Bloomberg reported yesterday that Nvidia could be flashing signs of overheating. The reason that Bloomberg considers Nvidia to be overbought is based on the fact that the shares have climbed over 230% since the start of the year, and they are currently in overbought territory on the RSI index. So does this mean Nvidia is due for a pullback? Nvidia shares really benefited from AI chip hopes.
The company is due to follow earnings on November 21, so you should definitely expect some volatility shortly for the stock however, are any dips in the video worth buying?
The seasonal pattern for Nvidia is certainly very strong over the last 15 years between the 15th of November and the 20th of February Nvidia shares have gained on average 13.73%. So buying Nvidia from key support levels could make sense once earnings are out of the way. Dip buying ahead?
The major trade risk here will be if Nvidia’s earnings show a major concern and/or the attitude toward AI stocks changes rapidly.
Disclaimer: Past results and past seasonal patterns are no indication of future performance, in particular, future market trends. seasonax GmbH neither recommends nor approves of any particular ...
Disclaimer: Past results and past seasonal patterns are no indication of future performance, in particular, future market trends. seasonax GmbH neither recommends nor approves of any particular financial instrument, group of securities, segment of industry, analysis interval or any particular idea, approach, strategy or attitude nor provides consulting nor brokerage nor asset management services. seasonax GmbH hereby excludes any explicit or implied trading recommendation, in particular, any promise, implication or guarantee that profits are earned and losses excluded, provided, however, that in case of doubt, these terms shall be interpreted in abroad sense. Any information provided by seasonax GmbH or on this website or any other kind of data media shall not be construed as any kind of guarantee, warranty or representation, in particular as set forth in a prospectus. Any user is solely responsible for the results or the trading strategy that is created, developed or applied. Indicators, trading strategies and functions provided by seasonax GmbH or on this website or any other kind of data media may contain logical or other errors leading to unexpected results, faulty trading signals and/or substantial losses. seasonax GmbH neither warrants nor guarantees the accuracy, completeness, quality, adequacy or content of the information provided by it or on this website or any other kind of data media. Any user is obligated to comply with any applicable capital market rules of the applicable jurisdiction. All published content and images on this website or any other kind of data media are protected by copyright. Any duplication, processing, distribution or any form of utilisation beyond the scope of copyright law shall require the prior written consent of the author or authors in question. Futures and forex trading contains substantial risk and is not for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing ones’ financial security or lifestyle. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Past performance is not necessarily indicative of future results. Testimonials appearing on this website may not be representative of other clients or customers and is not a guarantee of future performance or success.
