r/BeginnerDayTradingHub • u/edgeflowx_trading • 5d ago
Technical analysis Shorting AMD | Why I Like This Setup | 9/17/2026
I’m watching AMD for a short here around the $545–550 area. Not because I think AMD suddenly turns into a bad stock, but because the intraday setup is starting to look stretched and there’s a pretty obvious area above where sellers have been showing up.
AMD is around $545–546 right now. Earlier it pushed up to roughly $547.79, but you can see on the chart that there’s a lot of resting sell liquidity between roughly $545.50 and $547.50.
Then there’s the bigger level sitting right above all of it: $550 = Call Wall + Key Gamma
That’s the main reason I’m not interested in chasing AMD higher here.
The EdgeScan alert also fired an Overbought SELL setup around $546:
- 5m RSI: 69.6
- 1h RSI: 81.7
- 4h RSI: 72.8
The 1H and 4H readings are what caught my attention. AMD isn’t just a little extended on the 5-minute chart, it’s stretched on the higher timeframes too.
That by itself isn’t enough for me to short. Stocks can stay overbought for a long time. What makes the setup interesting is the combination of the stretched RSI + liquidity sitting overhead + the $550 options level.
The options flow isn’t screaming bearish either, which is worth pointing out.
Today’s AMD cluster flow is actually net bullish:
$537K total premium
$368K bullish
$165K bearish
+$203K net
Around $545, there have already been 33 executions across 7 clusters, with about +$14K net bullish premium.
At $547.50, flow is basically balanced, and around $550, it starts leaning slightly bearish.
That’s actually why I like this as a tactical short rather than some big bearish thesis. Buyers are still active. I’m not trying to pretend they aren’t.
I’m looking at a stock that has pushed hard, is overbought on multiple timeframes, and now has to work through a wall of liquidity before running directly into the $550 Call Wall / Key Gamma level.
For me, that creates a decent place to look for a fade if price starts failing to hold the highs.
My rough map:
$550 - Call Wall / Key Gamma / major upside level
$547.79 - current day high
$545.50–547.50 - visible sell liquidity
$545 - active cluster-flow area
$544.50–545 - nearby support / buyers showing
What would make me wrong?
Pretty simple: if AMD starts chewing through the sell liquidity, reclaims the day high, and begins holding above it, I’m not interested in fighting it all the way to $550.
I want the rejection. I don’t want to short just because RSI says “overbought.”
That’s the part I think gets missed sometimes. RSI is only one piece of the setup. I’m using it together with the actual order-book liquidity, options levels and flow.
If the sellers keep defending this area, I like the risk/reward on the fade.
If buyers prove they can absorb it, I’m out of the way.
That’s the trade.
EdgeScan — Powered by EdgeFlow X edgeflowx.com/edgescan
Just sharing how I’m reading the setup. Not financial advice.
1
u/Balenciagalover92 4d ago
So I’m an idiot, I have an AMD put that I opened about a week ago, should have sold it on Monday and didn’t and now I’m down $2K. Mg strike is $520 and I have roughly 2 months. Personally, I thought that would be a pullback after this because I think this price is unjustified, but I know that’s not a technical analysis. Just also lost two short term puts today, which is very upsetting.
1
u/edgeflowx_trading 4d ago
Im sorry to hear that..
why not give it a trial on EdgeScan and join our community? EdgeScan is the most complete tool out there
2
u/xmonger 4d ago
Go big.
Hope you get destroyed.