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Posted March 5, 2025 at 10:47 am
From SIA Charts
1/ Nvidia Corp. (NVDA)
2/ Point and Figure Chart
3/ Candlestick Chart
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Nvidia Corp. (NVDA)
Having technically analyzed Broadcom Inc. in yesterday’s Daily Stock Report, we thought we would take a moment to review the charts of another widely held stock today that needs no introduction. NVDA was the big winner in 2024 but has been sputtering out of the gate for 2025, as both the shares have turned decidedly negative on its SIA relative strength rank, along with the sector, which has also slipped negative on its relative strength rankings within the SIA Market Sector report. This slippage of relative strength is easily seen on the SIA matrix position chart attached, which shows NVDA shares moving through the yellow neutral zone of the report into the red unfavored zone, putting SIA practitioners on alert.
Point and Figure Chart
The point and figure chart attached with the matrix position overlay tool engaged further illustrates this pullback in relative strength, even as the shares held the support line over the past quarter with relatively little damage done to the chart. But SIA’s main coach relative strength may be painting a different picture than the actual chart itself, as sellers appear to be gaining more and more control of trading, with shares slipping on consecutive double bottom point and figure sell signals. Here on the PNF chart, we find some support at current levels, but the main body of support may still be about 10%-15% below current levels at $103.02 and $97.08, while resistance is highlighted on the chart at $125.59, $130.66, and $135.94, with the top line $150 still in place as the old high.
Candlestick Chart
Turning to a short-term daily candlestick chart, we can see that after reaching a high of $150 in late 2025, shares of NVDA gapped down on the Deep Seek news that suggested they had more efficient systems, which could take the wind from the back of NVIDIA’s command of the space. This gap was subsequently filled, as oddly is often the case, but shares then sold off once more even on outperforming earnings numbers last week. Since then, sellers appear in command of the shares, with fast-moving selloffs coupled with some recovery in a 3 steps back, 2 steps forward type of way. Here on the daily candlestick chart, support is observable just below the $100 mark, while resistance is highlighted at the $140 mark, which may mark a new trading range for NVDA shares until more information in the global AI race for supremacy is revealed.
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Originally posted 5th March 2025
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