NVIDIAShort
NVDA Quick Short Opportunity
On a YTD NVDA chart you see a massive head & shoulder pattern breached to create a bull trap by applying forecasting analysis bar patterns (highlighted in light cyan color you can see a pull back is warranted to the range of 382 which is approximately a 100$ + drop.
Further the gap level around 317 needs to be filled on YTD chart which occurred in May 2023.
There are two possibilities NVDA falling to 382 and bouncing back to 510 based on wave analysis as shown by forecasting bar patterns or NVDA drops to 382 and then further drops to 317 to cover that GAP.
This stock is poised to have higher volatility in coming days & months as the trend is in direct contradiction with both fundamental analysis (high PE ratio, reduced cash flow growth etc.) as well as technical analysis (false upward breakout from H&S neckline i.e. a Bull Trap, RSI slope is declining, ON balance volume and Up/Down Volume is also decline.
This NVDA breakout towards upside in recent days might have caused due to heavy short covering.
Stock is poised for reversal as NVDA is suffering from price rise on declining volume.
Note: This is not a financial advice. Please use the analysis and thoughts presented to extend your technical analysis. This is strictly purposed for learning.
Further the gap level around 317 needs to be filled on YTD chart which occurred in May 2023.
There are two possibilities NVDA falling to 382 and bouncing back to 510 based on wave analysis as shown by forecasting bar patterns or NVDA drops to 382 and then further drops to 317 to cover that GAP.
This stock is poised to have higher volatility in coming days & months as the trend is in direct contradiction with both fundamental analysis (high PE ratio, reduced cash flow growth etc.) as well as technical analysis (false upward breakout from H&S neckline i.e. a Bull Trap, RSI slope is declining, ON balance volume and Up/Down Volume is also decline.
This NVDA breakout towards upside in recent days might have caused due to heavy short covering.
Stock is poised for reversal as NVDA is suffering from price rise on declining volume.
Note: This is not a financial advice. Please use the analysis and thoughts presented to extend your technical analysis. This is strictly purposed for learning.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.