Public trading strategy
Chip stocks surge on risk-on rally — jump on AMD and NVIDIA's record momentum
Thesis
The semiconductor sector is often viewed as the engine of the technology market. AMD hitting a record high signals that big investors are extremely confident in the future of computing and artificial intelligence. When one major chip stock breaks out to all-time highs, it often drags the rest of the sector up with it, creating a rising tide that lifts all boats.
Strategy approach
Build a rule-based strategy that enters long AMD on the daily timeframe when the stock makes a new 20-day high and the RSI(14) is above 60 but below 80. Use a 5% trailing stop to lock in profits.