Nvidia Stocks Under Pressure: The Importance of Key Resistance Levels

Nvidia Stocks Under Bearish Pressure

Nvidia's (NASDAQ: NVDA) stock is experiencing bearish trends after falling below $140. Technical strategist Larry Tentarelli has marked crucial resistance levels that could trigger a rally if surpassed. The semiconductor giant closed at $135.16 on December 10, marking a decrease of over 2.6% for the session and nearly 7% for the week.

Key Levels to Watch for Nvidia

• Bears are pressing Nvidia as momentum fades.
• A critical weekly close above $150 could signal a rebound.
• Breaking above $152 may confirm bullish strength with an upside target of $175.

Market Sentiment Amid AI Sector Growth

Tentarelli notes broader optimism across the AI sector, driven by advancements in data centers, but cautions that Nvidia's market cap poses risks to prolonged outperformance. Recent technical analysis flags potential volatility due to current positioning.

Nvidia's Positioning Amid Regulatory Challenges

The company's stock trajectory faces hurdles due to an antitrust investigation from China. Concerns loom over Nvidia's access to its substantial market amid U.S.-China tensions affecting the AI chip sector.

As uncertainty envelops the market, keeping a close eye on critical levels and regulatory developments will be vital for Nvidia's potential recovery.