The stock price of semiconductor giant Nvidia (NASDAQ: NVDA) has extended its recovery, reclaiming the $130 mark as investors anticipate further gains ahead of the upcoming earnings report.
Notably, at the close of markets on August 19, NVDA ended the day trading at $130, gaining over 4% within 24 hours. On the weekly chart, the stock rallied by an impressive 15%, rebounding from a recent correction that saw it drop below $110.
Nvidia’s path to $150
In this context, stock trading expert Peter DiCarlo has suggested that Nvidia will likely see more highs and could target the coveted $150 mark.
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Through an X post on August 20, DiCarlo noted that Nvidia traders’ went crazy’ with gains, indicating that the stock might be poised for a new high in the coming weeks.
“NVDA buyers went crazy today! Last time we saw this setup, $NVDA rallied +49% in 49 days. Is this the sign we will see $150 by September?” he paused.
DiCarlo’s analysis parallels the current market conditions and a similar setup from May when Nvidia rallied 49% in 49 days. According to him, the same bullish indicators are in play now, suggesting that the stock could be on track for another explosive move.
In a detailed analysis, DiCarlo pointed out that Nvidia’s price action currently trades above the weekly market bias, a vital indicator of a bullish trend. This market bias, which DiCarlo refers to as a “green tape-like indicator,” guides traders to align their positions with the prevailing market trend.
One of the most compelling aspects of DiCarlo’s analysis is the Fibonacci retracement levels, specifically the 0.618 to 0.786 golden pocket range. This range is where institutional buyers typically step in, and Nvidia’s recent bounce from this support level suggests strong accumulation by big money.
Nvidia stock price prediction for September
The expert highlighted that Nvidia has already surged 44% from its recent lows in just three weeks, which he believes is just the beginning. He emphasized the importance of sticking to the plan even when market sentiment is overwhelmingly negative, noting that these moments of fear often present the best buying opportunities.
DiCarlo sees a strong possibility of Nvidia reaching $150 by September, especially if the current bullish momentum continues. He pointed to the BX trend indicator, which tracks price expansions and contractions. The BX trend shows signs of massive expansion, signaling that further gains could be on the horizon.
“We have a massive fundamental reason as to why Nvidia is ripping and why NVDA will probably continue to run.<…> So if we close again this week with a higher low on the BX trend, that is our clear indication that we’re going to see this push back up to the $150 target and maybe even highs of $170,” he said.
Potential NVDA pullbacks
However, DiCarlo also cautioned traders to be mindful of potential pullbacks. While the trend is bullish, he is not yet ready to take a long position or buy call options. DiCarlo is waiting to see if Nvidia pulls back into the daily market bias before earnings, which would present a more favorable risk-reward setup.
Beyond the technical analysis, DiCarlo acknowledged the strong fundamental drivers behind Nvidia’s recent rally. The company’s dominance in the artificial intelligence (AI) and semiconductor markets and robust earnings growth have been a significant tailwind for the stock.
Overall, Nvidia’s potential to reach $150 by September largely hinges on the upcoming earnings report, where the company is projected to beat analysts’ estimates.
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