NVDA, AMD and INTC Forecast – Chips Showing Recovery While Waiting on Friday

NVDA Technical Analysis

Nvidia looks like a stock that has found a bit of a bottom there on Tuesday at the $170 level, which makes sense. It’s been supported multiple times. And on Thursday, of course, it was not trading. It was Thanksgiving in the United States. Ultimately, I think we are in the midst of trying to form a bottoming pattern. Short-term pullbacks, I do believe, offer buying opportunities. And this is a market that I would never really consider shorting, at least not in this current environment. I think we are trying to, much like the larger market, form some type of consolidation area with a slightly bullish presence as we head into the holidays. So, I’m a buyer on dips. I think Nvidia will eventually test $200 again.

AMD Technical Analysis

Advanced Micro Devices, or AMD, looks very much the same, as $200 is its current floor. We are hanging around the 50-day EMA, so maybe we get a little bit of a squeeze here, but I still think you have an opportunity on dips to pick up value. If we do break down, the 200-day EMA is just above the $170 level, which is basically where the gap is from a couple of months ago. So, watch that. But I also recognize that in general, this whole sector moves together. And this looks to me like a sector that is trying to rally. $260 could be your destination eventually, although we’ll have to wait and see whether or not we have that kind of momentum. Pay attention to $233. The candlestick from the 20th, pretty ugly, so getting above there would be a huge victory for AMD.

INTC Technical Analysis

Intel looks like it is trying to find its way back to the upside, but we, of course, have to worry about the holiday in the short term. Longer term, it probably rises along with everybody else, but Intel has a much harder fight. Intel was in the dumps for ages and has since just about doubled, so there’s a lot more to prove here.

I think this remains a buy on the dip opportunity, but as far as chips are concerned, this is definitely the odd man out. I would be a buyer of one of the other two stocks before this one, but there might be an opportunity here. I’d pay close attention to the $30 level if we do break down, especially as the 200-day EMA is approaching that level. Right now, this looks like a market that probably needs to pull back in order to offer enough value to really get aggressive, but I’m not looking to short it. I do think there is demand out there.

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