Watch these Nvidia price levels as the stock slides further into correction territory

Shares of Nvidia (NVDA) fell for a fourth straight session on Tuesday, prompting a technical correction as the stock is 15% below last month’s record high.

As analysts remain optimistic about the company’s 2025 prospects, investors may want further confirmation that the chipmaker can sell significant quantities of its new Blackwell chips after the reported discovery of overheating problems last month sparked concerns about production delays had.

Despite the recent slump, the stock is still up about 160% year-to-date, easily outpacing the S&P 500’s return of 27% over that period, as demand for the company’s AI silicon booms.

The stock fell 1.2% to close Tuesday’s session at $130.39.

Below, we take a closer look at the AI ​​chip maker’s chart and use technical analysis to identify key price levels to watch.

Breakdown of the 50-day moving average

After hitting a record high in November, Nvidia stock traded mostly sideways before falling below the 50-day moving average (MA) late last week, potentially laying the groundwork for further consolidation.

While stock volume is below the longer-term average, it has increased slightly in recent trading sessions, indicating an increase in selling activity. Furthermore, the relative strength index (RSI) has slipped below 50, confirming the weakening price momentum.

Let’s look at the Nvidia chart to identify several key support and resistance levels that investors may be pursuing.

Key support levels to keep an eye on

If there is further selling, investors should initially keep an eye on the $115 mark. Nvidia bulls could take the lead in this area near the 200-day MA, which also closely aligns with a number of comparable price moves on the chart between May and October.

A break below this key technical area could see the stock hit back to lower support around $102, a point on the chart where investors are looking for entry points near the low of a late May breakout gap and striking lows could be looking for that formed in August and September.

Interestingly, this area also roughly corresponds to a forecast bar pattern that takes the stock’s June-August correction and overlays it from November’s all-time high (ATH).

Important resistance levels to monitor

If the stock regains its uptrend, it will be worth watching how it reacts to the $140 level. Stocks could face resistance in this area near a horizontal line that connects the June swing high with a series of similar price points between October and December.

Eventually, further buying could trigger an uptrend to around $150, an area on the chart where investors could decide to lock in profits near a group of candlesticks just below the stock’s record high reached late last month.

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At the time of writing, the author does not own any of the securities mentioned above.