To The Moon

$ASML Holding NV(ASML)$ just reported a better-than-expected fourth-quarter sales and net profit, helped by booming chipmaking equipment sales to China. The company registered strong orders of more than 9 billion euros in the fourth quarter.

The sales is more than triple third-quarter levels but ASML has kept its outlook for flat sales growth in 2024, cited that sales to China, its third-largest market after Taiwan and South Korea, will be impacted in 2024 by new U.S. and Dutch export restrictions introduced in 2023, affecting up to 15% of the company's sales in China.

$Advanced Micro Devices(AMD)$ would benefit from this booming chipmaking equipment sales to China, and also to Taiwan. In the next earnings release for AMD on 30 Jan 2024, where focus would be on AMD's new 2.5/3D AI chips.

AMD Trading Above 50-day MA period

AMD is trading well above the 50-day MA period and with the strong report from ASML, which indicate they have booming chipmaking equipment sales.

This would mean that AMD would continue on this upside at least until their next earnings release on 30 Jan 24.

ADX Show Strong Bullish Upside Trend

AMD ADX has gone above 40 indicating a strong trend, with +DI above -DI by large margin suggesting a bullish upside.

With the new chips anticipated in the upcoming earnings, I believe AMD should enjoy more upside over the next few trading sessions.

RSI Show Traders and Investors Into LONG and Buying Sentiment

RSI has shown that traders and investors are still having confidence in AMD, by going for LONG and buying sentiment.

I would expect more buying activities coming on AMD today (24 Jan)

Summary

Based on how ASML sales of chipmaking equipment have performed, I believe for 2024, while their largest market, China might be affected, I believe the other market like Taiwan would be able to help ASML. Hence I look forward to AMD, $Taiwan Semiconductor Manufacturing(TSM)$ $NVIDIA Corp(NVDA)$ to benefit.

Appreciate if you could share your thoughts in the comment section whether you think AMD would continue its upside since they are now concentrating on producing their new chips, expect the sales of these new chips to be pretty good.

@TigerStars @Daily_Discussion @Tiger_Earnings @TigerWire appreciate if you could feature this article so that fellow tiger would benefit from my investing and trading thoughts.

Disclaimer: The analysis and result presented does not recommend or suggest any investing in the said stock. This is purely for Analysis.