Nvidia stock surges to $158 as AI demand spikes and global deals accelerate
Beyond hardware, Nvidia is also strengthening its software ecosystem, particularly through its CUDA platform
As of July 1, Nvidia stock is trading at $157.99, up 0.2% in the last 24 hours.
This continues the company's explosive rally from its April lows, with shares gaining over 80% in less than three months.
Highlights
- Nvidia is trading at $157.99, marking over 80% gains since April, driven by strong AI demand and global GPU deals.
- Technical indicators remain bullish, though overbought signals suggest potential short-term pullbacks.
- The stock is targeting $205 by late July if momentum continues above key support levels.
Technically, Nvidia is now trading well above its 50-day and 200-day moving averages, with the 50-day line on the verge of crossing above the 200-day line, forming a golden cross. This is a highly watched bullish signal, often indicating a continuation of an uptrend. The moving averages are sharply upward-sloping, reflecting the strength and speed of the current rally. Price action has remained consistently above these levels since early May, suggesting strong institutional accumulation and trend-following behavior.
Despite these positive signs, the Relative Strength Index (RSI) currently sits above 70, indicating overbought conditions. This means that while momentum is strong, Nvidia could be vulnerable to a short-term pullback or period of consolidation. Investors should be prepared for brief corrections that allow technical indicators to reset before another leg higher. Important support levels to monitor include the $150 psychological zone, which could act as an initial floor during any retracement, and the previous resistance area around $130, which now functions as a strong support if tested.
NVDA stock price dynamics (April 2025 - June 2025). Source: TradingView
In terms of Fibonacci retracement levels drawn from the April low to the current high, the 23.6% retracement falls near $143, while the 38.2% retracement is closer to $134. These levels often act as short-term pullback zones in strong uptrends. If Nvidia remains above $150 and uses it as a launchpad, the next upside levels are $172 (March peak resistance zone) and then the projected $205 target by late July, based on pattern recognition analysis.
Market dynamics: AI demand and global expansion
From a broader market perspective, Nvidia's resurgence is closely tied to renewed interest in artificial intelligence and data center infrastructure. The company's Blackwell GPUs are reported to be sold out through 2026, reflecting immense demand from hyperscalers, enterprises, and sovereign AI initiatives. A recent deal with a Saudi-backed AI firm will see Nvidia ship hundreds of thousands of high-end GPUs to build an AI supercomputer in the Middle East. This international expansion complements Nvidia’s domestic leadership in powering AI workloads, robotics, and autonomous vehicle training platforms.
Beyond hardware, Nvidia is also strengthening its software ecosystem, particularly through its CUDA platform and AI-specific development tools. This integrated approach creates a high barrier to entry for competitors and deepens customer reliance on Nvidia's infrastructure. In addition, strategic investments in AI model training partnerships and cloud-based inference services position Nvidia not just as a chip provider, but as a foundational layer of the global AI stack. This broad vertical integration amplifies the company’s pricing power and long-term revenue visibility, reinforcing bullish sentiment among institutional investors.
Outlook: trend continuation to $205
Furthermore, the Nasdaq Composite and other tech-heavy indices have recovered strongly in Q2, lending support to Nvidia’s rally. Despite prior fears of overvaluation and tighter U.S. export controls impacting Nvidia’s sales to China, the company has managed to shift focus and strengthen demand across non-restricted regions. Strategic execution, partnerships, and a diversified AI ecosystem give Nvidia significant leverage moving forward.
Given the current technical setup and favorable macro conditions, Nvidia stock appears positioned to test the $172 resistance level in the coming weeks, with a likely upside extension to $205 by the end of July. The uptrend remains intact, and unless the stock breaks below $130, the outlook remains bullish. Investors should monitor key levels and remain mindful of short-term volatility, especially given the overbought technical readings.
Nvidia has reached a market cap of $3.8 trillion, overtaking Microsoft as the most valuable publicly traded company. This growth underscores its dominant role in AI chip manufacturing, with its GPUs central to global AI infrastructure and innovation.
