Historical tests on the S&P 500 stocks show that a stock has a 2/3 chance of closing higher when its 50-day moving average is in an uptrend. The reverse is also true that a stock is 2/3 likely to close lower each day its 50-day is trending lower.

Continued Ives, “We could go back to quarters where the stock sells off, bears come out of hibernation mode, stock goes to $100, then all of a sudden, two months later, back up to all-time highs. These knee-jerk reactions, it’s easy to get scared by them because they don’t say anything about near-term demand.”

Is the stock a buy? Nvidia is benefiting from two massive trends right now. One is the transition from general-purpose computing to accelerated computing, which is driving strong