Score 8.7 (out of 10): ADVANCED MICRO DEVICES poised to seasonally rally by +17.7% during the next 90 days.

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What’s Going On Here?

AMD submitted a package of remedies to China’s merger regulator for its proposed $35bn all- stock deal with Xilinx. This deal is one of the longest pending transactions in the US which is still awaiting China’s approval. It has already won approvals in the US, EU, UK, among others.

Why Now?

ADVANCED MICRO DEVICES indicates an interesting 90 days seasonal set up. During similar occasions, ADVANCED MICRO DEVICES shares had a median return of +17.7% – based on 10 historical occasions with 9 of those showing positive returns (90%). This buy signal for ADVANCED MICRO DEVICES received a high score of 8.7 (out of 10). This insight was generated with last price of 138.1.

What’s This Company About?

ADVANCED MICRO DEVICES is in the Electronic Compo-Semicon business. Based on the last 2 years’ risk/return profile, this asset is seen as Less Risky. ‘Wall Street’ analysts think the stock price will be worth 0.5% more (average). Ticker symbol: AMD US.

What’s My Risk / Reward and Time Horizon?

We found 90 days to be the optimal trade horizon, after testing a number of possible alternatives (accuracy of previous returns). Otherwise consider closing out this trade once the target level of 162.57 (+17.7%) has been reached. Based on ADVANCED MICRO DEVICES’s recent up and down swings, LongShortBets suggests considering to set a stop loss level for this insight at 120.3 (last price at 138.1), which is equivalent to a -12.9% decline.

Returns during similar periods:

The chart above shows the previous returns (in %) based on similar setups with the most recent ‘insight’ shown under (1), the second most recent ‘insight’ shown under (2), etc. 

Previous episodes:

6.4% (December-2021), 23.8% (December-2020), 6.3% (December-2019), 19.5% (December-2018), 8.5% (December-2017), 2.3% (December-2016), 1.8% (December- 2015), 12.2% (December-2014), 12% (December-2013), 5.2% (December-2012)

Historical Chart:

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Summary:

NameADVANCED MICRO DEVICES
ViewUp
Star (1 to 10)8.7
Target+17.7%
Time90 days
Hit Rate90%

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