[Analysis] Nvidia, should you buy this retrace ?

4 Okt 2021

In Nimbus Capital, our entry strategy consist of a 3 point analysis.

1) Trend; Is the trend in direction of our trade? Is it an uptrend or downtrend now?
2) Chart Structure; Is the price at support? Or is it breaking out?
3) Candle; Does the candle shows bullishness such as a hammer or engulfing?

In the cause of Nvidia

1) Trend; The main trend is up
2) Chart structure; Price is currently at previously known resistance
3) Candle; The latest candle seems to be resembling a Hammer candle

We have to also note that the price is very close to the previous consolidation area.
The consolidation area represents a price level in which a Bull/Bear battle took place, and in this case, the bull has won.

Hence if this area was to be breached, the price goes below 180, then it is a sign that Bears have retaken this level.

As long as the price remains above this level, Nvidia is a good buy!