Chart of the Day: NVDA Nears $5 Trillion Market Cap

Core Viewpoint - Nvidia is experiencing a bullish trend with significant accumulation in the short term, indicating potential for further price increases as it approaches a $5 trillion valuation [2][5][6]. Short-Term Analysis - Over the last 20 days, Nvidia has formed a bullish basing pattern, showing accumulation [2]. - The 161.8% Fibonacci retracement level was recently met around $207, which may act as a support level, while profit-taking could occur at this point [3]. - If support is broken, the next Fibonacci level at 138.2% around $203 may be targeted [4]. Long-Term Performance - Nvidia has traded within a $20 range since mid-July, with a false breakout on October 10, followed by a significant price increase [5]. - The stock has gained nearly 8% over the last two days, maintaining an ascending trend line, indicating higher highs and higher lows characteristic of an uptrend [6]. - Despite the bullish breakout, there is a noted weakening in relative strength compared to the overall information technology sector, suggesting potential rotation into other tech areas [6][7].