The price of NVIDIA has increased by 3.8 % in the past five days and was in the pre -market session on Wednesday, when it was traded at $ 142.25. The bullish trend is paid through its expected profits that were reported last week and the high prospects for eliminating export restrictions by the United States government.
The Trump administration officials, including Treasury Secretary Scott Payet, were optimistic about the start of direct talks between the American president and his Chinese look, Xi Jinping. Among the main objects specified for negotiations are current restrictions on exporting advanced GPU AI chips, including Nvidia’s H20. The company recently removed the H20 orders worth $ 8 billion.
Moreover, NVIDIA (NASDAQ: NVDA) estimates that the GPU market in China can grow to $ 50 billion in the next three years. In addition, the company was absent from 2.5 billion dollars in revenues in the last quarter due to the current commercial climate. Therefore, raising these restrictions can create a large revenue stream for the company. However, despite the barriers that prevent entry into China, NVIDIA has achieved $ 44 billion revenues, equivalent to 66 % growth on an annual basis.
The upward hidden on the NVIDIA share price is also supported by President Trump’s move to suspend the “spread of artificial intelligence” base. The base provided by the Joe Biden administration in countries was presented at “levels” depending on the strength of its geopolitical restrictions with the United States, with different groups of restrictions.
After its latest profit results, analysts issued optimistic expectations on the price of NVDA. Mizuho Securities offers the share price between $ 160 to $ 180, while UBS analysts have a $ 175. These numbers conclude between 16 % to 23 % of the current level. NVIDIA has issued 45 billion dollars for this quarter, adding support for the stock prices.
NVIDIA share price prediction
On the above chart, NVIDIA stock prices indicate $ 140.30, and the procedures above this level indicate the rise. This is likely to witness the first resistance that was faced with $ 143.60. However, the expanded control by buyers will show that obstacle and possibly test $ 145.00.
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On the negative side, a break of less than $ 140.30 will lead to the invitation of the sellers to control, with the first support of $ 138.20. The bullish direction would be invalid if the price is less than this level. In addition, the stronger momentum can send a lower price for a $ 136.20 test.
