Although I always install ATI graphic cards in my custom-made desktop computers, my money is nowadays invested in Nvidia’s stock. I might have read tons of blog and forum posts regarding comparisons between the companies’ GPUs that made me decide on ATI technology, NVDA stock graph on the other hand is hard proof that Nvidia is trustworthy for investors, at least since 2009. The stock was down 85% during 2008 after dropping from $40 to almost $5 per share but is now clearly trending upwards. The stock price has found solid support at $15 which also marks the 61.8% Fibonacci retracement level in the weekly graph, which has been a support level in February ’10 as well! There is already enough bias towards long positions trading Nvidia’s stock.
Previous week’s stock news about NVDA stock was quite favorable for resuming the uptrend, as Avafin published a price alert after unusual options trading volume was spotted for Nvidia Corporation, a sign that the stock is expected to make a move. When there is so much support found in the charts, I highly expect a move to higher prices. Additionally JMP Securities sees outperformance in summer months for NVDA stock, setting a $25 price target. I consider that target quite optimistic for 2 month’s time, but I won’t complain if I see a long green candlestick like the one of January this year, when the price gained 10$ per share (66% gain) in 30 days!
Disclaimer: I’m long NVDA.