Super Micro Computer (SMCI) shares have risen by 17.14% to $45.57 following a 16% rally, attributed to a $20 billion partnership with Saudi data-center developer DataVolt.

This collaboration focuses on delivering GPU platforms and rack systems for AI campuses in Saudi Arabia and the U.S. The partnership forms part of a larger $600 billion U.S.-Saudi commercial initiative, with $80 billion allocated to AI and tech infrastructure.

SMCI’s shares had previously reached a high of $122.90 in 2024 before falling to $17.25 in November due to accounting concerns. Despite recent earnings misses, with earnings per share of $0.31 versus the expected $0.41 and revenue of $4.6 billion versus $5.01 billion, the new partnership and improved transparency have instigated a turnaround.

Technically, SMCI has surpassed the 200-day moving average at $39.87. This level is critical for maintaining upward momentum, and the next resistance lies between $47.86 and $51.35.

In contrast, AMD shares have gained 5.02%, with further upsides reliant on surpassing the 200-day moving average of $127.30. AMD’s shares had fallen 66% from their 2024 peak, but maintaining above the 100-day moving average of $107.48 remains crucial for sustained recovery.

The current story paints a scenario brimming with detail. Super Micro Computer’s recent stock surge, driven in large part by its deal with DataVolt, underscores how responsive the market remains to tangible business development. While past performance—reaching $122.90 before retreating to $17.25—reflected internal instability, namely around financial reporting, the tide has turned sharply. With that partnership now locked in, there’s a clean, visible order flow that strengthens demand expectations for GPU-based infrastructure. In plain terms, the company is now tied into a technology project with measurable and ongoing requirements—this makes forward pricing more realistic and encourages renewed positioning.

The technical comeback also needs consideration. With the stock pushing above $39.87, which marks the 200-day moving average, the price action reflects a shift in sentiment. Historically, this moving average serves as a litmus test—when prices trade above it, it often signals long-only funds to re-enter or average in. At present, price is approaching two specific resistance levels, creating defined zones where one might expect either increased profit-taking or breakout chasing. That no part of this movement is happening in isolation further strengthens its value. We’ve watched participants discount prior earnings misses in favour of clearer guidance and balance sheet visibility. These details have not gone unnoticed by larger, long-horizon investors.

Meanwhile, AMD’s movement is less aggressive but equally clear. The 5% rise indicates passive inflows and speculative rotation, particularly now that the 100-day moving average at $107.48 has held firm. Staying above that level introduces some upward force. The company’s struggle to convincingly pass $127.30 has created pressure, though, as algorithms and discretionary traders alike eye this level as a short-term hurdle. For those who watch volatility pricing, these dynamics have shaped option premiums over the past few sessions, especially in calls dated three to six weeks ahead.

When we observe both companies side by side, the behaviour of long gamma flows—and the speed at which they’re being recalibrated based on these resistance and support zones—makes it paramount to monitor open interest and delta exposure. Large positions rolled forward are now coupled with volume spikes in strikes above current prices, suggesting that expectations continue to adjust upwards. This changes how we interpret expiry behaviour.

Expectations for volume to front-load early next week are justified based on the past several sessions’ turnover. Risk remains tightly defined, but there is a narrowing band of acceptability between support and resistance. Velocity near resistance will depend heavily on broader market beta and sector weights—especially with chipmakers facing existing crosswinds from macro signals. Any unexpected deceleration in delivery timelines linked to infrastructure builds could alter these setups noticeably.

From this point, we continue to watch these key mover lines, most notably how the products mentioned integrate into broader workflows tied to training clusters and inference deployments. Where execution risk once haunted one of these equities, new visibility has reduced hesitation. These conditions—even without outsized earnings beats—can be just enough to shift the mechanical flows of large block traders.

Looking at gamma exposure, a narrow band this far from quarterly expiry usually leads to faster re-hedging. That in turn creates small windows of exaggerated movement between intraday support and resistance. When this happens near longer-term moving averages, any modest news release—or poorly timed macro announcement—can temporarily drive prices through resistance to squeeze out short positions. We are now approaching exactly that territory.