NVDA ShortThe broader market structure on NVDA remains bearish, with price putting in lower highs since failing to hold above $180.27. The recent Change of Character (CHoCH) around $164.08 marked a significant shift to bullish momentum, but the market failed to create a clean higher high above $180, leaving the larger bearish structure intact. This failure to break structure to the upside suggests we may be seeing distribution forming at the current levels.
Supply is sitting just above current price in the $178–179 range, where price previously rejected sharply and formed a consolidation top. This is a strong supply zone since sellers stepped in aggressively the last time price was here. Below, there is a well-defined demand zone between $167–164, where buyers stepped in with strength and caused a sharp rally. However, the rally lost steam as it approached supply, which indicates that demand may not be strong enough to absorb another large selloff.
Price action in the marked region is consolidating just below supply, showing choppy, sideways behavior. This is often a sign of absorption before a potential breakdown. If price rejects this supply zone and breaks below intraday support, we could see a move down toward $168, and possibly deeper into the lower demand zone.
The current trade bias is bearish, with an expectation of continuation to the downside after supply rejection. A sustained move and close above $180.50 would invalidate this view and signal potential continuation higher. Momentum is favoring sellers, as price has struggled to break above resistance despite multiple attempts, and wicks on the top side indicate rejection.
