NVDA, INTC and AMD Forecast – Chip Stocks Look a Bit Soft in Early Action

Nvidia Technical Analysis

The early hours of Friday look a little bit indecisive for Nvidia, as we are trying to recover from a significant pullback on Friday. All things being equal, this is a market that I think will continue to see a lot of noisy behavior and more buy on the dip behavior.

You can also see that we did try to break out during the day on Friday and just failed miserably at the $195 level. That doesn’t mean that we can’t continue to go higher. What it does mean, though, is that the earnings report on Wednesday the 25th will be crucial. Ultimately, I like the idea of trying to find some type of value here, and value comes in the form of a pullback and a bounce.

Intel Technical Analysis

Intel looks like it’s going to be a little bit negative in the early hours of Friday, but ultimately, I think the $45 level should offer a bit of support right along with the 50-day EMA, which sits at the $44 level. All things being equal, short-term pullbacks I think continue to offer plenty of value in a market that has been extraordinarily strong.

AMD Technical Analysis

AMD looks like it is trying to find some type of floor, and we do have the 200-day EMA as well as the $200 level just below, so I think we’re getting close to a potential bounce.

If we break down below the 200-day EMA that would obviously be very negative and at that point in time I think you could see the market try to fill the gap from October, perhaps dropping as low as $170. Ultimately, though, I still have faith in AMD. I just think that the overall risk-off sentiment is the main culprit here, not necessarily anything to do with the company itself.