The NVIDIA turd is floating in the bowl so you may as well flush it down. There is a lot of spaghetti in the chart above but let us digest it one bite at a time. The red rising wedge is bearish. Price made higher highs up until a couple weeks ago. The red lines for the chart indicators are all sloping down, negatively diverging away from price that floats higher. She's out of gas. There are not even any fumes remaining to take it higher. NVDA has topped-out on the weekly basis due to the neggie d.
NVDA is at 144.78 threatening to break out higher with everyone waving buy tickets in the air as Father Jensen exalts a new black box above the groupie crowd calling it the latest AI chip (it is actually a Cheerio's box that he spray painted black). Since the neggie d locked into place, on the weekly basis, a couple weeks ago, there is no reason for price to make a higher high again. There is no more fuel in the tank.
The ADX pink box shows that the 2-year strong weekly trend higher is over. The ADX needs to be above 27-29 for a strong trend to be in place and NVIDIA now sings the swan song as the weekly trend higher is guaranteed to not be as strong as it was a few months ago. The Aroon shows the start of the bull run with the positive cross so time will tell if there is a red negative cross coming. The green Aroon line shows that nearly all NVDA bulls continue to be uber bullish, and the red lines shows that two-thirds of the NVDA bears are also bullish. That is funny. Everyone is on one side of the boat partying like its 1999.
Price violated the upper standard deviation band so the middle band at 127 and lower band at one hundo are on the table going forward on the weekly basis. Price is extended above the moving average ribbon so a mean reversion lower is needed. NVDA last crossed the 200-wk MA in late 2022 and it is now at 45.
The blue circles show distribution taking place. It is the smart money selling to the dumb money. As the talking heads on television tell you to buy NVDA with both fists, they are the ones selling (distributing) their shares to you. Do you know what that makes you? The sucka. Pause for laughter. You are the bag-holding sucka.
Keystone is not holding NVDA long or short currently but obviously the play is short. If you bring up the daily chart, that fell in late November due to neggie d, price has no reason to print a higher high at 149-150 or higher. On the 2-hour chart, price is starting to top; the MACD likely needs one more jog move (down-up) to place the top so that is 2 to 4 hours so that would be today or tomorrow before munch time for the top. The US Monthly Jobs Report drops at 8:30 AM EST before the market opens and it will set the overall tone for Friday.
If you own NVDA long, it is time to make a big decision. Gird your loins. You would be smart to take the money and run unless you want to watch many weeks of downside ahead. The only thing that can save the day is happy talk from Emperor Jensen while he waves a new AI chip in the air (the AI hype and earnings extended the prior top). This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.
Note Added Sunday, 12/8/24: NVDA 142.44.
Note Added Tuesday Morning, 12/10/24: NVDA 138.81. Chinese regulators (CCP) begin hassling NVIDIA in retaliation for export controls imposed on chips by Sleepy Joe Biden.
Note Added Sunday, 12/15/24: NVDA 134.25.
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