Nvidia Surges to New High as AI-Related ETFs Break Out
Nvidia's stock price has reached an all-time high of $237.88 on October 2, with a nearly 14% increase since September 14. This surge in value has caught the attention of crypto analyst Ali, who is tracking two exchange-traded funds (ETFs) for signs of renewed interest in artificial intelligence.
Ali is monitoring the Direxion Daily Semiconductor Bull 3X ETF (SOXL), which aims to deliver three times the daily performance of a semiconductor index. The analyst believes that if the ETF breaks above its current channel pattern, it could reach $210, with $150 serving as support. If this level holds, it could indicate a continued upward trend.
Ali is also keeping an eye on the Roundhill Memory ETF (DRAM), which invests mainly in memory chip companies worldwide. The analyst notes that the ETF is forming an ascending triangle, a chart pattern with a rising lower boundary beneath resistance. If the ETF closes above $64 on an hourly chart, it could confirm a breakout, with a target of $80 and a potential 25% upside.
Ali also mentioned that Nvidia is testing resistance at the upper edge of a price channel, with a possible target of $260. However, the analyst will be watching to see if the ETF patterns provide further confirmation of continued AI-related market interest.