NVIDIA Corporation (NVDA) hit the ground running as markets opened on March 16.
The price gapped higher at the open, and the stock just went on a run for the balance of the day.
At the same time, it triggered a buy signal once it settled above the descending teal line displayed on the chart below. The ascending blue channel top became the target.
That target was acquired in just two trading days. That’s what has already happened. Now, let’s talk about what we could anticipate from this point moving forward…
As of this writing, price is currently breaking that blue channel that had served as the last target.
If price settles above it, we could then look to see it rally towards the ascending black channel bottom, which is currently at approximately $315 and climbing.
What am I looking for from here? Well, I definitely want to see a daily settlement (close) at least 1%+ beyond the blue channel structure.
If the channel structure is at $265, I’d need a daily settlement above $267.65 in order to confirm the breakout.
Looking at the chart where it currently stands, I’d be setting my stop loss at $257, a full 1% below the low of the candle that initially broke the resistance blue channel top.
Timing? At the pace that the market is currently trading, I’d guess this trade should take approximately three to five weeks from entry to target.
That’s what I’m looking at as far as NVDA goes. If any of you have any thoughts on this trade idea or if you decide to get involved, please let me know by leaving a comment below this article!
Rules to Live By
“If my life is going to mean anything, I have to live it myself.”
― Rick Riordan
Until next time, I wish you a beautiful and blessed day!
Yours In Trading Success,
Anthony Speciale Jr.
