Nvidia Stock Price Eases Upward Push On Profit Booking, But Bullishness Remains
- Nvidia stock price retested its record highs on Monday but faces mounting pressure as some investors, including top managers book profit.
Nvidia stock price rose to record highs of $158 last Friday and retested that mark on Monday, but was down by 0.2% at the time of writing, signaling a potential onset of profit-booking. For some, it’s just another instance of standard portfolio management, while for others, it’s a glimpse of capitalizing on high prices. Optimism among analysts for ongoing expansion is further supported by their positive outlook on Nvidia (NASDAQ: NVDA).
The stock price gained 9.6% last week- its biggest weekly gain since mid-May. Notably, NVDA’s daily RSI is at 76 as of this writing, pointing at overbought conditions. That could limit the upside momentum and bring downward pressure on the stock. Despite the risk posed by profit taking, Nvidia stock price has support from an upbeat sentiment around the broader AI industry.
Furthermore, the company’s CEO Jensen Huang stated last week that they are looking at AI-powered autonomous driving as the next big growth area. That could see it take on fellow tech giants like Alphabet’s Waymo and Tesla’s robotaxis/cybercabs.
Meanwhile, investors will also be keen on updates regarding Blackwell chips and their infrastructure scaling. Huang described demand for the high-end AI chips as “insane” late last year, and a hint on its growth prospects could bring new impetus into Nvidia stock price.
Nvidia Stock Price Prediction
The momentum on Nvidia stock price calls for further upside if the action stays above $155.60. With the buyers in control, the stock will likely go higher and meet initial resistance at $160. A stronger momentum will break above that level and could send the price higher to test $165.
On the other hand, going below $155.60 will favour the sellers to take control. That will likely see primary support established at $151.30 Breaking below that level will invalidate the upside narrative. Also, an extended control by the sellers could send NVDA price lower to test $147.20.
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