NVIDIA (NVDA) - Failed Bear Flag, Bullish Reversal in Play📉 Failed Bear Flag Pattern
NVDA initially formed a bear flag, with a strong downward flagpole followed by consolidation in an upward-sloping channel. However, instead of breaking down as expected, the price reversed at the lower boundary, signaling bulls absorbing selling pressure.
📈 Breakout Potential
The recent impulse move out of the flag formation aligns with a Wave 1 breakout, confirming a potential bullish trend. If the Wave 2 retracement holds above previous lows, NVDA could see a strong Wave 3 rally towards $130-$140.
🔍 Key Resistance & Confirmation Levels
Immediate resistance around $122-$124 (previous highs & bear flag upper boundary). A break above $124 with volume could trigger further bullish momentum. Downside risk remains if NVDA re-enters the bear flag below $115.
🚀 Bullish Bias Unless Invalidated
Given the failed bear flag breakdown and Elliott Wave structure, the bias shifts bullish towards higher highs. Watch for strong follow-through on Wave 3 to confirm this setup.
📊 Trade Plan:
Entry: On pullbacks above $118-$120
Target: $130-$145
Stop: Below $115
💡 Let me know your thoughts! Do you agree with this bullish outlook?
Don't forget,
Patience is Paramount.
