In our last analysis, we warned of a possible correction in NVDA's shares, right on the day they made a new all-time high above $500. The link to my latest public analysis of NVDA is below this post.
What's most interesting is that NVDA's shares fell just to hit our target at $476.09, which we set in our last analysis, and apparently, it's working so far. In addition, the $476.09 is very close to the 21 EMA on the daily chart as well, reinforcing this support area.
In the two days following my analysis, NVDA confirmed a bearish reversal pattern by triggering a bearish pivot on the hourly chart (as evidenced by the image below). A bearish pivot is a lower high than the previous one, followed by the breakout of the last bottom.
As shown in the chart above, NVDA shares were on a rally, making rising tops and bottoms, surfing above the 21 EMA, until on November 22, a bearish pivot was confirmed.
The share price quickly fell to our target which is its first support point, but despite being in a good place for a bottom pattern to form, there is still no reaction suggesting such an event.
What if NVDA shares don't react at this support? From a technical point of view, it could look for its next support levels, such as one of the Fibonacci retracements as shown below:
For now, let's stay tuned, as NVDA is once again in a critical price zone, and we will soon have a clear answer as to whether there will be a reversal, or a continuation of the short-term bearish sentiment.
In any case, I'll keep you updated, so remember to follow me for more analysis like this, and support this idea if you like it.
All the best,
Nathan.
What's most interesting is that NVDA's shares fell just to hit our target at $476.09, which we set in our last analysis, and apparently, it's working so far. In addition, the $476.09 is very close to the 21 EMA on the daily chart as well, reinforcing this support area.
In the two days following my analysis, NVDA confirmed a bearish reversal pattern by triggering a bearish pivot on the hourly chart (as evidenced by the image below). A bearish pivot is a lower high than the previous one, followed by the breakout of the last bottom.
As shown in the chart above, NVDA shares were on a rally, making rising tops and bottoms, surfing above the 21 EMA, until on November 22, a bearish pivot was confirmed.
The share price quickly fell to our target which is its first support point, but despite being in a good place for a bottom pattern to form, there is still no reaction suggesting such an event.
What if NVDA shares don't react at this support? From a technical point of view, it could look for its next support levels, such as one of the Fibonacci retracements as shown below:
For now, let's stay tuned, as NVDA is once again in a critical price zone, and we will soon have a clear answer as to whether there will be a reversal, or a continuation of the short-term bearish sentiment.
In any case, I'll keep you updated, so remember to follow me for more analysis like this, and support this idea if you like it.
All the best,
Nathan.
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💲💲 Project 5%: + 104%
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As expected, NVDA shares hit exactly the support mentioned in the analysis, the first Fibonacci retracement (38.2%) with impressive precision.
Now we see an attempt at a reaction, which could be a sign of a bottom. If confirmed, NVDA could be a buy again, as the risk/reward ratio is always interesting when we are close to support areas.