Stock of the Day: Where is the Bottom for NVIDIA?

Trading in Nvidia Corp. NVDA is quiet on Tuesday. Shares have lost more than 10% in just two weeks. They are getting close to support. This could put a floor under the price. This is why NVIDIA is the Stock of the Day.

As you can see on the chart below, the $210 level has been important for NVIDIA. It was resistance in both June and July.

People who bought shares around $210 in June regretted it when the price dropped. Some vowed to exit at breakeven if they could.

When the shares rallied back to $210 in July, they placed sell orders. These orders created resistance.

The $210 level became support in August. This was the result of sellers who regretted their decision.

Some of the people who sold around $210 regretted it when the resistance broke and price moved higher. Some decided to buy their shares back if they could do so at their selling price.

When NVIDIA fell back to $210 in August, they placed buy orders. These orders formed support.

When the stock rallied, many people who sold around $210 decided that was a mistake. They also decided to repurchase their shares at their selling price if possible.

When NVIDIA dropped back to $210 in September, they placed buy orders. These orders created support

If shares reach $210 again, something similar may happen. People who sold in September may try to buy their shares back. This could be where the selloff ends.

NVIDIA may even reverse and rally, as it did the last two times it reached this key level.