Nvidia stock opened the week with a sharp gap lower to hit a 30-month low, ending Monday’s session in the red and slightly below the 61.8% Fibonacci retracement of the 2020 uptrend at 141.15.

The price is currently positioned around the May 2021 support area of 134.55, and while oversold signals are strengthening as the RSI is flirting with the 30 level and the stochastics are clearly below 20, a close below that base could prompt a continuation towards the 122.32 – 115.65 zone, which has been a more important floor during the 2020-2021 period. If the sell-off further stretches from here, the bearish wave could exacerbate towards the channel’s lower band seen around the 100 psychological mark.

Alternatively, a return above the 61.8% Fibonacci of 141.15 may retest the 155.15 handle before challenging the 20- and 50-day simple moving averages (SMAs), which are both converging to 168.95. Breaching that wall, the bulls may speed up to the August peak of 192.14, while a more aggressive rally above the 50% Fibonacci of 196.09 may set a new battle at the channel’s surface somewhere between 200 and 210.