Chip Stocks Are on the Move. Where the Charts Say AMD and Micron Go Next.

AMD stock finds itself under pressure again. (Annabelle Chih/Bloomberg)

Attention might be focused on software following Oracle’s blowout earnings, but it’s semiconductors that continue to do the heavy lifting in technology. Broadcom surged 9% on Sept. 5 after earnings, though the stock did retreat a bit off intraday highs. Wednesday the stock rose 8% in afternoon trading, likely a direct result of Oracle’s earnings, giving a boost to the overall group.

Zooming out to the broader group via the iShares Semiconductor exchange-traded fund provides an optimistic picture. The ETF is currently digesting a sharp run off the April lows and holding firm near the key $240 level, which acted as significant resistance in late 2024. Indeed, the ETF is up 1.5% in Wednesday trading to around $253 to flirt with a fresh all-time high.

Technicians love to see former resistance morph into new support and consolidations often resolve higher when they follow strong uptrends. If this digestion phase plays out as expected, a move toward $350 per share by mid-2026 is likely.

Shaded areas show consolidation around the influential $240 level.

Advanced Micro Devices , one of the market’s marquee semiconductor names, has come under pressure, falling 17% from its recent highs set just a month ago. Last week marked its first three-week losing streak in 13 months.

Yet from a technical standpoint, signs of stabilization are emerging. On Monday, the stock filled a gap from the July 14 session and is now hovering around the $159 level. The pullback has also brought the stock back to a prior breakout zone above a bull flag formation. This area presents a compelling risk/reward setup “as most breakouts are to retest their determine their validity.” A potential double-bottom pivot at $171.09 should set up for a renewed rally if additional strength materializes. Traders may want to set up a stop-loss below $144 to manage downside risk.

Advanced Micro Devices was trading around $159 on Wednesday, up 2%.

AMD trailing 12-month chart

Micron Technology , a key player in the memory and storage chip space, is enjoying a standout 2025, up 61% this year, compared with a 16% gain in the VanEck Semiconductor ETF. It is now trading at all-time highs. I wrote about this one month ago.

The chart reveals a strong rebound since briefly flirting with the psychologically significant $100 number in early August. That move brought shares close to retesting a prior bull flag breakout, and the subsequent strength has now cleared a double-bottom-with-handle trigger at $128.70. This setup suggests continued momentum, with a potential path toward $150 before year-end.

Micron Technology was trading around $140 Wednesday, about 4% higher.

Shaded areas illustrate prior resistance which turned into support.

Semtech, often an under-the-radar name in the semiconductor space, is posting a pedestrian 2025 performance, roughly unchanged year to date. However, the stock has more than doubled off its April lows and appears technically positioned for further gains.

Since breaking above a bullish inverse head-and-shoulders pattern in late June, the stock has maintained strong momentum. It ignored an upside gap-fill from the Feb. 7 selloff, which followed a negative fiscal outlook update. The stock is approaching a breakout above a $62 bull flag trigger. A move above this level could see a measured rise toward $75 into year end. Adding to the bullish theme, a golden cross has occurred, defined as the 50-day simple moving average crossing above the 200-day. This happened in mid August, a classic signal of trend strength and longer-term support.

Semtech traded around $62 Wednesday, up about 0.5%.

Semtech trailing 12-month chart.

Write to Doug Busch at douglas.busch@barrons.com