NVDA has reached a new top of 1068. A confirmed break above this level is needed for a channel breakout and a test of 1100. This is a long-term uptrend channel resistance and a possible Elliott Wave long-term fifth wave end. A rejection here is required for the downside reversal and a pullback into support 800. Learn to Trade Indices profitably.
How to trade this?
It is a fact that a strong upside resistance for Q2 2024 is 1070 and If we get a confirmed break above this level we could see a strong upside continuation and new highs. Near-term, short-trade entries have a slightly higher probability of success. Long trade entries are possible only on a confirmed price-action break above 1070. You can try a short trade here with a stop loss above 1080. The short-trade entry has a good Risk to reward. For inquiries about account management please write to [email protected].
The Weekly NVDA chart reveals a narrow medium-term uptrend channel and price action reaching its top. At this point, it is advisable to look for the short trade entries or sell positions as they have a higher probability of success since we have at least three times in the previous 3 years of history a reversal from this channel top. We will need to see a big break above 1080 to see an extension higher, and an invalidation of the complete downside reversal, and the extension of the fifth long-term wave higher. I am inclined more to see a swing down to 960 at this point.
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How to trade this?
It is a fact that a strong upside resistance for Q2 2024 is 1070 and If we get a confirmed break above this level we could see a strong upside continuation and new highs. Near-term, short-trade entries have a slightly higher probability of success. Long trade entries are possible only on a confirmed price-action break above 1070. You can try a short trade here with a stop loss above 1080. The short-trade entry has a good Risk to reward. For inquiries about account management please write to [email protected].