There is a raw calculation of the differences between the highest high and lowest low versus the closes.

Trade One: Sell the September $45 put for 52 cents. It also had a positive reaction to earnings on Jan. 24, which led to the high that day. We’re not living in such a world, however. Perhaps the descent wouldn’t be so bad if it took place while the broader market was struggling. The issues striking the company are idiosyncratic. Intel focuses on data centers services for server, networking, and storage applications, and it provides applications in cloud computing. Remarkably, AMD’s stock surge mirrored Intel‘s losses; $AMD closed the day up 16%, $INTC down 16%. Intel stock failed at its semiannual risky level at $65.02 on June 5. AMD is currently second with $23.8 billion (41.5%), and TSM is third with $72 billion (23%). Intel is reasonably priced with a P/E ratio of 8.59 and a dividend yield of 2.73%, according to Macrotrends. In fact, NVIDIA has grown faster any other US-listed chipmaker this year, having added a butt-clenching $104 billion to its market value this year (71% growth). Investopedia uses cookies to provide you with a great user experience.

TNW uses cookies to personalize content and ads to This buy signal tracked the stock to its 52-week high of $69.29 set on Jan. 24. Intel‘s dramatic loss had another effect: it solidified competitor NVIDIA as the US’ most valuable chipmaker, after the Santa Clara firm eclipsed Intel for the first time earlier this month. I suspect bulls will be quick to defend it on any future retests. Copyright © 2020 InvestorPlace Media, LLC. 2020 InvestorPlace Media, LLC. Intel stock plunged on Friday after the US computing giant revealed a third-party manufacturer might make its next generation chipsets — wiping … A higher pivot low formed last week and the downside momentum has finally slowed. The 12 x 3 x 3 weekly slow stochastic reading is projected to decline to 24.45 this week, down from 33.14 on July 31. Intel is about to confirm a death cross, as the 50-day and 200-day SMAs are converged at $58.58 and $58.47. If you believe Intel ultimately returns to the low $40s, then buying put verticals when we take out $47.75, support is a smart bet. Dow Jones Industrial Average (DJIA) Definition, Wilshire 5000 Total Market Index (TMWX) Definition. The company has a history of beating quarterly results, but cautious guidance has been a major problem for Intel. Swing trading is an attempt to capture gains in an asset over a few days to several weeks. Semiannual levels are updated at mid-year, and annual levels are in play all year long. Nasdaq Disclosure: The author has no positions in any stocks mentioned and no plans to initiate any positions within the next 72 hours. A bear market occurs when prices in the market fall by 20% or more. In such a scenario, its relative performance wouldn’t be bad at all.

The low of $46.97 on July 31 lines up with this week's value level at $47.13.

Pivots act as magnets that have a high probability of being tested again before their time horizon expires. Copyright © 2006—2020. Intel makes computer chips for integrated digital platforms for the computing and communications industries. I did this following the stock market crash of 1987, so I have been happy with the results for more than 30 years. Trade Two: Buy the October $47.50/$42.50 bear put for around $1.30. Article printed from InvestorPlace Media, https://investorplace.com/2020/08/how-to-trade-intel-stock-after-its-earnings-crash/. There are many better-performing semiconductors these days that it’s hard to justify dumpster diving for a few shares of Intel.

If technology were getting whacked, then Intel’s pain would be easier to excuse. For a free trial to the best trading community on the planet and Tyler’s current home, The 7 Best Growth Stocks To Buy For Less Than $1000, Louis Navellier and the InvestorPlace Research Staff, Trump vs. Biden: Stocks to Buy No Matter Who Wins the White House, Buy Apple Stock Before It Reaches New Highs, 3 Reasons Red-Hot Nio Stock Could Double to $40, Vivint Solar’s Time in the Sun Is Limited, 7 Companies to Invest In Ahead of Q4 for Long-term Returns, Buy Canopy Growth Stock Before It Surges to $60.

All rights reserved. make our site easier for you to use. We’re well below all major moving averages, which is arguably the biggest case against entertaining bullish trades right now. The damage to the daily chart has been significant. The one silver lining for buyers is we’ve started to see prices bottom out. Bulls would argue it’s the biggest reason why INTC belongs on the “do not touch” list. How to use 12 x 3 x 3 weekly slow stochastic readings: My choice of using 12 x 3 x 3 weekly slow stochastic readings was based upon backtesting many methods of reading share-price momentum with the objective of finding the combination that resulted in the fewest false signals. The past few weeks of chop were warranted after such a nasty drop. If you want more confirmation before pulling the trigger on bottom fishing plays, then use a break above $50. Intel stock failed at its semiannual risky level at $65.02 on June 5. 1125 N. Charles St, Baltimore, MD 21201. How to use my value levels and risky levels: The stock's closing price on Dec. 31, 2019, was an input to my proprietary analytics. According to Bloomberg, TSMC’s 10% rally sent its stock to its highest point since 1990, ranking it the 12th most valuable stock in the world, tech or otherwise. In just five trading sessions, the Street lopped 21% off Intel stock’s market cap. The fallout in Intel (NASDAQ:INTC) after its disappointing earnings report was swift and dramatic. The stock had a positive reaction to earnings on Oct. 25. For a free trial to the best trading community on the planet and Tyler’s current home, click here! Bull or bear, I think the stock chart provides enough action for both animals to play. It offers payment for your willingness to buy shares at a discounted price and establishes a profit zone that generates profits even if Intel stock trades sideways or slightly lower. Dividend seekers also count themselves among the interested. By using Investopedia, you accept our. The Wilshire 5000 Total Market Index (TMWX) is a market capitalization-weighted index that seeks to represent the broad U.S. equity market. Intel is in bear market territory at 30.3% below its Jan. 24 high of $69.28. Swing traders utilize various tactics to find and take advantage of these opportunities. Note how the 50-day and 200-day SMAs kissed each other on May 5. A crash is most often associated with an inflated stock market. One analyst reportedly referred to Intel‘s earnings call as the company’s worst over the 45 previous calls they’d covered. The company also makes computer chips for self-driving cars, artificial intelligence, and the Internet of Things. Still, there’s no denying that some spectators will find Intel attractive.