The funding rate is hanging at +0.0000%, but for $AMD ’s perpetuals, the 24-hour trading volume is already 42.58M USDT, and the open interest has also stacked up to 22,146 contracts. The price is up +6.03%, yet there’s no “FOMO-style” overheating in funding—this contrast is something I’ll look at more closely.
I’m more bullish. Not based on a single daily candle, but on the fact that the semiconductor main theme it belongs to is still being repriced repeatedly by the market. For stocks like AMD, what they mostly benefit from is the demand chain tied to compute, data centers, and high-performance computing. As long as the market is still trading the idea that “compute demand/investment hasn’t ended,” these core chip companies will be hard to completely disappear from view. In terms of the tape today, its high was 518.31 and low was 483.98, with a fairly large intraday range—but it closed near the upper end, suggesting this buying isn’t a one-and-done move.
More importantly, the funding rate on the perpetual side hasn’t been raised, which implies sentiment hasn’t entered the overheated zone. Many stocks are truly hard to trade not when they’re rising, but when they’ve risen so much that everyone crowds into the same side. With this +0.0000% funding rate, at least it suggests the long side’s costs aren’t high and the positioning hasn’t gotten chaotic. Since the trading volume ranks among the top, it means it has already returned to the list of actively traded funds—this kind of attention is, in itself, actionable for trading.
Personally, I wouldn’t chase after it after it’s already rallied 6% from this level. If I were to trade it, I’d wait for a pullback that doesn’t break the middle-of-the-day high-volume zone, then open a small position—3%-5% position size. If I’m wrong, I’d stop out. Being bullish is one thing, but semiconductor price action has never been small. If the US market weakens overnight, it’s very easy for the perpetuals to first wash out the chasing longs. Strong tape doesn’t mean every location is worth putting orders in.
For me, AMD can be supported on two points: the sector hasn’t gone into a downturn, and participation hasn’t become overheated. With stocks like this, as long as US risk appetite doesn’t deteriorate, it’s likely to be repeatedly picked up by funds to trade.
$AMD #USStocks
This post is just my own thoughts, not investment advice.
I’m more bullish. Not based on a single daily candle, but on the fact that the semiconductor main theme it belongs to is still being repriced repeatedly by the market. For stocks like AMD, what they mostly benefit from is the demand chain tied to compute, data centers, and high-performance computing. As long as the market is still trading the idea that “compute demand/investment hasn’t ended,” these core chip companies will be hard to completely disappear from view. In terms of the tape today, its high was 518.31 and low was 483.98, with a fairly large intraday range—but it closed near the upper end, suggesting this buying isn’t a one-and-done move.
More importantly, the funding rate on the perpetual side hasn’t been raised, which implies sentiment hasn’t entered the overheated zone. Many stocks are truly hard to trade not when they’re rising, but when they’ve risen so much that everyone crowds into the same side. With this +0.0000% funding rate, at least it suggests the long side’s costs aren’t high and the positioning hasn’t gotten chaotic. Since the trading volume ranks among the top, it means it has already returned to the list of actively traded funds—this kind of attention is, in itself, actionable for trading.
Personally, I wouldn’t chase after it after it’s already rallied 6% from this level. If I were to trade it, I’d wait for a pullback that doesn’t break the middle-of-the-day high-volume zone, then open a small position—3%-5% position size. If I’m wrong, I’d stop out. Being bullish is one thing, but semiconductor price action has never been small. If the US market weakens overnight, it’s very easy for the perpetuals to first wash out the chasing longs. Strong tape doesn’t mean every location is worth putting orders in.
For me, AMD can be supported on two points: the sector hasn’t gone into a downturn, and participation hasn’t become overheated. With stocks like this, as long as US risk appetite doesn’t deteriorate, it’s likely to be repeatedly picked up by funds to trade.
$AMD #USStocks
This post is just my own thoughts, not investment advice.