Nvidia’s stock price is on the verge of surpassing the $115 resistance level, following a period of consolidation below it. Despite facing challenges in the semiconductor sector and geopolitical uncertainties, the stock has shown short-term gains as it strives to recover from a recent downturn.
At the close of the markets on July 26, Nvidia (NVDA) was valued at $113 with a 0.7% increase in 24-hour gains. However, on a weekly basis, the stock has declined by over 6%. Nevertheless, NVDA shares have seen an impressive 135% increase in 2024.
Market analysts are now eyeing Nvidia’s next target price. Peter DiCarlo, a stock market expert, has predicted that Nvidia’s shares will rebound and reach $128. Despite a dip earlier in July, the stock has stabilized, presenting a lucrative buying opportunity for investors.
Recent performance indicators suggest a double bottom formation near the $113 level, signaling strong support. Additionally, the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) show positive momentum. DiCarlo’s projection aligns with historical resistance and support levels, emphasizing key points around $126.72 and $128, which could confirm a bullish reversal and lead to further gains.
As Nvidia prepares to announce its second-quarter 2024 earnings, hitting the $128 mark could result in additional gains, especially if the company exceeds revenue expectations. Analysts anticipate that Nvidia’s earnings report will demonstrate how customers are utilizing AI chips to generate profits, potentially alleviating concerns about chip utilization and boosting the company’s position as a semiconductor leader.
It is essential to note that the information provided should not be considered as investment advice, as investing carries inherent risks.
