Nvidia stock price eased down in Thursday’a pre-market session, disrupting its three-day winning streak. The company is seen as a central figure in Stargate, a mega AI infrastructure development project bringing together OpenAI, Oracle and SoftBank. The stock traded at $144 at the time of writing.
Stargate Project Adds Icing to Nvidia Stock Price Momentum
The Stargate project is a $500 billion AI infrastructure development project floated by US President Donald Trump’s administration. It is geared towards developing multiple data centres that will leverage AI to transform key facets of everyday life ranging from healthcare to security. The project aims to marshall $500 billion in the next four years and create tens of thousands of jobs.
Nvidia stock price spiked up on the heels of Stargate announcement, thanks to its position as the market leader in high performance AI chips. The project is good news for Nvidia, which is already battling to meet the strong demand for its products. The company currently has a strong order book with its customer list including tech giants like Microsoft, Meta, Alphabet and Amazon.
Nvidia stock price is up by 8% year-to-date and has gained 10% in the last five sessions. That denotes a strong upward momentum that will support further gains by NVDA.
Nvidia Stock Price Prediction
The momentum on Nvidia stock price favours the buyers to extend their control if action stays above $143.50 pivot. Immediate resistance is likely to come at $145.30 However, a stronger momentum will break above that level and potentially test the second barrier at $146.80
On the other hand, the momentum will shift to the downside if the price breaks below $143.50. If that happens, NVDA is likely to move to the first support at $142.10 However, a stronger momentum will break below that level and invalidate the upside narrative. Also, it could extend the downside and test the second support at $140.90.
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