US Futures Rise on Cisco and AI Chip IPO

CSCO stock has surged sharply by 17.8% in the last 24 hours, with its RSI reaching 81, entering overbought territory. This increases the likelihood of a short-term correction or profit-taking. While the news headline is positive, technical indicators point to an overheated market. Although the MACD remains bullish, the overbought RSI level and the price trading well above its moving averages raise questions about the sustainability of the rally in the near term. Therefore, a downward correction can be expected in the short term.

NVDA shares have risen 6.5% in the last 24 hours, pushing the RSI to 78.8, firmly in overbought territory. This increases the likelihood of a short-term correction or consolidation. While the headline reflects broad market optimism, technical indicators suggest the rally may be losing steam. The MACD remains positive but is approaching its signal line, which could indicate weakening momentum. Given the short-term directional uncertainty, a neutral outlook is recommended.

The news headline creates a positive sentiment for the AI chip sector, which could provide short-term support for companies like AMD operating in this space. Technically, the RSI at 56.9 is in neutral territory, and although the MACD is below the signal line, the price remaining above the 20- and 50-day moving averages indicates that the uptrend is intact. Despite a 3.7% decline in the last 24 hours, the overall structure appears unbroken. However, given the MACD's position below the signal line and the uncertainty of the recovery following the decline, the upside expectation can be expressed with moderate confidence.

ARM shares rose 6.7% in the last 24 hours, closing at $228.55. The RSI stands at 68.6, approaching but not yet in overbought territory. The MACD line remains above the signal line and in positive territory, indicating continued short-term upward momentum. The price is trading above both the 20-day ($216.39) and 50-day ($217.38) moving averages. Positive sentiment surrounding Cisco and the AI chip IPO in the news headlines could boost interest in technology stocks, though the elevated RSI suggests some risk of profit-taking in the near term.