On December 20, 2024, this is what we discussed about the relentless four-week correction from NVDA's ATH at 152.89 (11/21/24) to a low at 126.35 on 12/20/24:
Three Times is a Charm? For the third time this week, NVDA spiked down into the lower reaches of my optimal corrective target window from 132 to 125-- this AM representing the latest spike low at 126.35-- and for the third time, buyers emerged, propelling NVDA higher to 130-132. As we speak, NVDA is trading at 131.14, but needs to CLOSE above 132, and then follow-through above 135.20 thereafter for my work to trigger an important upside reversal signal. As long as 125 continues to contain any forthcoming weakness, my preferred scenario argues for an NVDA corrective low and bottom around in the 125-132 support window... Last is 131.31...
NVDA closed at 139.66 on 12/23, satisfying the technical requirements to trigger a strong upside reversal signal in my work (above 132.00 and 135.20), strengthening my conviction that a new upleg within the intermediate-term uptrend had been initiated.
After a pullback to a higher low at 132.95 during the first half of last week, NVDA pivoted to the upside last Thursday into Friday's new rally high close at 145.00.
Last Thursday afternoon, I posted another one of my frequent updates about the pattern setup in NVDA:
As long as the rally from the multi-month corrective low at 126.35 to the 12/24/24 recovery high at 141.90 remains intact, my near-term pattern work regards it as the first upmove of a new upleg in the aftermath of the Nov-Dec correction from the ATH at 152.89 to 126.35. Key initial support on weakness from the rally high at 141.90 (12/24) resides from 133 down 129.70... A climb above 140.40 is needed to trigger upside continuation above 142.00 toward eventual new ATHs from 156 to 163... My suspicion is that by late tomorrow (1/04) into mid-day next Monday (1/06) NVDA will attract buyers ahead of CEO Jensen Huang's keynote address late Monday (1/06) for the CES Conference.. Last is 135.64...
Friday afternoon's upside thrust, in part, reflects positive expectations about whatever Jensen Huang has to say about NVDA at 9:30 PM ET tomorrow evening (Monday) at his keynote speech to open the CES. In that NVDA has been volatile but relatively stagnant, circling 120-140 during the past 6 months, let's expect Huang to change the narrative to excite investors (in case they need a pep talk!) about its business prospects for 2025, which could propel the stock directly to retest its 11/21/24 ATH-zone at 148-153. My intermediate-term pattern work points to an optimal next target zone from 156 to 163...
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