NVIDIAShort
NVIDIA Possible Top and Bearish Wedge
A few weeks ago, during the crazy pump of the stock market, this one all of a sudden was lagging and weakened. It opened above that resistance only to see a big dump from 365 to 320, while the index was stable. Now the second orange zone shows a similar situation. Broke out upwards last week only to go back and test that trend line again. The movement from the past days has the shape of a bearish wedge. But these at these positions are not bad, but lets be honest, tech stocks are insane lately, it's like they will solve all the problems in the world :).
Anyway, this wedge should normally be a distribution wedge (so bearish), but lately in tech they become bullish as well, so it could squeeze up as well. Therefore we would need some confirmation first. Normally i like to start with a partial position inside the wedge at the top, but here i don't dare to at all!
365 is the first level that should break and 358 could also be a support so that would be the second level. 348 seems to be a big support level. If that breaks, could see a retest of 320 even.
If the wedge at 365ish breaks, it has to make a good drop. If it hangs close to it, big chance it turns again
Previous analysis: Funny, actually a slightly similar situation, which at first became a trap and THEN did a big drop
Anyway, this wedge should normally be a distribution wedge (so bearish), but lately in tech they become bullish as well, so it could squeeze up as well. Therefore we would need some confirmation first. Normally i like to start with a partial position inside the wedge at the top, but here i don't dare to at all!
365 is the first level that should break and 358 could also be a support so that would be the second level. 348 seems to be a big support level. If that breaks, could see a retest of 320 even.
If the wedge at 365ish breaks, it has to make a good drop. If it hangs close to it, big chance it turns again
Previous analysis: Funny, actually a slightly similar situation, which at first became a trap and THEN did a big drop
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