NVIDIA (NASDAQ:NVDA) stock extended its impressive run on Tuesday, closing at a record high of $496.56, up 2.13%. This marks the tenth consecutive trading session in which the stock has gained ground.
The surge in NVIDIA`s stock price is being attributed to a number of factors, including:
- Today`s risk-on trade on the lower CPI report: The stock market rallied broadly on Tuesday after the release of a lower-than-expected Consumer Price Index (CPI) report. This positive sentiment spilled over into NVIDIA`s stock, which benefited from the overall market rally.
- The release of NVIDIA`s latest AI system, the H200: The H200 is a powerful new AI system that is expected to be in high demand from businesses and organizations across a variety of industries. The release of the H200 is seen as a positive catalyst for NVIDIA`s growth in the future.
- Positioning into the company`s third-quarter earnings results next week: NVIDIA is scheduled to report its third-quarter earnings results on November 21, 2023. Analysts are expecting the company to report strong results, driven by the continued uptake of AI.
Analysts are generally bullish on NVIDIA`s stock ahead of its earnings report. Morgan Stanley analysts said today that NVIDIA is set up for another "very strong" quarter. The firm reiterated its Overweight rating, $600 price target, and Top Pick designation.
Deutsche Bank analysts also expect a strong quarter from NVIDIA. They commented that they would not be surprised by another "big beat/raise" as the company continues to address significant AI-compute buildout needs. Deutsche Bank rates the stock a Hold with a $560 price target.
Investors who are looking for exposure to the AI market should consider adding NVIDIA to their portfolios.
NVIDIA Technical Analysis
As of November 15, 2023, NVIDIA`s stock is trading at $496.56. The stock has been on an impressive run in recent months, reaching record highs in November 2023. The stock has been trading in a strong uptrend, with the 50-day and 200-day moving averages both sloping upwards. The Relative Strength Index (RSI) is also in bullish territory, above 70. These indicators suggest that the stock is likely to continue to move higher in the short term.
Support and Resistance
The stock has a strong support level at $400. This level was tested in October 2023, and the stock bounced off of it and continued to move higher. The stock also has a resistance level at $500. This level was tested in August 2023, and the stock was unable to break through it. However, the stock has been making higher highs and higher lows, so it is possible that it will be able to break through this resistance level in the future.
Overall Outlook
The overall outlook for NVIDIA`s stock is positive. NVIDIA shares hit record high as the company prepares to report yet another quarterly results. Investors who are looking for exposure to the AI market should consider adding NVIDIA to their portfolios.
Technical Indicators
- Moving Averages: 50-day MA (uptrend), 200-day MA (uptrend)
- Relative Strength Index (RSI): 72 (bullish)
- Support: $400
- Resistance: $500
NVIDIA`s stock is a strong buy candidate. The company has strong fundamentals, and the stock is trading in a strong uptrend. Investors who are looking for exposure to the AI market should consider adding NVIDIA to their portfolios.
Please note that this is just a technical analysis of NVIDIA`s stock. It is not a recommendation to buy or sell the stock. Investors should always do their own research before making any investment decisions.
