NVDA, AMD, and INTC chip stocks are displaying fascinating even divergent momentum in the present market. Nvidia shares have been on an unbelievable streak since April, and more than doubled in value. It now obviously stands overextended, and has less wiggle room to run radically upward in the short run. Nevertheless, instead of sale-offs, it appears to be optimal to consider dips as possible buying opportunities.
AMD does seem to have a little extra time to maintain momentum than Nvidia. It is also stretched out a bit like Nvidia, though it appears to retain its gains more. The price structure of AMD is closely following Nvidia since both belong to the boom in artificial intelligence. There is enough to go on a theory that one would buy the dips around the $160 territory. It has a bit stronger sustainability, which makes AMD a bit more reliable as the AI trend is still generating interest and investments.
Intel is a different example. It has been trading within a prolonged price range around the company of say approximately 19.50 and 25. The shares are close to the lower end of this spectrum and they appear ready to go up a mark in the near future. The latest earnings call was not positive and this has dented morale. The issue is whether Intel will be able to win back the affection of Wall Street and land on a new driver to make it go beyond this range. Recent volume and stability characteristics on the stock suggest those situations are taking place but can be hampered due to a lack of clarity.
All in all, the AI theme would ensure Nvidia and AMD remain favorites with what would be an opportunity to buy dips as the growth sustains. Intel is able to require a longer time and a favorable catalyst to go outside its range and participate in the rally. Seeking value in such chip stock is value seeking near a support area based on risk and reward balance.
