NVDA Stock - Big Move Coming Soon On NVDA?

Summary

In this Nvidia daily update, the host provides insights into the stock's current movement and offers an analysis of key support levels, trend lines, and market conditions. Despite slow price action, Nvidia maintains bullish control, supported by consistent demand near the $142 level. The video discusses potential risks, such as bearish divergences and the impact of upcoming CPI and PPI reports. The host suggests that as long as Nvidia holds above critical levels, a price target around $147 remains possible, but warns that losing these levels could lead to a pullback toward the low $130s.

Takeaways

• 😀 Nvidia stock has been moving slowly, showing limited upward momentum recently.
• 😀 The stock closed with a modest 0.9% increase, mostly following the broader market trends.
• 😀 There are concerns about Nvidia's price movement, as it shows descending volume and bearish divergences in key indicators like MACD.
• 😀 Nvidia has been hovering around the crucial 142 price level, which acts as both support and resistance. If it holds above this, bulls are still in control.
• 😀 The price level around 142 has seen consistent buying pressure, indicated by the wicks on the 1-hour time frame.
• 😀 Strong confirmation of a loss in momentum would be required for a bearish move, especially if the stock falls below the trendline or the 142 level.
• 😀 Key levels to watch for Nvidia: 142 (support), 145–147 (resistance), and 141.5–142 (trendline support).
• 😀 The upcoming CPI report is a major factor to watch, as it may cause a significant market move, particularly for Nvidia.
• 😀 If Nvidia loses 142 and other key levels, potential downside targets include 137–138 and then low 130s, with worst-case scenarios nearing 123.
• 😀 Despite slow movement, as long as the bulls maintain control and key levels hold, Nvidia's next target is likely around 147.
• 😀 The video emphasizes not to jump to conclusions too quickly, as it's crucial to wait for strong confirmation of price movements before making decisions.

Q & A

What is the current trend of Nvidia stock according to the video?

The Nvidia stock has been moving slowly and feels like it's not going anywhere. It’s described as being in a sort of 'limbo land' with a modest 0.9% change, following the market rather than making any significant movements.

What is the key factor to watch for in Nvidia's stock movement?

A key factor to watch for is Nvidia's ability to hold above the 142 price level. If it manages to stay above this level, bulls are still in control, and the next target could be around 147.

What concerns does the speaker have regarding Nvidia's stock?

The speaker is concerned about the stock's price increase happening on descending volume, which indicates a potential loss of momentum. Additionally, there are bearish divergences, like the MACD showing lower lows on the histogram.

What does the speaker mean by 'descending volume'?

Descending volume refers to a decrease in trading volume as the stock price rises. This can signal a lack of conviction in the uptrend, possibly leading to a reversal or loss of momentum.

What are the three key levels and factors to watch for in Nvidia's stock?

The three main factors to watch for are: 1) Holding above the 142 level, 2) The trend line, and 3) The 8 exponential moving average, which is expected to be around 141 in the near future.

What happens if Nvidia's stock loses the 142 price level?

If Nvidia loses the 142 level, it could signal a bearish move, with potential downside targets at 137-138, followed by the low 130s, and worst-case scenario around 123.

How does the speaker describe the price action around the 142 area?

The price action around 142 is described as showing consistent buying pressure, with frequent wicks appearing on the 1-hour chart. This indicates that any selling pressure around this level is being absorbed by bulls, which is a positive sign.

What is the significance of the upcoming CPI and PPI data?

The CPI (Consumer Price Index) data, coming the day after the video, is particularly significant because it may reflect the impact of recent tariffs. The PPI (Producer Price Index) data on Thursday is also expected to influence the stock market, including Nvidia.

What role does the trend line play in Nvidia's price action?

The trend line is crucial for understanding the overall direction of Nvidia's stock. A strong move above or below it provides confirmation of whether the bulls or bears are in control. If Nvidia loses the trend line convincingly, it would be seen as a bearish sign.

What does the speaker suggest investors should do regarding Nvidia stock?

The speaker advises caution and recommends waiting for stronger confirmation before making any decisions. Investors should monitor the key levels (142, trend line, and the 8 EMA) and wait for clear signs of either continued upward momentum or a potential loss of support.