Trading AMD DLCs During Earnings: Know the Risks

AMD ( $Advanced Micro Devices(AMD)$ ) is scheduled to report its Q3 2025 earnings after market close on November 4, 2025.

  • Trendline resistance: The stock is now testing a 3-year upward-sloping trendline, which has previously acted as a key resistance area.

  • Price action: AMD recently surged towards US$260, bringing it close to this long-term resistance zone.

  • Momentum: The rally has been strong, but candles near the trendline show potential price hesitation, hinting that some traders may take profit here.

Scenarios:

  • If AMD breaks and closes above the trendline convincingly, it could signal bullish continuation with potential to retest previous highs.

  • If AMD fails to break through, a short-term pullback or consolidation may occur before the next move, with immediate support around US$245 likely to be tested.

Using DLCs for Short-Term Trading

Long DLC scenario:

  • If AMD closes above the 3-year trendline with strong volume, traders can consider using Long DLCs ( $AMD 3xLongSG280420(Z4WW.SI)$ ) to gain exposure to potential short-term upside.

Short DLC scenario:

  • If AMD faces rejection at the resistance trendline and begins to weaken, Short DLCs ( $AMD 3xShortSG280420(KGZW.SI)$ ) may be used to express a tactical short-term bearish view.

DLCs are leveraged instruments intended for short-term trading. DLCs magnify both upward and downward movements of the underlying stock. A sudden adverse move after earnings could lead to a significant loss if a trader trades the wrong direction.

However, the maximum potential loss when trading a DLC is limited to the capital used to purchase it — investors cannot lose more than their invested amount. This might be a point to consider during earnings period.

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For more information about DLCs, visit https://dlc.socgen.com/en/education/handbook 

Disclaimer: 

This document is not an offer or solicitation to buy or sell, nor financial advice or recommendation for any investment product. This document has been published for general circulation only. 

This advertisement has not been reviewed by the Monetary Authority of Singapore. This post is sponsored by Societe Generale, Singapore Branch. The content of this article does not form part of any offer or invitation to buy or sell any daily leverage certificates (the “DLCs”), and nothing herein should be considered as financial advice or recommendation. The price may rise and fall in value rapidly and holders may lose all of their investment. Any past performance is not indicative of future performance. Investments in DLCs carry significant risks, please see dlc.socgen.com for further information and relevant risks. The DLCs are for specified investment products (SIP) qualified investors only.

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Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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  • Merle Ted
    ·11-05
    I won’t be surprised AMD closes above 260 tomorrow! Strong results

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  • Be cautious with those DLCs; earnings can swing prices wildly.
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  • AMD will do between 10 and 11 billion next quarter shorty,

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