Once it adjusted and all of the speculative traders jumped ship, Nvidia found itself spending most of the day battling at our .236 fib level, which is now $185 approximately. For now it has found itself above this level after bouncing beautifully off of the floor of the fib extension at around $178.
As always, I am waiting patient for a full body candle close above our .236 fib level on the 4 hour.
Keep an eye on the open tomorrow, as this asset is still most likely trying to regain its footing after what has been a very volatile past 2 weeks.
It is in my opinion that as long as we hold where we are currently, entries for a long is fair game. HOWEVER, beware that if you open below this level tomorrow, or confirm a 4 hour candle close below this level, all bets are off and you would be wise to keep patient and allow the price action to play out as risk below the .236 becomes difficult to size up.
If you are long, make sure you have either stops or at the very least price alerts set up for $185 incase it breaks.
Considering the wicks we had today both to the upside and downside on the 4 hour chart, things are very indecisive at the moment so I am ok with simply continuing to monitor.
Also, if this level does break down and confirm, a retest of $178 would be in store. From a trader perspective, if there is a retest it will be important that it bounces and does not come back to it again anytime soon. Too many retests of $178 would put this fib retracement at risk of being violated.
On the flipside, respect and support of the current fib near $185 (.236 fib) could be the buy opportunity patient traders have been waiting for.
Below you will find my price levels after the stock split I am looking at. This was found using the same method as in the pre-stock split idea.
The same buy ladder from that idea can be applied here as well. The beauty of this is that the buy ladder works better on the way up than it does when price is falling down.
PLZ USE ALERTS AND OR STOP LOSSES