Advanced Micro Devices  (AMD) – Get Report and Xilinx  (XLNX) – Get Report were on the move Friday as a possible acquisition was in the works.

Shares of Xilinx were up almost 17% at one point Friday on news that AMD was working toward a $30 billion takeout of the company. For its part, AMD stock had fallen about 4% on the news.

The news is coming in fast and furious, with TheStreet’s own Jim Cramer suggesting that Xilinx may not be interested in a buyout.

All of this comes after Nvidia’s  (NVDA) – Get Report recent announcement that it will acquire Arm Inc. in a $40 billion deal. Clearly both Nvidia and AMD are looking to spread their dominance and grow through M&A.

What do the charts make of the news? Let’s look.

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Trading AMD

Daily chart of AMD stock.

Daily chart of AMD stock.

On Thursday, AMD stock was rallying into resistance near $87.50. To see Friday’s rejection isn’t all that surprising, although how it acts from here will be interesting.

For instance, a slightly deeper dip puts it into the 20-day and 50-day moving averages. If bulls are really in control, they will buy the dip into this zone and put a retest of $87.50 back in play.

If shares can push through $88, it puts a retest of the high at $94.28 in play, along with the 261.8% extension at $95.71. Above that and $100 is in play, followed by the three-times range extension at $104.31.

Should the 20-day and 50-day moving averages fail as support, the $75 area could be

Here are five things you must know for Friday, Oct. 9:

1. — Stock Futures Rise as White House Open to Bigger Aid Bill

Stock futures traded higher Friday after President Donald Trump signaled he wants a comprehensive aid package, reversing a decision he made earlier this week to call off U.S. stimulus negotiations.

Contracts linked to the Dow Jones Industrial Average rose 114 points, S&P 500 futures were up 15 points and Nasdaq futures gained 37 points.

Treasury Secretary Steven Mnuchin has told House Speaker Nancy Pelosi that Trump wants agreement on a large-scale stimulus package, a Pelosi spokesman said. Trump had ordered his representatives on Tuesday to halt talks until after the Nov. 3 presidential election because he said Pelosi was negotiating in bad faith. 

“The on-and-off nature of the fiscal stimulus discussion in the U.S. hardly inspires lasting confidence,” said Mizuho Bank. “Uncertainty around the presidential election on 3 November will likely persist not only through to polling day but possibly after.”

Stocks ended higher Thursday as Wall Street parsed the mixed signals about a stimulus package from Trump and Pelosi. Pelosi said Thursday she wouldn’t agree to a stand-alone relief bill for airlines without a guarantee that a more comprehensive package would be addressed.

2. —  AMD Reportedly in Advanced Talks to Buy Xilinx

Advanced Micro Devices  (AMD) – Get Report is in advanced talks to buy rival chipmaker Xilinx  (XLNX) – Get Report in a takeover that could be valued at $30 billion, according to reports.

The deal could come together as early as next week, though things remain in flux, people familiar with the matter told Bloomberg. The Wall Street Journal said there’s no guarantee the companies will reach an agreement given that the talks had stalled before recently restarting.