Intel Corporation (INTC) stock has reached its highest level in 18 months, with shares doubling since their 2025 low in April. This significant upward movement follows reports that Intel is in early discussions to manufacture chips for its competitor, Advanced Micro Devices (AMD), through its foundry business.
The chipmaker's stock has shown strong performance throughout the year, driven by a series of high-profile investments and renewed market confidence in its strategic direction under CEO Lip-Bu Tan.
Key Takeaways
- Intel shares are trading at an 18-month high, boosted by potential manufacturing deal with AMD.
- The stock has gained approximately 80% since the beginning of the year, doubling since its April 2025 low of $17.67.
- Technical indicators, including the Relative Strength Index (RSI) and Average Directional Index (ADX), confirm strong upward momentum.
- Key resistance levels for investors to watch are around $42 and $50.
- Important support levels to monitor during potential pullbacks are $30 and $26.
Intel's Recent Stock Performance and Market Factors
Intel's stock has experienced a period of substantial growth, with shares climbing nearly 40% in September alone. Since the start of 2025, the company's stock has increased by approximately 80%. This rally has been supported by several key developments.
A recent report indicating that Intel is in early-stage talks with Advanced Micro Devices (AMD) to produce chips for AMD through Intel's foundry business has been a major catalyst. This news suggests a potential shift in Intel's competitive strategy and a new revenue stream for its manufacturing operations.
Fact Check
- Intel shares reached their highest point in 18 months.
- The stock price has doubled since its 2025 low of $17.67 in April.
- September alone saw a nearly 40% increase in Intel's stock value.
Beyond the AMD discussions, Intel has also attracted significant investment. The U.S. government, AI giant Nvidia (NVDA), and Japanese investment firm SoftBank (SFTBY) have all made high-profile investments in the chipmaker. Towards the end of last month, reports also emerged that Intel sought investments from Apple (AAPL) and Taiwan Semiconductor Manufacturing Co. (TSM).
"The investments have renewed hopes that the once storied chipmaker will be able to recapture market share under CEO Lip-Bu Tan, who assumed the role in March," stated a market analyst.
These investments signal renewed confidence in Intel's ability to regain its market position and innovate under the leadership of CEO Lip-Bu Tan, who took office in March.
Technical Analysis Indicators for Intel Stock
Technical analysis of Intel's daily chart provides further insight into its current momentum and potential future movements. Several indicators suggest continued upward pressure on the stock.
Golden Cross Signals Bullish Trend
In August, the 50-day moving average (MA) crossed above the 200-day MA, forming a bullish "golden cross" signal. This pattern often indicates that a stock is entering a long-term uptrend. Since this event, Intel shares have consistently moved higher, often accompanied by above-average trading volumes.
Understanding the Golden Cross
A golden cross is a technical chart pattern indicating the potential for a major rally. It occurs when a short-term moving average crosses above a long-term moving average, typically the 50-day MA over the 200-day MA. This is considered a bullish signal by many traders.
RSI and ADX Confirm Momentum
The Relative Strength Index (RSI) currently confirms the upward price momentum. However, the RSI is also in overbought territory, which could lead to short-term profit-taking by investors. An RSI reading above 70 generally indicates overbought conditions.
Additionally, the Average Directional Index (ADX) recently moved above 40. An ADX reading above 40 suggests strong trending conditions for the stock, reinforcing the current bullish outlook. Investors often use ADX to gauge the strength of a price trend.
Key Price Levels for Investors to Monitor
For investors considering Intel stock, identifying key overhead resistance areas and potential support levels is crucial. These levels can help inform trading decisions and risk management strategies.
Major Overhead Resistance Levels
- Around $42: If Intel's bullish momentum continues, the stock could initially climb to approximately $42. This area previously served as the lower boundary of a consolidation period in February and March of last year, suggesting it may act as a resistance point where selling pressure could increase.
- Around $50: A sustained move above $42 could lead to a rally towards $50. This level is considered significant due to its psychological importance as a round number and because it aligns with twin peaks observed in December 2023 and January 2024.
Important Support Levels to Track
- Around $30: In the event of a stock decline, the $30 level is the first key support to watch. This region saw a brief retracement after a significant gap last month and corresponds to a period of range-bound price action between May and June of last year. It also acted as support in mid-September.
- Around $26: A close below $30 could see Intel shares fall to approximately $26. This level is currently just above the rising 50-day moving average and historically attracted strong buying interest, having served as a range of notable peaks from November to August.
These levels represent important technical thresholds that could influence Intel's price trajectory in the coming weeks and months. Monitoring these points can help investors anticipate potential shifts in market sentiment and price action.
