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Nvidia (NVDA) - Get NVIDIA Corporation Report shares are racing higher Monday, up 2.65% to $186.80 in midday Monday trading.

The move comes after the company received a price-target hike from the analysts at RBC Capital Markets. They bumped their price target from $190 to $217 (here's why), implying about 16% upside from current levels.

There are a few significant developments from Monday's price action, though.

First, it builds on last week's very impressive breakout, while Nvidia stock came within 6 cents of last month's high. Clearing that high at $188.40 could open up the door to further upside.

With the 2019 highs sitting only a few dollars per share above the $188 area, investors are hoping Nvidia stock could be on the verge of a long-awaited breakout. Let's take a closer look at the charts.

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Six-month daily chart of Nvidia stock.
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We are taking a look at two daily charts. The one above highlights the very solid breakout we saw in Nvidia stock last week. On Tuesday, Oct. 1, Nvidia tried to breakout, but the move to $181 was swatted down, as downtrend resistance (blue line) held the stock in check.

Fortunately, just a few days later, the stock was able to break out, closing over $180 and setting the stage for some additional follow-through over the past few days.

If the stock can clear $188.40, it will set the stage for a run to its 2019 highs, near $193, which came back in April and can be seen in the one-year chart below. Incidentally, $188 also marks the 61.8% retracement for NVDA stock's one-year range.

12-month daily chart of Nvidia stock.

If the stock can clear this $188 to $193 area, it puts a potential rally up to $200 on the table, while the 50% retracement is up at $207.81. Above that puts $220 in focus, a significant level from Nvidia's fourth-quarter 2018 breakdown, with the 38.2% retracement near $227.50 in play above that.

This stock broke down hard last year, as crypto-related issues wreaked havoc on inventories and punished Nvidia's top- and bottom-line growth.

Almost a year later now, investors are looking to put that headache behind it as they look for year-over-year growth in the coming fiscal year.

So what's the bottom line? Let's see if NVDA stock can close over $188.40. If it does, $193 is on the table. Below $188 and bulls will want to see the 20-day and 50-day moving averages hold as support on a pullback.

This article is commentary by an independent contributor. At the time of publication, the author had no positions in the stocks mentioned.