The rally comes after Nvidia delivered strong earnings and despite a mixed day in the markets — even though the Nasdaq is now up about 1% on the day.
The company beat on analysts’ expectations for earnings and revenue results in the most recent quarter and even provided better-than-expected guidance for next quarter.
Simply put, Nvidia just keeps on delivering.
It didn't take long for AMD to run to new all-time highs after that, which is exactly what Nvidia did this morning.
Trading Nvidia Stock
Nvidia stock has been downright explosive and in late October, shares gapped up to new all-time highs. At the time we wrote:
“Obviously, bulls would like to see the rally continue. They might think, why not go on a run like Tesla (TSLA) - Get Tesla Inc Report? From here, I would love a minor pullback or some consolidation. As long as Nvidia remains above the 10-day moving average and the $230 breakout level, bulls remain in control.”
Well gone on a run like Tesla is exactly what Nvidia has done. At today’s high, Nvidia stock was up 67.5% from the Oct. 4 low.
From here, it’s a little harder to navigate the stock if you haven’t already been long Nvidia.
A close over the prior all-time high near $323 keeps Thursday’s high in play at $327.60. Above that and we could see a further push to higher prices.
Specifically, it could put the $343 to $345 area on the table, which is the 423.6% extension. It’s also the 161.8% extension of the recent range from the Nov. 17 low to the Nov. 9 high.
I’d consider this a notable area, but a move above it could put $350 or higher on the table.
On the downside, a move below Thursday’s low could put recent resistance of $307 back in play and open the door to a test of the 10-day moving average.
We all love a rally, but some rest would do Nvidia some good.