NVIDIA Corporation (NASDAQ:NVDA) HEFFX Summary

NVIDIA Corporation (NASDAQ:NVDA) HEFFX Summary

NVIDIA Corporation (NASDAQ:NVDA) HEFFX Summary

  • Baidu and Nvidia announced a far-reaching agreement to work together on artificial intelligence today, spanning applications in cloud computing, autonomous driving, education and research, and domestic uses via consumer devices. It may be the most comprehensive partnership yet for Nvidia in its bourgeoning artificial intelligence business, and it’s likely to provide a big boost for Nvidia’s GPU business for years to come.
  • The partnership includes an agreement to use Nvidia’s Volta GPUs in Baidu Cloud, as well as adoption of Drive PX for Baidu’s efforts in bringing self-driving cars to market in partnership with multiple Chinese carmakers (you can read more about Baidu’s Apollo program for autonomous cars and its ambitions, details of which were announced this morning). Further, Baidu and Nvivia will work on optimizations for Baidu’s PaddlePaddle open source deep learning framework for Nvidia Volta, and will make it broadly accessible to researchers and academic institutions.
  • It took a few days, but Nvidia has figured out what was causing Watch Dogs 2 to crash after installing its recently released GeForce 384.76 WHQL drivers. There is now a hotfix (GeForce 384.80) available for anyone who does not feel like rolling back to a previous driver release.
  • Chipmakers such as Nvidia Corporation (NVDA), Intel Corporation (INTC), Advanced Micro Devices, Inc. (AMD) and ARM Holdings could face significant headwinds as their general-purpose processors lose market share to hardware designed for specific tasks, according to Barron’s. Google, which has developed an innovative chip called a Tensor Processing Unit (TPU), could present a notable threat to these better established chip producers. (For more, see also: AMD vs. Nvidia: Who Dominates GPUs?)

Nvidia Corporation focuses on personal computer (PC) graphics, graphics processing unit (GPU) and also on artificial intelligence (AI). The Company’s operates through two segments: GPU and Tegra Processor. The Company’s GPU product brands are aimed at specialized markets, including GeForce for gamers; Quadro for designers; Tesla and DGX for AI data scientists and big data researchers; and GRID for cloud-based visual computing users. The Company’s Tegra brand integrates an entire computer onto a single chip, and incorporates GPUs and multi-core central processing units (CPUs) to drive supercomputing for mobile gaming and entertainment devices, as well as autonomous robots, drones and cars. The Company’s processor has created platforms that address four markets: Gaming, Professional Visualization, Datacenter, and Automotive. The Company’s offerings include NVIDIA DGX AI supercomputer, the NVIDIA DRIVE AI car computing platform and the GeForce NOW cloud gaming service.

Overall, the bias in prices is: Upwards.

Short term: Prices are moving.

Intermediate term: Prices are trending.

Note: this chart shows extraordinary price action to the upside.

The projected upper bound is: 157.31.

The projected lower bound is: 130.40.

The projected closing price is: 143.85.

NVIDIA CORP closed up 3.720 at 143.050. Volume was 99% below average (consolidating) and Bollinger Bands were 15% narrower than normal.

Open           High            Low           Close           Volume
141.900      144.220      141.130      143.050      124,692

Technical Outlook
Short Term: Oversold
Intermediate Term: Bearish
Long Term: Bullish

Moving Averages: 10-period         50-period        200-period
Close:                       149.58              135.66              104.03
Volatility:                48                     66                      62
Volume:                  19,520,796      22,376,902      16,953,340

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

NVIDIA CORP is currently 37.5% above its 200-period moving average and is in an downward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of NVDA.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on NVDA.O and have had this outlook for the last 3 periods.

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 15.7710. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a buy 4 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 46.94. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 7 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -119.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 4 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 16 period(s) ago.

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John Heffernan

John Heffernan is an Analyst at HEFFX. John is a BSc in Economics with Honors from the University of Buckingham, and is a contributor on equities at Live Trading News.

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