was asked to take a look at NVDA.
what an amazing parabolic run and that’s what scares me right now … parabolic explosions do not end well so I expect now to very soon a very violent and CORRECTIVE move … however, I’ll watch this stock to find, hopefully, a pattern to BUY because this entire moves feels like a 3rd wave so another leg up is coming but for now … watch for weekly/monthly signal reversal candles to get defensive.
also, note the ‘extreme’ reading on the RSI. there is no bearish divergence, yet. so, it certainly appears that it needs/wants to correct from current levels to ‘set-up’ the bearish divergence play when it gets to new highs. but, again, this correction starting/coming is from a parabolic move so don’t get spooked if it’s violent and much more deeper than anticipated – it’s just working off the parabolic energy that blew it out.
the monthly signal reversal candle level is roughly 85, still a ways away. for now, that corresponds to the ‘top’ of the log trend line is broke out above earlier this month.
hope this helps …
B
