Nvidia report coming out today

Today Nvidia is releasing it’s earnings and all eyes are on that report.NVDA and the whole AI hype have been the key ingredient to the rally in tech this year so I can’t stress the importance of this report enough.
Personally I think this is just a hype train right now, with many businesses ‘’researching / testing’’ how they can apply AI BUT this is yet to feed into material orders and I think this has been evidenced with companies like TSM (the actual manufacturers of NVDA chips) reporting lacklustre results.

I’ve read that some businesses may have front ran orders and this could bolster NVDA’s earnings but again this is just rumours.

Likely scenario

It all starts with NVDA – NVDA retail FOMO to capitulate and I see that happening on a drop of 20/30%

This should drop indexes around 10%

We then want to see retail / general market fear and for this Last week we had puts dominating and we all know what happens when the market gets a little to bearish…

So this week with NVDA + Jackson Hole we see some continued downside… Spiking put/call ratios further and allowing us to look at buying some fear once retail are flushed out of some of these overhyped AI names.

source

As you have probably read until now most of the top executives at Nvidia have been selling non stop so we are close to a big drop soon !
Right now Nvidia has a capitalisation of 1.179 trillion dollars and a revenue of 27 billion dollars for 2022 I find the capitalisation extremely high at the moment !

So can’t wait to see what is going to happen to the AI rally next

Posted Using LeoFinance Alpha