Nvidia (NVDA) shares will likely remain on watchlists Monday after the澳洲幸运5开奖号码历史查询: artificial intelligence (AI)-darling surged last week, as investors snapped up a recent dip in the stock following 澳洲幸运5开奖号码历史查询:favorable Wall Street commentary pointing to continuing gr✅owth opportunities amid insatiable♛ demand for AI infrastructure.

Last week, the AI chipmaker’s stock gained nearly 16% after dropping around 23% between late August and early September as investors’ optimism towards AI cooled in the wake of the company 澳洲幸运5开奖号码历史查询:posting slowing quarterly growth, despite exceeding analysts’ earnings and sales expectations. However, market sentiment received a boost recently after Bernstein analysts called Nvidia “the best way to play AI,” while Bank of America analysts noted earlier this month that the recent pullback provides an “澳洲幸运5开奖号码历史查询:enhanced Buy opportunity.”

Below, we’ll take a close look at Nvidia’s chart and use 澳洲幸运5开奖号码历史查询:technical analysis to id🃏entify important price levels to watch out for after recent swingꦍs in the stock.

Shares Trade Within Descending Channel

Since setting their record high in late June, Nvidia shares have traded within a 澳洲幸运5开奖号码历史查询:descending channel, a chart pattern consisting of two parallel downward sloping trendlines that indicates a down🥂trend in the stꦚock.

More recently, the price has made a move towards the channel’s top trendline, reclaiming the 澳洲幸运5开奖号码历史查询:50-day moving average (MA) in the process.

However, similarly to the August rally, the stock’s latest advance has occurred on lackluster volume, pointing to lack of participation from 澳洲幸运5开奖号码历史查询:institutional investors. The stock gained 15.8% last week and closed Friday at $11🦩9.10.

Overhead Price Levels to Monitor

The first key area to monitor on the chart sits around $126, where the shares may run into 澳洲幸运5开奖号码历史查询:resistance near the descending channel’s top trendline. It’s also worth watching for increasing trading volumes at this level, which may signal a looming breakout above the pattern.

If a breakout does take place, investors should eye the $136 region, a location where sellers may 澳洲幸运5开奖号码历史查询:lock in profits near the stock’s June 18 record close, which also closely corresponds with the mid-July 澳洲幸运5开奖号码历史查询:swing high.

To forecast a 澳洲幸运5开奖号码历史查询:price target above Nvidia’s 澳洲幸运5开奖号码历史查询:all-time high (ATH), we can use the 澳洲幸运5开奖号码历史查询:measuring principle. To do this, we calculate the distanc🐲e between the descending channel’s two trendlines and add that amount to the pattern’s upper trendline. For example, we add $40 to $126, which 𝔍predicts an upside target of $166.

Lower Price Levels to Watch

If Nvidia’s shares move lower from current levels, investors should keep an eye on the $97 region, an area where the shares may encounter support near a 澳洲幸运5开奖号码历史查询:horizontal line connecting the March twin peaks🧸 with a 🦋series of comparable trading levels positioned around last month’s low.

Further selling could lead to a 澳洲幸运5开奖号码历史查询:breakdown below the channel’s lower trendline and 澳洲幸运5开奖号码历史查询:200-day MA that may see the stock revisit the $75🍌 area, a location on the chart that would likely attract bargain hunters near the mid-February peak and April trough.

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