When it comes to Nvidia stock (NVDA), the question many traders and investors are asking is simple: Is Nvidia a buy?
If I had to rely on just one single chart to guide me on where NVDA may be going next, and where future price reactions are most likely, this would be the one. Let's jump right into my video on the investingLive.com Youtube Channel (please do subscribe):
The chart highlights two key technical phases:
A major breakout from a multi-month descending channel (blue).
A current consolidation in a yellow box, following a strong rally and Nvidia’s most recent earnings report.
This makes Nvidia a battleground between short-term swing traders and patient long-term buyers.
Current NVDA Price Context
NVDA is trading near $175.
Price has been oscillating inside the $164–$185 range since earnings.
The trend leading into this consolidation (yellow channel on the chart, see the most simple technical analysis of NVDA stock within the video above) was strongly bullish, sparked by AI demand, data center growth, and continued earnings strength.
Where Swing Traders Are Looking
Swing professionals tend to focus on clear range levels where liquidity builds. In Nvidia’s case:
Top of the range: $184–$185
This is a prime short setup for many pros, expecting sellers to defend this ceiling.
Bottom of the range: $164–$165
A natural long setup for swing traders, looking to catch the bounce back toward the midpoint or upper band.
This range-trading approach will dominate until Nvidia breaks decisively above or below the yellow consolidation channel.
The Big Picture for Buy-and-Hold Investors
We all get that AI is a serious revolution. But there are other voices, too. Goldman Sachs warns that a slowdown in AI spending could knock 15–20% off the S&P 500, given the index’s heavy reliance on AI-linked firms. Analysts caution that deceleration by late 2025 could leave equities vulnerable. Luckily, we have the more simple, perhaps more effective guidance from the right technical analysis perspective.
While traders battle inside the $164–$185 box, long-term investors may be eyeing a deeper level:
$147 – the breakout junction where Nvidia escaped its long multi-month blue channel.
A retest of that area would likely attract patient accumulation from institutional players and buy-and-hold professionals.
In other words, while swing traders may play the short-term range, investors are waiting with cash in hand for a bigger pullback to $147 as a more attractive entry point.
So, Nvidia a Buy or Sell?
The answer depends on your timeframe, but you must see that video above:
Swing traders: Nvidia is currently a range-bound trade. Short setups around $184–$185 and long setups near $164–$165 are the high-probability plays.
Long-term investors: The $147 level stands out as a strategic accumulation point if the stock retests its breakout zone.
For now, Nvidia remains one of the strongest AI and semiconductor plays in the market, but timing matters.
⚠️ Disclaimer: This is not financial advice. Trading and investing carry risk. Always do your own research.
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