Algo’s Are Gushing Over Nvidia’s Horrible Results And Guidance

The algo's are gushing over Nvidia's horrible results and guidance that showed gaming revenue which cut in half.

Nvidia (NVDA)

I’m shocked that Nvidia is trading higher following these results. These results are not good. Make no mistake. Maybe it is a game of better than feared; I have no clue. Look at this chart. Gaming revenue was cut in half! Even Datacenter fell sequentially.

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nvidia

The company guided the first quarter at $2.2 billion below the street consensus for $2.34 billion. The company is guiding the full-year to be flat or down slightly!

You want to pay 21 times earnings for no growth, be my guest. Better you than me. Let’s see what happens tomorrow.

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nvidia, nvda

S&P 500 (SPY)

Stocks were resilient on Thursday, February 14, with the S&P 500 mounting a very strong come back. The bears again had their chance early to crack the buyers, but again failed miserably. They had weak retail sales, and then negative trade headlines, but still, the buyers stepped in. The market sentiment has changed dramatically over the past few weeks, if you are still in the bear camp you need to reconsider your strategy. Sorry.

The S&P is stalling out some around 2750, but I’m that worried about it.

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s&P 500, spx

Russell (RUT)

The Russell is powering higher and is on a crash course with 1,562 and then 1,593. For the Russell 1,593 is the big test, just like 2,800 is for the S&P 500. At 1,593 the Russell faces stiff resistance, and it’s 200-day moving average.A rise above 1,593 seems the index back to 1,710.

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russell 2000

Apple (AAPL)

Apple appears to be at a breaking point, it either breaks out and moves on to $182, or it breaks down and moves to $164. My bet, it breaks out and runs to $182.

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apple, aapl

Qualcomm (QCOM)

Qualcomm is quietly continuing to hold support around $49 and appears it is making its way higher towards $53.50

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qualcomm

Broadcom (AVGO)

Talk about coming back from the dead, can you believe that Broadcom is closing in on its all-time highs? Talk about the moment of truth. The one thing you don’t want to see happen for Broadcom is a failed breakout at $285.

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Disclosure: Michael Kramer and Clients of Mott Capital Own Apple

Disclaimer: This article is my opinion and expresses my views. Those views can change at a moment's notice when the market ...

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