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Price Prediction

Nvidia Stock Forms First Death Cross within 3 years; Is 50 % broken after that?

NVIDIA (NASDAQ: NVDA) may face an extensive potential correction because the technical indicators of shares indicate that more troubles may be on the way.

Indeed, NVIDIA is fighting an increased volatility that restricted the stock without resisting $ 120 although the American semiconductor giant includes biological basics of artificial intelligence leadership (AI).

By the time of the press, the NVDA share price was traded at $ 117.70, and the last session was completed by 0.7 %. In fact, the share had a difficult start until 2025, as it decreased by approximately 15 %.

NVDA YTD The stock price scheme. Source: Finbold

NVIDIA shares forms the death of death

From a technical perspective, NVIDIA shares constituted a landmark for the first time since April 2022. In particular, the last time that this pattern constituted, led to the collapse of 47 % in stocks for six months.

NVDA stock rate analysis scheme. Source: Barchart

The pattern is formed when the moving average decreases for 50 days (126.92 dollars) to less than the Master of 200 days (127.76 dollars), which is often seen as a declining indicator.

Looking at the current NVIDIA conflicts, there are fears that the arrow may follow a similar path as the last time occurred in this frightening style.

In fact, the possibility of seeing NVIDIA increases a collision that increases due to the fact that the public securities market remains ready amid the prevailing economic uncertainty that led to its dissatisfaction with the commercial definitions of President Donald Trump.

Given the potential effect of the formation of cross -death, NVIDIA needs to hold many support areas to avoid continuous losses. In this case, the level of $ 100 is still crucial.

It is worth noting, in x mail On March 21, wigs analyst Diamond options He pointed out that with the formation of cross death, NVIDIA may test $ 100 soon.

The analyst noted that the descending trend line of the highest level of $ 153 in January continues to resist NVIDIA in the long run. With poor momentum indicators, there can be other declines on the horizon. The RSI Index (RSI) in 45.75 indicates that the stock has not yet been overlooked.

NVDA stock rate analysis scheme. source: Diamond options

If the semiconductor giant fails to restore the level of resistance at a value of $ 126.92, it may risk a decrease in a $ 110 or less support zone. However, the collapse over the MA for 50 days can challenge this descending view.

Basics of Nvidia Stock Bullish

Despite this technical warning, NVIDIA’s basics are still intact, especially with the company’s leading role in the artificial intelligence chips sector.

The company’s capabilities were strengthened at the GPU Technology Conference (GTC), where CEO Jensen Huang announced that artificial intelligence is at a “turning point” and 1 trillion dollars expects the data center revenues by 2028.

At the same time, the new Blackwell Ultra chips, which will later later this year, are greater efficiency, while innovations in AI robots and independent driving are preparing to enter into new opportunities for the American technology giant.

In addition, NVIDIA shows more potential for growth, since the arrow is less than its value now, as it is traded by a front -forward percentage less than 26 and the price/profit to growth (PEG) under 0.5.

Consequently, for long -term investors, current landmarks provide an ideal opportunity to invest in stocks.

Finally, Wall Street analysts in Tipranks Get a consensus classification for “strong purchase” on NVIDIA shares, determining the average target price of $ 176 over the next 12 months.

Distinctive image via Shutterstock

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