six times the overall options volume typically seen at this point. The May 25 call is the most popular by far, with new positions being opened there.
These contracts are reasonably priced at the moment, too. AMD's Schaeffer's Volatility Index (SVI) of 41% ranks in the low 11th percentile of its annual range.