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Shares of Advanced Micro Devices (AMD - Get Report) continue to move higher; soaring up Wednesday around 9% alone. The move comes amid several pieces of good news.

First, AMD received a positive analyst note from Nomura. They initiated the stock with a buy rating and slapped a $33 price target on the name. This implied 23% upside in the stock from the most recent close, although the remaining upside is limited after Wednesday's big rally. Second, reports have surfaced that AMD is set to have a strong second half in 2019, with demand picking up for its components.

Others names like Nvidia (NVDA - Get Report) and Micron (MU - Get Report) are rallying on the day as well.

Investors buying now are looking to get in while AMD stock is still subdued, hoping that a strong second half will propel it higher, perhaps even to new highs. Can AMD get back to $33, where it last topped out in September, and press even higher? Let's look at the charts.

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Trading AMD Stock

10-month daily chart of AMD stock.
10-month daily chart of AMD stock.

AMD stock is surging on the day, that much is clear. But it's still unclear if it will run out of steam here in the short term or continue to climb higher. At one point, shares were up almost 12% on the day after opening near the recent high of $28, before pressing up over $29.

Near this area, though, the stock is running into potential channel resistance. AMD stock has done a great job bouncing along channel support, as well as the 200-day moving average. For bulls to keep momentum, though, they'll need to be dip-buyers of this name and look for bounces on the 20-day and 50-day moving averages.

I do feel that AMD stock has the wind at its back, but that being said, shares are definitely getting extended and I wouldn't be surprised to see it ease back a bit. Roughly $30 could be a tough spot to push through at first and if so, a pullback-and-hold of $28 would be quite bullish for more upside. Below $28 and bulls will likely look to buy on a test of the 20-day moving average. If it fails, $25 is the next level of support.

If AMD stock continues to push higher without a pullback, look for ~$30 and the backside of prior uptrend resistance to act as support once it eventually cools.

AMD closed up 8.49% on Wednesday to hit $29.02.

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This article is commentary by an independent contributor. At the time of publication, the author had no positions in the stocks mentioned.