Technical analysis by mukit1 about Symbol NVDAX on 12/19/2025

At the moment the price action for NVDA is looking like a contracting diagonal to the downside finishing up the final abc for leg 5. That means the October high has marked the very powerful primary degree wave 3. Primary wave 4 can take any shape between, flat, zigzag or triangle. The primary wave 2 was a very sharp and dramatic zigzag during the 2007-2009 great financial crisis. As a probability of alternation, wave 4 could be a long sideways wxy or a triangle. This initial leading diagonal could be the wave 1 or wave A leg of the correction. With some prominent figures publicly shorting the stock and competitors trying to catch up, NVDA might start to see some volatility. Wave 4s are designed to shake people out of their positions, both long and short. And we might see exactly that. It is time to stop being passive and start to watch movements very closely. Primary wave 4 can last for one year to 18 months for stock that has 26 years of price action and a wave 2 that lasted 1 year. We can even see higher highs if the corrections take a shape of an expanded correction. But one thing for sure, short-term traders will see BTC like price action that they dream of. Long term holders need to be careful. Active management is very important for the near future. Price targets will be very difficult to predict more than a couple of weeks out. For now, the diagonal should make a lower low below $169.55 and complete above $160.22 to stay a contracting diagonal. If price breaks above $188 before making the lower lor or breaks below $160, then it is not a diagonal and maybe a wxy to complete the first wave. There are many open scenarios, so until some more time passes, I will be watching the price action and maybe take a small very short-term swing trades.