NVDA at a Pivotal Level! Reversal Incoming or More Downside?
Technical Analysis (TA) & Price Action
NVIDIA (NVDA) has been in a clear downtrend, forming a falling wedge on the 1-hour timeframe, which is often a precursor to a potential reversal. The stock is approaching a critical support level near $124-$126, where buyers may step in.
Key observations:
* Trend Structure: NVDA remains in a falling wedge pattern, typically a bullish reversal formation if it breaks out.
* Support & Resistance:
* Major Resistance: $134 (previous breakdown level).
* Key Support: $124 (PUT support zone).
* Breakout Target: $138 - $143 if NVDA reclaims momentum.
* MACD Indicator: Slightly bearish but showing early signs of a potential crossover, indicating momentum shift.
* Stoch RSI: Approaching overbought conditions, meaning a relief rally could be on the horizon.
Options Flow & GEX Analysis
The GEX (Gamma Exposure) indicator signals significant PUT positioning at $120-$124, making it a crucial level for a bounce. A breakdown below this zone could trigger a gamma-driven sell-off, while a breakout above $134 could lead to a short squeeze.
* IVR (Implied Volatility Rank): 63.3, with IVx avg at 85.8%, indicating high volatility.
* Call Side Bias: 22.1% of options flow, showing some bullish positioning despite the decline.
* Key GEX Levels:
* PUT Wall & Key Support: $124 → Holding above could trigger a relief bounce.
* CALL Resistance & Upside Target: $138 → Breakout above this would confirm a reversal.
Trade Plan & Suggestions
📌 Bullish Reversal Setup (Preferred Play)
* Entry: Above $130 with confirmation.
* Target 1: $134
* Target 2: $138-$143 (Extended breakout target).
* Stop-loss: Below $124
📌 Bearish Breakdown Setup (Hedge Play)
* Entry: Below $124 with strong selling pressure.
* Target: $120 → $115 (Next PUT Wall).
* Stop-loss: Above $128
Final Thoughts
NVDA is at a make-or-break zone, with $124 as the key support level to watch. If it holds, we could see a sharp reversal toward $134+. However, breaking below could bring another leg down to $120-$115. Given the high volatility, traders should be prepared for sharp price movements.
📢 Risk Management: Use tight stop-losses and wait for confirmation before entering a trade.
🔹 Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always conduct your own research and manage risk accordingly before trading.
NVIDIA (NVDA) has been in a clear downtrend, forming a falling wedge on the 1-hour timeframe, which is often a precursor to a potential reversal. The stock is approaching a critical support level near $124-$126, where buyers may step in.
Key observations:
* Trend Structure: NVDA remains in a falling wedge pattern, typically a bullish reversal formation if it breaks out.
* Support & Resistance:
* Major Resistance: $134 (previous breakdown level).
* Key Support: $124 (PUT support zone).
* Breakout Target: $138 - $143 if NVDA reclaims momentum.
* MACD Indicator: Slightly bearish but showing early signs of a potential crossover, indicating momentum shift.
* Stoch RSI: Approaching overbought conditions, meaning a relief rally could be on the horizon.
Options Flow & GEX Analysis
The GEX (Gamma Exposure) indicator signals significant PUT positioning at $120-$124, making it a crucial level for a bounce. A breakdown below this zone could trigger a gamma-driven sell-off, while a breakout above $134 could lead to a short squeeze.
* IVR (Implied Volatility Rank): 63.3, with IVx avg at 85.8%, indicating high volatility.
* Call Side Bias: 22.1% of options flow, showing some bullish positioning despite the decline.
* Key GEX Levels:
* PUT Wall & Key Support: $124 → Holding above could trigger a relief bounce.
* CALL Resistance & Upside Target: $138 → Breakout above this would confirm a reversal.
Trade Plan & Suggestions
📌 Bullish Reversal Setup (Preferred Play)
* Entry: Above $130 with confirmation.
* Target 1: $134
* Target 2: $138-$143 (Extended breakout target).
* Stop-loss: Below $124
📌 Bearish Breakdown Setup (Hedge Play)
* Entry: Below $124 with strong selling pressure.
* Target: $120 → $115 (Next PUT Wall).
* Stop-loss: Above $128
Final Thoughts
NVDA is at a make-or-break zone, with $124 as the key support level to watch. If it holds, we could see a sharp reversal toward $134+. However, breaking below could bring another leg down to $120-$115. Given the high volatility, traders should be prepared for sharp price movements.
📢 Risk Management: Use tight stop-losses and wait for confirmation before entering a trade.
🔹 Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always conduct your own research and manage risk accordingly before trading.
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.