We Told You NVIDIA Was Headed Lower!
We called the NVIDIA downtrend early, and we think this is just the beginning.
On January 9, we told you this about NVIDIA (Nasdaq: NVDA):
As a basic definition, a “Bearish Engulfing Pattern” is a technical chart pattern that consists of a small white candlestick with short shadows (or tails) followed by a large black or red candlestick that eclipses or ‘engulfs’ the small white one. This formation signals that the bears have control of a security – and it gives you an early indication of a peak or slowdown in its advancement. For now, it’s clear that the bears are still in control of the short-term direction, which remains lower.
Fast-forward to today…
NVIDIA shares are plunging after warnings that the company will miss revenue expectations by a wide margin because of “deteriorating macroeconomic conditions, particularly in China.”
The company lowered its Q4 outlook to $2.2 billion from $2.7 billion – and the shares are getting hammered, down by nearly $26 at one point. This down move represents NVIDIA’s single worst day in the past decade.
While the stock’s drop comes as a major shock to most traders, it was something that Monument Traders Alliance subscribers were tipped off to three weeks ago. Yes, this was known ahead of time – but only to those who knew could see the warning signs.
If nothing else, today’s NVIDIA move makes it crystal clear that it pays to be part of our elite trading group.