NVIDIA Corporation's stock (NVDA) could potentially drop to support levels. As of September 3, 2024, the support level is at $117.99, and the resistance level is at $121.081.
- Technical Indicators: The stock's technical indicators provide some insights. The MACD is at -2.06, and the RSI is at 26.012, which are typically considered bearish signals. The stock is trading below its 5-day and 10-day moving averages of 119.77 and 123.42, respectively3, indicating a short-term downward trend.
- Market Sentiment: The broader market sentiment could also influence the stock's potential drop. The stock market has historically recorded significant losses in the month of September compared to other months4. Additionally, the upcoming Fed policy decision and related market uncertainty could contribute to market volatility, which could affect NVDA's stock price4.
- Company Performance: NVIDIA's recent performance has been mixed. While the company has seen significant revenue growth, there have been concerns over its guidance and product delays5. The company's stock has also been affected by broader industry trends and investor expectations6.
- Analyst Ratings: Despite the recent challenges, analysts have maintained a positive outlook on NVIDIA, with a strong buy consensus rating and an average price target that suggests a potential upside78. This indicates that while there may be short-term pressures on the stock, analysts believe it has the potential to recover.
In conclusion, while NVIDIA's stock could potentially drop to support levels in the short term, the company's strong fundamentals and positive analyst sentiment suggest that the stock may find a bottom and stabilize. Investors should monitor the stock's performance in relation to market trends and NVIDIA's specific financials.
9/4/2024 04:46am
