NVDA Stock - NVIDIA All Time Highs!!

Summary

In today's Nvidia daily update, the speaker discusses Nvidia's bullish performance, highlighting the stock's impressive all-time highs and breaking through a prolonged consolidation phase. Key support levels at 148-149 are established, with a potential near-term support at 153. Despite bearish signals like MACD flips, Nvidia continues to show strength with strong momentum, supported by bullish options flow. The speaker also notes that overbought signals could indicate a potential shift, but the stock remains in a clear uptrend. Traders are advised to keep an eye on key support levels and momentum indicators to manage positions effectively.

Takeaways

• 😀 Nvidia has hit new all-time highs, marking a significant achievement for the stock, and investors holding it are likely seeing great returns.
• 📈 Despite some early warning signals, including the MACD flipping bearish and the loss of a trendline, Nvidia continued to hold its momentum and eventually had a major gap up.
• 📊 Key technical indicators like the 8 EMA and stochastic remained strong, indicating that the bulls still had control, despite some volatility.
• 💪 A convincing close above the 148-149 support level was seen as a strong bullish signal, with expectations for continued momentum to push the stock towards 152.
• 💡 Nvidia's price action has been impressive, holding strong above the 148-149 range, with a pivot point at 153 becoming a new near-term support.
• 🔮 The stock is still in an uptrend, with the possibility of further upside to 160 before potentially topping out, but the overall technical setup remains bullish.
• ⚠️ There's a risk of overbought conditions, and the trader may start trimming or selling calls against shares if momentum indicators like the SMI signal a reversal.
• 🔍 While 153 has been established as a near-term support, the 148-149 range is considered a stronger support due to its historical significance.
• 📉 The trader emphasizes not shorting a stock in a clear uptrend, recognizing that while a retracement may come, it doesn't justify betting against the trend.
• 📊 Nvidia's options flow has been overwhelmingly bullish, especially in the morning, with significant call buying and relatively little bearish sentiment.

Q & A

What is the main focus of the video?

The main focus of the video is an analysis of Nvidia's stock performance, including its recent all-time high, technical indicators, and potential future price movements.

Why is the presenter congratulating those holding Nvidia stock?

The presenter congratulates those holding Nvidia stock because the stock has reached new all-time highs, marking a significant achievement for investors.

What is the presenter’s opinion on Nvidia's recent consolidation period?

The presenter finds Nvidia’s recent consolidation period to be a 'snoozefest,' indicating that it was unexpectedly lengthy and uneventful before the stock saw a substantial move.

What are the key technical indicators the presenter focuses on?

The key technical indicators the presenter focuses on include the MACD (Moving Average Convergence Divergence), exponential moving averages (EMAs), and the stochastic oscillator.

What did the presenter notice about the 148-149 level in Nvidia’s stock?

The presenter considers the 148-149 level to be a major support area for Nvidia. The stock convincingly closed above this level for the first time, signaling a bullish outlook.

What is the significance of the 'gap up' mentioned in the video?

The 'gap up' refers to a price movement where Nvidia’s stock opened higher than the previous close, indicating strong upward momentum and providing a bullish signal.

How does the presenter interpret the Micron earnings report's impact on Nvidia?

The presenter notes that Micron’s positive earnings report, which caused a 3.5% rise in Micron's stock, provided a lift to Nvidia’s stock as well, showing strength in the semiconductor sector.

Why does the presenter focus on the 153 level for Nvidia’s stock?

The 153 level is highlighted as a near-term support level for Nvidia. While it is less technically established than the 148-149 support level, the presenter mentions it as an area to watch for potential retracement or price consolidation.

What is the strategy the presenter uses when stocks appear overbought?

When stocks appear overbought, the presenter considers trimming their position or selling call options against their shares to manage risk and maintain profits, especially when technical indicators suggest the potential for a price reversal.

How does the presenter view Nvidia’s overall trend?

The presenter views Nvidia’s overall trend as very bullish, with the stock still in an uptrend, supported by a clear ascending channel pattern. The presenter believes further upside is possible, potentially reaching the 160 level.