Nvidia May Still Be Trending Lower
Nvidia has clawed higher in the last three weeks, but some chart patterns may suggest its downtrend remains in effect.
First you have the falling line along the highs of March and August. NVDA has recently struggled at that line, which could mean it’s still resistance.
Second, prices have fought the July low of $140.55 without breaking through. That suggests old support may have become new resistance.
Next, the trendline closely matches the 50-day simple moving average (SMA). A dip back under that SMA could indicate sellers remain in control.
Fourth, stochastics are sliding from an overbought condition.
Finally, NVDA reports earnings on November 16. Given its guidance cut on August 24, could traders look for its longer-term trend to resume into the event?
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First you have the falling line along the highs of March and August. NVDA has recently struggled at that line, which could mean it’s still resistance.
Second, prices have fought the July low of $140.55 without breaking through. That suggests old support may have become new resistance.
Next, the trendline closely matches the 50-day simple moving average (SMA). A dip back under that SMA could indicate sellers remain in control.
Fourth, stochastics are sliding from an overbought condition.
Finally, NVDA reports earnings on November 16. Given its guidance cut on August 24, could traders look for its longer-term trend to resume into the event?
TradeStation has, for decades, advanced the trading industry, providing access to stocks, options, futures and cryptocurrencies. See our Overview for more.
Important Information
TradeStation Securities, Inc., TradeStation Crypto, Inc., and TradeStation Technologies, Inc. are each wholly owned subsidiaries of TradeStation Group, Inc., all operating, and providing products and services, under the TradeStation brand and trademark. You Can Trade, Inc. is also a wholly owned subsidiary of TradeStation Group, Inc., operating under its own brand and trademarks. TradeStation Crypto, Inc. offers to self-directed investors and traders cryptocurrency brokerage services. It is neither licensed with the SEC or the CFTC nor is it a Member of NFA. When applying for, or purchasing, accounts, subscriptions, products, and services, it is important that you know which company you will be dealing with. Please click here for further important information explaining what this means.
This content is for informational and educational purposes only. This is not a recommendation regarding any investment or investment strategy. Any opinions expressed herein are those of the author and do not represent the views or opinions of TradeStation or any of its affiliates.
Investing involves risks. Past performance, whether actual or indicated by historical tests of strategies, is no guarantee of future performance or success. There is a possibility that you may sustain a loss equal to or greater than your entire investment regardless of which asset class you trade (equities, options, futures, or digital assets); therefore, you should not invest or risk money that you cannot afford to lose. Before trading any asset class, first read the relevant risk disclosure statements on the Important Documents page, found here: https://www.tradestation.com/important-information.
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