Trade Ideas: ALNY, AMD

Alnylam Pharmaceuticals (ALNY) had a great day on Thursday, rallying $5.93 to a multi-year high of $44.65 in volume that spiked 400% above average. The almost 16 percent advance seen in the bio stock during its last trading session is business as usual. ALNY, currently $43.53, is up 40% in the last month, up 146% in the last six months, and up 398% since January 2012. Look for potential continuation above yesterday’s highs for what could be an attempt by the ticker to reach the mid-$48 levels pretty quickly.

Advanced Micro Devices (AMD) price action continues to keep our attention. After holding above the intermediate ascending channel that it broke out of on May 1st, the semiconductor stock — which has gained nearly 90% in the last six months — has seen a steady uptrend back to the mid-$4 area. AMD looks like it could make new highs and the name remains a ‘buy’.

Unless key support level currently at $4.00 is convincingly penetrated, the buy the dips strategy is still the higher probability trade. We think AMD’s next move up would be toward the $5.00 – $5.50 range on a short-term basis. Beyond that, look for a target of $5.90.

AMD rose almost 12 percent to $4.45 a share at the close in New York.

Disclosure: No Positions

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