NVDA Triangle: Watch Out for the BreakoutNVIDIA CorporationBATS:NVDAArntrillion1000Since the May high at 236, every bounce has been rejected at a lower price. Sellers are stepping in earlier each time (the falling trendline). Since the April low at 164, dips have been bought at higher prices. Buyers are stepping in earlier too (the rising trendline). Price even broke below the rising line briefly in late June, but buyers took it back within the same trading day. That is a sign of the line acting as a support. Now price is caught in the middle around 207, and the space between the lines is shrinking every week. There also seems to be a resistance zone at 212.5–214, where price has been rejected three times since June. A triangle squeeze like this doesn't guarantee a big move. Triangles can fake out or fizzle. But it does set up a good risk-reward trade: whichever direction price breaks, the invalidation point is nearby, while the potential move is much larger. The two trendlines meet around the end of August, right around Nvidia's next earnings, so the breakout or breakdown from this triangle could line up with big event news. For now, the chart looks neutral. There is no clear trend. On a daily close above 214, the chart starts to look bullish, and a further break above the falling trendline would strengthen the up move. On the downside, a daily close below the rising trendline (currently around 200) would be the first warning that the triangle is failing. A daily close below the early July low near 191 would make the chart look quite bearish. I will update this idea when the break happens. Not financial advice, just my own analysis.