Alex Dudov
NVIDIA (NVDA) shares are trading just below the $200 resistance mark following several weeks of solid gains. The stock remains in an uptrend, though some traders are taking profits as momentum slows near this key level.
NVDA Consolidates After Strong Rally
According to Don't follow Shardi B If You Hate Money, investor sentiment has shifted noticeably. Last week, buyers were excited about NVDA at $210, but now they're hesitant as the stock approaches that level from below. The 4-hour chart shows NVDA consolidating within a bullish pattern with consistent higher highs and higher lows.
The technical picture highlights key factors: resistance sits between $200 and $210, where the stock is testing previously strong opposition. A break above $210 could spark momentum toward the $220–$229 range. NVDA is holding above its 20-day moving average near $196, suggesting bulls control the trend, while deeper support exists around $187–$185. Volume stays moderate with no signs of heavy selling, and the RSI at 68 shows steady bullish momentum, though slightly stretched after October's rally.
Broader Market Context
NVIDIA's pause comes alongside a slowdown in tech stocks after weeks of strong AI-related equity performance. Despite consolidation, fundamentals remain solid as the company leads the AI hardware race with growing demand for data center GPUs from cloud providers and government projects. Recent reports point to increased chip orders ahead of the next product cycle, reinforcing NVIDIA's market position.
What to Watch Next
NVDA needs to stay above $196 to maintain its bullish setup. A bounce could trigger another test of $210, while a breakout might push toward $229. A daily close below $187 could prompt a pullback toward $180, where the 100-day EMA offers support. Traders will monitor earnings news and macro factors like bond yields.
Alex Dudov
