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Nvidia released earnings. They had great results for the quarter. But the stock is down today, and so are the broad markets.
Here’s the details across Nvidia, E-mini S&P 500 futures, Nasdaq futures, and Dow futures.
🔍 Highlights
1️⃣ NVDA — NVIDIA
The stock is lower after yesterday’s earnings release, but I think this still could be a buying opportunity. I am not kind of freaked out by this move.
There is a range of support within the consolidation, most recently from the February 17 low. If this stabilizes in the next day or two and respects 183.17 — the middle of that range — I think that might be a good place for Nvidia to possibly turn higher. But I would wait to see if it gets there.
We have still been in a broader range for a while. We have not really cleared that 195 area. We tested it, but didn’t post a closing daily break. So it’s still a little bit TBD with Nvidia. That said, I still think it’s positioned to overall go higher over the next few weeks, depending on what happens in the next couple days.
2️⃣ ESH26 — E-mini S&P 500 Futures
I’ve had these two trendlines on my charts — and therefore in my own Skinny on the Mini®, now my ES Futures Outlook, a brand new streamlined research service that’s just $37 per month — for ages, and they’ve been super helpful to guide the action. Yesterday I talked about the potential for upside, and if that unfolded, the target was the falling trendline. That’s exactly what it did into about 4:00 PM, extending beyond into 5:00 PM.
Today I thought it would continue higher. It didn’t. It ripped lower because of the weight of Nvidia, which is about 7% of the S&P 500.
On the 60-minute chart, yes, it’s looking ugly. I wouldn’t stick my hand out and buy. However, there is a platform of support around 6830, and another one around 6790. In between those levels is the (orange) rising trendline that connects the February 6 and February 17 lows and was confirmed on February 24. We rejected the falling trendline (black) — now we’re coming into potential rising support. That’s what I’m watching.
3️⃣ NQH26 — Nasdaq Futures
The Nasdaq is a little bit more range bound. It’s beneath the February 11 high on a closed basis. It tested it yesterday but didn’t push above.
There’s also an orange trendline here, but this one didn’t have a third touch, so it’s technically a tentative trendline. A tentative trendline means there are two points but not a third confirmation yet. A confirmed trendline would have at least three points of action.
There’s still room for this to pull down lower toward that trendline. On the 60-minute timeframe, there’s a platform of support around 24,670. I don’t know if it’ll pull all the way down there, but if it does, that is definitely an area of support to watch.
4️⃣ YMH26 — Dow Futures
Dow futures most recently recovered off the February 24 low and came back into the range from February 18, and now they’re looking to push down again. I don’t think they’re going to fall as hard as the S&P and Nasdaq have, but I still think there’s room in the short term for a little bit more weakness potentially.
If we examine the most recent push higher, the 50% retracement is already in play, and the 75% retracement comes in around 4900. So if this weakness continues, that would be the area I’d watch for support.
That’s my look at Nvidia — plus these three major index futures.
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