In a long-term uptrend, corrections are inevitable. How much the correction will be depends on each individual stock.
At the end of the session on April 17, 2024,
NVDA
is correcting towards the MA-50 and is temporarily closing below the 10-week MA, if during the session on April 18,, the last session of this week, the stock cannot recover above it.
The stock is still in a long-term uptrend, as the 30-week MA (orange line) is still in an upward trend. Since the beginning of 2024, it has increased by 80%, so corrections of 20%-30% are completely normal.
Looking at the weekly chart, we can see that in the last 6 months of 2023,
NVDA
had a sideways consolidation period for 6 months with a range of nearly 25%, waiting for the 30-week MA to catch up before narrowing the volatility and entering a new uptrend.
If that scenario repeats this time,
NVDA
could correct 25% from the top to the price range around $730, waiting for the rising 30-week MA to catch up, before entering the next upswing.
At the end of the session on April 17, 2024,
NVDA
is correcting towards the MA-50 and is temporarily closing below the 10-week MA, if during the session on April 18,, the last session of this week, the stock cannot recover above it. The stock is still in a long-term uptrend, as the 30-week MA (orange line) is still in an upward trend. Since the beginning of 2024, it has increased by 80%, so corrections of 20%-30% are completely normal.
Looking at the weekly chart, we can see that in the last 6 months of 2023,
NVDA
had a sideways consolidation period for 6 months with a range of nearly 25%, waiting for the 30-week MA to catch up before narrowing the volatility and entering a new uptrend. If that scenario repeats this time,
NVDA
could correct 25% from the top to the price range around $730, waiting for the rising 30-week MA to catch up, before entering the next upswing.