Advanced Micro Devices (AMD) is having a great year. After finding support around 1.75 at the beginning of the year it surged to 8.00 by August. As we can see in the daily chart, after this tremendous rally, AMD has stalled.AMD Daily Chart 10/14(click to enlarge)Stalking the correction:-The rally in 2016 makes AMD bullish. With that in mind, the retreat from 8.00 is seen as a correction.- After the first correction swing, price held above 5.60 and rebounded.- However, AMD found resistance at a previous resistance pivot just above 7.00.- The resistance here suggests that the market is not ready to continue AMD's prevailing bullish trend.- Instead, we could see further consolidation. ABC Correction:- One structure of consolidation is an ABC correction (drawn in on the chart).- There is nothing that says we should have an ABC correction. But if there is one, I would like to be ready for its completion.- A projection of the ABC scenario puts AMD around 4.80. Coincidentally, this is the 50% fibonacci retracement level.- I f price does indeed reach this area, I would start to look for support. - There would still be downside risk towards the 61.8% fibonacci level around 4.05, but I think this is an aggressive retracement outlook.