NVIDIA CORP. (NVDA)

Nvidia Corp (NVDA) has posted an impressive 183% YTD return, significantly outperforming the iShares S&P 100 ETF (OEF) return of 28.5% and the Invesco NASDAQ Trust (QQQ) return of 22.6%. Despite its strong relative strength, Nvidia remains one of the few “lone wolves” in a semiconductor sector that is exhibiting low relative strength, with short-term weakness spreading all around it. While Nvidia still maintains a perfect SMAX score, the sector’s overall risk profile is weakening, with resistance around $150 and downside risk, with initial support at $130 and further below. In light of these high-risk conditions, elite advisors may need to take action to manage and mitigate potential risks.

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