Is NVIDIA stock poised for an unstoppable rise, or is a September pullback on the horizon? Our latest analysis dives deep into Q2 results, demand outstripping supply, and critical support levels. Don’t miss these crucial insights!

Despite market whispers of a potential September pullback, NVIDIA Corporation’s stock exhibits robust fundamentals suggesting a sustained upward trajectory, defying calls for profit-taking by some analysts.

The company’s second-quarter results and forward-looking guidance provide compelling reasons to remain bullish, counteracting the sentiment that a substantial stock price advance since April warrants immediate profit realization. These strong indicators underpin a resilient market position for the tech giant.

A cornerstone of NVIDIA’s impressive performance lies in the remarkable growth of its Blackwell sales, which saw a significant 17% sequential increase. This strong momentum is anticipated to persist through the upcoming quarters, solidifying the company’s dominance in the high-performance computing sector.

Current assessments of the global supply and demand landscape for graphics processing units reveal a highly favorable environment for NVIDIA and other leading GPU manufacturers. Demand continues to outstrip supply by an impressive factor of five, indicating sustained pricing power and strong order backlogs.

Following the release of its latest earnings, NVIDIA’s stock experienced mixed reactions, initially pulling back by as much as 3% in aftermarket trading. However, this dip proved temporary, with shares quickly recovering to halve their losses before the next trading day, signaling underlying market confidence.

This swift recovery highlighted the crucial support level at $175, a price point that demonstrated significant buying interest and prevented a more substantial decline. The ability of the stock to hold this critical threshold is a key technical indicator for its short-to-medium-term outlook.

Assuming the $175 support level continues to hold firm, NVIDIA’s stock is well-positioned for further advances in the coming weeks. The overall uptrend remains intact, bolstered by strong technical indicators, including a convergence in the Moving Average Convergence Divergence (MACD), which typically signals strengthening momentum and a continued upward movement in the market.