Saad Ullah
The U.S.–China tech rivalry has escalated again. Recent reports indicate Chinese authorities have ordered companies to halt Nvidia GPU purchases while ramping up customs checks on AI semiconductors. This development comes as Nvidia stock hovers near a technical zone that could determine its next move.
China's Strategic Shift
China's latest measures reflect a deliberate push to reduce reliance on American technology. According to a Financial Times report highlighted by trader JustDario, Beijing is restricting Nvidia's AI chips to accelerate adoption of domestic alternatives, mirroring Washington's own export controls on cutting-edge semiconductors.
This policy doesn't just limit Nvidia's access to a massive market - it's turbocharging Chinese semiconductor development and reshaping global supply chains.
Technical Picture
The chart shows Nvidia trading around $192.41, with recent action suggesting underlying strength. The $185 level has proven solid after multiple retests, establishing itself as a key demand zone.
Upside resistance sits at $197, with stronger selling pressure likely near $200. Volume concentration between $180–$185 points to institutional buying interest, while Wall Street analysts maintain optimistic price targets ranging from $220 to $250. Despite bearish headlines, the market may be interpreting Nvidia's resilience as a positive signal.
Investor Implications
Nvidia remains central to the global AI infrastructure buildout. U.S. hyperscalers continue driving enormous GPU demand, keeping the company well-positioned despite Chinese restrictions.
This tension reveals two competing forces: robust demand from non-Chinese markets that could compensate for lost revenue, and an accelerated innovation race as Chinese competitors gain momentum with government backing. The question isn't whether Nvidia can survive these headwinds - it's whether the company can maintain its dominance as the competitive landscape shifts.
Saad Ullah
