Nvidia Corp. had a sharp decline from $26.17 (U.S.) to $11.65 in 2011 (A-B), a recovery rally to $16.90 (C) and then settled in a horizontal trading range between $11.50 and $16.50 (dashed lines).
The recent rise to $19.05 confirmed the breakout and the start of a new major up-leg. A minor pullback toward about $16.50 may occur, but only a sustained decline below the 40wMA (currently near $15.50) would be negative.
Point & Figure measurements provide targets of $19 and $22 (2.5-per-cent and 18.7-per-cent appreciation potentials from current levels). The large trading range (dashed lines) supports higher targets.
Monica Rizk is the senior technical analyst for Phases & Cycles Inc. (www.phases-cycles.com). Ron Meisels is a contributor to the www.NA-marketletter.com website and Tweets at @Ronsbriefs. They may hold shares in companies profiled. Please see the site for a glossary.