Usman Salis
NVIDIA ($NVDA) has reached a critical juncture where traders are fixating on one decisive zone: the Point of Control (POC). This level marks the price where the heaviest trading volume occurred, essentially creating the strongest natural support on the chart. For NVDA bulls, holding this line isn't optional—it's everything.
Understanding the Technical Setup
According to Peter DiCarlo, this level represents the strongest volume support on the chart, making it a true make-or-break area for bulls in the short term. Support zones like this often dictate whether a stock continues climbing or reverses course. With AI demand fueling NVIDIA's growth story, the question now is whether buyers can defend this volume anchor or if sellers will break through and shift momentum.
The volume profile reveals where market participants have shown the most conviction:
- Point of Control (POC) – The price with maximum trading activity, functioning as the strongest support
- High-volume zones – Areas showing intense buying and selling pressure that typically act as support or resistance
- Volume gaps – Thin-volume zones where price can accelerate quickly in either direction
Right now, NVDA sits near its POC. If it holds, bulls could push toward upper resistance levels. If it fails, the stock might tumble fast through those volume gaps where few traders have positioned themselves.
Why It Matters
NVIDIA's GPU dominance in AI and data centers keeps its long-term outlook bright, but short-term price action hinges on this technical level. Analysts disagree on valuation—some see room to run, others worry it's stretched. How NVDA behaves at the POC will likely settle that debate, at least temporarily. Holding above keeps the bulls in charge. Breaking below could flip sentiment fast and open the door to sharper declines.
Usman Salis
