US Futures Rise on Iran Ceasefire and AMD Results

AMD shares have surged more than 27% in the last 24 hours, pushing the RSI to 81.6, firmly into overbought territory. This increases the likelihood of profit-taking and a technical correction in the near term. While the headlines regarding the Iran ceasefire and AMD's results are positive, these good news may already be largely priced in. Although the MACD remains above its signal line, supporting upward momentum, overbought levels and the rapid rally suggest a short-term pullback could be expected.

The news headline points to two key catalysts: easing geopolitical risks and positive corporate results. Technically, the SPX is approaching overbought territory as the RSI nears 70. However, the MACD remains above its signal line, and the price is trading above both the 20-day and 50-day moving averages, supporting the upward momentum. In the short term, the upside move is expected to continue, but the RSI entering overbought territory also brings the risk of a potential correction.

NDX closed at 29,227 with a strong daily gain of 4.17%. Although the RSI has entered overbought territory at 78.8, the MACD remains above its signal line and the price is trading above both the 20-day and 50-day moving averages, indicating continued upward momentum. Positive developments such as the Iran ceasefire and AMD results in the news headlines could support short-term optimism. However, overbought conditions and the risk of profit-taking at high levels may limit further upside. Therefore, while the direction is upward, the confidence level is assessed as medium-high.

WTI crude oil fell 2.3% in the last 24 hours, closing at $95.42. Although the RSI is in neutral territory at 50.6, the MACD line is just above the signal line, indicating weak bullish momentum. The Iran ceasefire headline could reduce supply concerns, putting downward pressure on oil prices. In the short term, the 20-day SMA ($95.35) and 50-day SMA ($95.01) should be monitored as support levels; a break below these levels could accelerate the decline.