Yesterday, Nvidia’s (NVDA) share price rose by more than 4%, with the following developments:
→ It surpassed the psychological level of $170 per share;
→ Reached another all-time high;
→ Gained more than 9% since the beginning of the month.

The bullish sentiment is driven by Nvidia CEO Jensen Huang’s visit to China shortly after meeting with US President Trump. At the same time:

→ US Secretary of Commerce Howard Lutnick stated that the planned resumption of sales of Nvidia H20 AI chips in China is part of the US negotiations on rare earth metals.
→ The head of Nvidia stated that he was assured licences would be granted very quickly, and that a large number of orders for H20 chip deliveries had already been received from Chinese companies.

Market participants are viewing the situation with strong optimism, and analysts are raising their valuations for NVDA shares:
→ Morningstar analysts raised their fair value estimate for Nvidia shares from $140 to $170.
→ Oppenheimer analysts increased their target price from $170 to $200.

Technical Analysis of the NVDA Chart

The price trajectory of NVDA shares fully reflects the exceptionally strong demand:
→ The price is moving within an ascending channel with a steep growth angle;
→ Since early May, the RSI indicator on the 4-hour chart has not fallen below the 50 level;
→ Yesterday’s trading session opened with a large bullish gap.

The chart also shows the formation of a stable bullish market structure (shown with a purple broken line), expressed through a sequence of higher highs and higher lows.

Given the above, it is difficult to imagine what might cause a sharp shift from positive to negative sentiment. If a correction begins (for example, with a test of the $160 level), traders should watch for signs of its completion — this could present an opportunity to join the emerging rally.

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