Key Insights:
- NVIDIA (NVDA) stock price is down 13% this month, but analysts’ outlook stays positive.
- Jensen Huang’s comments explain why long-term confidence remains strong.
- Key levels show where the NVIDIA stock can rebound or weaken next.
NVIDIA (NVDA) stock price has dropped about 13% in one month. This is a clear drop after a very strong year for the company.
Even so, long-term confidence has not fully changed. Some of that comes from new comments made by Jensen Huang, the CEO and co-founder of NVIDIA, during a long interview with Joe Rogan.
Right now, the big question for NVDA is simple. Is this only a short phase for the stock price, or is a deeper correction coming before the next cycle starts?
NVIDIA (NVDA) Stock Price Shows Short-Term Weakness
In the short term, the NVIDIA (NVDA) stock price is still inside a rising wedge. A rising wedge is a chart pattern where the price climbs inside two lines that slowly move closer together.
When the lower line breaks, the move usually turns bearish. This is why traders stay cautious.
Last week, the price touched the lower line and bounced. This means buyers defended the support for now.
But a simple bounce alone is not enough. To get back to stronger ways, the NVIDIA (NVDA) stock price must move above $187, and then $196.
These two levels caused trouble earlier, so breaking them shows buyers are getting more active.
If the price falls under $169, the next major support sits near $164. A clean drop under $164 would confirm that the wedge has broken down. Some outside pressure also affects the stock.
Amazon announced a cheaper in-house AI chip, which could reduce how much cloud companies need NVIDIA. That kind of competition could be bearish for the price, in the short-term at least.
Apple is also close to passing NVIDIA in market value. When rivals grow faster during the same month, it increases worry around NVIDIA’s short-term trend.
Even with all this, Wall Street still believes in the long-term story. Out of 41 recent analyst calls, 39 are “Buy.”
The average target is near $258, which means more than 40% upside from today’s price. This shows many analysts see the current price correction as normal after a long rally.
What Jensen Huang Said and Why It Still Matters?
Jensen Huang’s interview became important because it gave investors a reminder of how NVIDIA works internally and why many trust the company beyond short-term price moves.
He explained that he makes decisions through first-principles thinking. In simple words, this means he breaks problems into basic facts and asks “Why?” again and again. He said he keeps checking if old ideas are still correct, even when things seem fine.
He also said:
For beginners, this does not mean NVIDIA is actually close to closing. This is his way of saying the company must stay alert all the time. It shows he never becomes relaxed or overconfident.
For investors, this mindset explains why NVIDIA keeps improving and why the company usually recovers well after weak phases. The monthly price dip, for that matter.
Huang also talked about what many call “NVIDIA Law.”
He said NVIDIA’s chips grow in power much faster than normal computer progress. Instead of small improvements every few years, their GPUs and AI chips jump ahead much faster. This helps explain why analysts still expect long-term gains even though the NVIDIA (NVDA) stock price is soft right now.
Together, these comments show why investors still trust the long-term cycle: A leader who pushes the company hard, a strong plan for AI, and products that keep improving faster than rivals.
The NVIDIA (NVDA) stock price now sits in the middle of two clear paths. If it holds $169 and then moves back above $187 and $196, the stock can try to start its next cycle. But if the price breaks $169 and then $164, the downtrend gets stronger, and sellers may take control for a while.
