NVDA, ARM and AVGO Forecast – Semiconductors Look to Continue Rally

NVDA Technical Analysis

NVIDIA looks like it is going to pull back a bit in the early hours, but quite frankly, that’s not a huge surprise considering we shot straight up in the air during the trading session on Wednesday. That being said, I still think this is a market that is in the midst of trying to build up enough pressure to finally break out.

After all, and this is the theme throughout this video, President Trump and tech leaders have announced a $500 billion technology spend in the United States for artificial intelligence. So, most semiconductor companies did really well during the Wednesday session and Nvidia of course won’t be any different. This is a buy on the pullback type of situation.

ARM Technical Analysis

ARM was launched during the previous session. It looks like it’s going to give back some of that 15% gain, but quite frankly, it should. That’s a massive move in one shot. A pullback at this point in time could very well find a lot of support near the $160 level and that of course assumes that we get there.

I think at this point in time, this is very much a buy on the dip type of scenario as well. Although I would wait for a little bit of a bounce in order to get long, because this could continue to fall quite a bit in the short term, but by the end of the day, or perhaps the end of Monday, somewhere in that time range, I would imagine that buyers come back in.

AVGO Technical Analysis

Broadcom looks like it’s going to pull back just a bit during the trading session as well. But this is consolidation if I’ve ever seen it. At this point, the market is just trying to find enough momentum to continue carrying on to the upside with the $250 level above offering a bit of a ceiling and the $220 level underneath offering a support level.

All things being equal, this is a market that I do believe is building up for a bigger move, but we have yet to fill this massive gap underneath. So I’m a little cautious with that, but I still think overall, you’re still looking at a buy on the dip scenario in Broadcom, just as you are most of the semiconductors.