Nasdaq 100: Nvidia at Technical Crossroads – Inventory Market Awaits Key Sign…

If Nvidia clears $137.80 with robust quantity, the subsequent upside goal could possibly be the latest excessive of $153.13. On the draw back, failure to interrupt via might convey the 200-day transferring common at $124.04 again into focus.

Ought to Merchants Purchase Earlier than Earnings?

Evercore ISI analyst Mark Lipacis is bullish on Nvidia forward of its Feb. 26 earnings report. He expects a robust efficiency, citing continued demand outpacing provide for Nvidia’s high-end chips. Considerations surrounding the corporate’s next-generation Blackwell chip have weighed on the inventory, however Lipacis believes these worries are overblown.

He argues that even when the B100 chip faces delays, prospects will proceed shopping for the present H100 fashions, mitigating any income impression. His “tactical outperform” name suggests he anticipates a positive earnings-driven transfer.

AI Competitors and Market Sentiment

Nvidia has confronted latest skepticism as a consequence of advances in synthetic intelligence, particularly issues that companies might develop cheaper options to its GPUs. Reviews surrounding DeepSeek, a Chinese language AI software program agency, advised that AI fashions might change into extra cost-efficient, elevating questions on future GPU demand.

Nevertheless, Lipacis stays assured that Nvidia’s ecosystem is just too superior for rivals to displace it within the close to time period. He argues that hyperscale cloud suppliers nonetheless favor Nvidia’s platform as a consequence of its strong software program ecosystem and growth instruments, estimating the corporate stays 5-10 years forward of potential rivals.

What’s Subsequent for Nvidia?

With earnings approaching, Nvidia’s worth motion on the 50-day transferring common will probably be a key indicator of market sentiment. A clear breakout might appeal to momentum patrons and arrange a retest of $153.13, whereas a failure might convey renewed stress towards $124.04.