Nvidia: Declining Option Volume Hints at Waning Momentum

S&P 500 News

Nvidia: Declining Option Volume Hints at Waning Momentum
NVIDIA CorporationS&P 500 FuturesNasdaq 100 Futures
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Stocks Analysis by Michael Kramer covering: S&P 500, NVIDIA Corporation, S&P 500 Futures, Nasdaq 100 Futures. Read Michael Kramer's latest article on Investing.com

yesterday was notably low. For the day, roughly 830,000 contracts were traded, compared to the 808k contracts traded on the 1/2 day of July 3.

Additionally, the S&P 500 futures managed to push through the upper boundary of the rising wedge pattern. The key difference is that while the NASDAQ futures hit the upper trend line of the wedge, they failed to break through. Instead, they stopped right at the trend line, indicating potential resistance at that level.​), which managed to reach a new closing high yesterday. However, it still needs to surpass its prior intraday high from mid-July.

This decline in volume may suggest that the stock isn’t as appealing at its current price levels as it was a week or two ago.The stock price climbed to around $139.60 early in the session, but it stalled at that level, which had previously served as resistance in July.​Additionally, bond markets will be open, so I expect trading volumes to pick up as we head into a busy week ahead.

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