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Nvidia rose to the top spot of the world’s most valuable companies by market capitalization this week, surpassing Apple.
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The stock has traded largely sideways higher on low trading volumes since breaking out of the symmetrical triangle last month, as investors looked for future catalysts that could drive the AI ​​favorite’s next move.
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Investors should keep an eye on the key lower price levels on the Nvidia chart around $144, $125, and $97, while keeping an eye on a key higher level near $180.
Nvidia (NVDA) rose to the top spot of the world’s most valuable companies by market capitalization this week, surpassing iPhone maker Apple (AAPL).
Shares of the AI ​​chipmaker rose about 4% on Wednesday to hit a record high of $146.49, while US stocks rose following the election of Donald Trump as president. Nvidia shares have nearly tripled since the start of the year, amid insatiable demand for the company’s AI chips, including next-generation Blackwell graphics processing units (GPUs).
Below, we analyze the technical data on Nvidia’s chart and identify key price levels that investors may be looking at.
Since breaking out of a symmetrical triangle last month, Nvidia shares have traded largely sideways higher as investors look for future catalysts that could drive the AI ​​favorite’s next move.
It’s worth pointing out that stock volume has been steadily moving lower in recent months, possibly indicating that larger market participants remained on the sidelines in the run-up to the US election and amid uncertainty over restrictions on the export of chips.
Looking ahead, investors should look for rising stock turnover while keeping an eye on these key price levels on the Nvidia chart.
The first lower level to watch is at $144, an area on the chart just below Wednesday’s close where shares could find support near a consolidation period around the previous all-time high (ATH).
Further selling could see Nvidia shares fall to around $125, an area on the chart where they currently find support near the closely watched 50-day moving average and the upper trendline of the symmetrical triangle.
A breakdown below this level could see the stock fall to the $97 region. Investors can look for entry points in this location near a trendline connecting two March highs with a range of prices around the early August low.
To predict a higher level using technical analysis, we can apply the measurement principle, also called a measured move.
