NVIDIA stock downgraded from Hold/Accumulate to Sell Candidate after Tuesday trading session

The NVIDIA stock price fell by -3.66% on the last day (Tuesday, 1st Oct 2024) from $121.44 to $117.00. During the last trading day the stock fluctuated 5.74% from a day low at $115.79 to a day high of $122.44. The price has risen in 6 of the last 10 days and is up by 1.22% over the past 2 weeks. Volume has increased on the last day by 68 million shares but on falling prices. This may be an early warning and the risk will be increased slightly over the next couple of days. In total, 292 million shares were bought and sold for approximately $34.16 billion.

On Sep 23, 2024, it was reported that Bernstein gave NVDA a "Outperform" grade with a "hold" action.

The stock lies in the middle of a very wide and falling trend in the short term and further fall within the trend is signaled.Given the current short-term trend, the stock is expected to fall -4.40% during the next 3 months and, with a 90% probability hold a price between $91.18 and $121.61 at the end of this 3-month period.

Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. The NVIDIA stock holds sell signals from both short and long-term Moving Averages giving a more negative forecast for the stock. On corrections up, there will be some resistance from the lines at $120.65 and $118.74. A break-up above any of these levels will issue buy signals. A sell signal was issued from a pivot top point on Thursday, September 26, 2024, and so far it has fallen -5.68%. Further fall is indicated until a new bottom pivot has been found. Volume rose on falling prices yesterday. This may be an early warning and the stock should be followed more closely.

On the downside, the stock finds support just below today's level from accumulated volume at $109.21 and $107.27.There is a natural risk involved when a stock is testing a support level, since if this is broken, the stock then may fall to the next support level. In this case, NVIDIA finds support just below today's level at $109.21. If this is broken, then the next support from accumulated volume will be at $107.27 and $100.45.

This stock has average movements during the day and with good trading volume, the risk is considered to be medium. During the last day, the stock moved $6.65 between high and low, or 5.74%. For the last week, the stock has had daily average volatility of 4.02%.

NVIDIA holds several negative signals and is within a very wide and falling trend, so we believe it will still perform weakly in the next couple of days or weeks. We therefore hold a negative evaluation of this stock.Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Hold/Accumulate to a Sell candidate.