NVDA, AMD and INTC Forecast – Chips Look a Bit Soft in Early Wednesday Trading After Strong Tuesday

NVDA Technical Analysis

Nvidia looks like it’s going to drift a little lower during the pre-market on Wednesday, which does make a certain amount of sense considering that shot straight up in the air on Tuesday. On Tuesday, of course, it was announced that Nvidia can sell certain AI chips to China. So that opens up yet another market for this behemoth.

At this point in time, the gap would be filled if we dropped to the $165 level, which is exactly where I would love to get involved in Nvidia. Whether or not we get that deep of a pullback remains to be seen, but certainly this is a buy on the dip type of market.

AMD Technical Analysis

AMD is likely to try to fill the gap that it had on Tuesday as well, which could send this market down to the $147 level or so. But even if it doesn’t completely fill the gap, it pulls back and then bounces, this is another stock I’d like to be part of. After all, we broke a major trend line back in early May and just shot straight up in the air. We’ve recently had the so-called golden cross, when the 50 day EMA breaks above the 200 day EMA, meaning that longer term traders are now looking at this as an uptrend as well. I buy dips in this market.

INTC Technical Analysis

Over here at Intel, it looks like we’re going to drop fairly significantly at the open, but that’s not a huge surprise. Intel is still range bound. It is still a big laggard by far when it comes to this microchip sector. So, we’ll have to wait and see. We are hanging around the 200 day EMA, so it’ll be interesting to see if we can hang on to that as well.

The 50 day EMA is $21.77, so that might be an area where you look to buy a bounce. But right now, we are essentially stuck between $18 on the bottom and somewhere around $26 at the top. This is a market that’s great for range bound trading. But beyond that, unless you’re willing to build a position and hang on to it for a longer term move, and you’re willing to wait a very long time, it remains range bound trading.

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