On Friday, Nvidia (NVDA) experienced a significant drop in stock prices, falling below its 50-day average as the overall market also declined. This marked a 22% decline from its peak in March.
Nvidia’s shares dropped by 10% to 761 in afternoon trading, joining Super Micro Computer (SMCI) stock in leading the market downturn. Both stocks showed sell signals in Friday’s trading.
As a key player in the artificial intelligence industry and the top AI chip manufacturer, Nvidia has been closely watched by investors. On Friday, its stock dropped 10% below its 10-week moving average, indicating a clear sell signal to either partially lock in profits or completely exit a position with minimal gains. The stock traded as low as 298.06 at the end of May 23 after reaching a high of 974 on March 8 this year, which was its last buy point before its decline starting on March 26.
