NVDA closes lower for the 2nd day in a row
NVIDIA Corporation (NVDA) Technical Analysis Report for Sep 13, 2019 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, NVDA ended the week 1.84% higher at 181.94 after losing $2.33 (-1.26%) today, underperforming the Nasdaq 100 (-0.31%). Trading up to $1.41 lower after the open, NVIDIA managed to reverse during the session as bulls took control ending the day above its opening price. The last time this happened on August 28th, NVDA gained 3.59% on the following trading day. Ending the day with an indecisive close, neither buyers nor sellers were able to gain control during the session.
Daily Candlestick Chart (NVDA as at Sep 13, 2019):
Friday's trading range has been $2.90 (1.6%), that's below the last trading month's daily average range of $4.52. Weekly volatility is also lower, being way below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for NVDA.
One bullish candlestick pattern matches today's price action, the Bullish Spinning Top.
Though still in a long-term downtrend, the short and medium-term trends both turned bullish already.
Selling could speed up should prices move below the close-by swing low at 178.79 where further sell stops might get activated.
Among the five market conditions that our pattern recognition engine identified today, the statistics for the Price Action based market condition "Gap Down" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for NVIDIA. Out of 83 times, NVDA closed higher 51.81% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 61.45% with an average market move of 3.10%.