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A few days ago I saw AMD announce their new MI325 GPU, directly competing with Nvidia's H200, and immediately thought this could be a solid short-term opportunity. Unfortunately, my capital was tied up in other positions, and I had to watch AMD climb from $160 to $165+.
I'm sure many of you have faced similar situations - spotting good opportunities but having funds locked up elsewhere, waiting for funds to clear while the opportunity passes, or hastily closing other good positions just to chase a new one.
Looking at this AMD vs Nvidia move, I had a few observations. From a technical perspective, AMD is indeed around the $130 resistance level, and if it breaks through there could be more upside. Fundamentally, while Nvidia still holds 80%+ market share, AMD's claimed 30% performance improvement is genuinely interesting. For short-term catalysts, we have this week's FOMC remarks plus Thursday's GDP data, which could bring some volatility.
I've been adjusting my strategy recently and started using Tiger's CBA account to handle these kinds of short-term opportunities. The advantage is being able to enter positions immediately when I spot opportunities, without waiting for capital reallocation. Especially with chip stock volatility like this, timing really matters.
Of course, this approach requires stricter risk management. I generally only use it for trades within 7 days, as the cost becomes less attractive beyond that timeframe.
How do you all handle situations like this? Do you choose to miss opportunities, or do you have other capital management approaches? Would love to hear your experiences!
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Few month ago you mean? Few days ago where goy 160? 😆
Lucky u never buy, drop 10%. 😆...
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I can loan you fund to trade and we share the profit?