Nvidia (NVDA) shares are in focus this week as the 澳洲幸运5官方开奖结果体彩网:artificial intelligence (AI) favorite prepares to release its highly anticipated earnings report for its fiscal 2025 second quarter on Wednesday. Investors will be looking out for sustained growth in the cꦿhipmaker’s data center segment and u꧑pdates about its next-generation Blackwell chips fo🧸llowing reported delays.

The AI darling’s shares, which have surged around 43% from their August low, have been bolstered in recent weeks by bullish Wall Street coverage and 澳洲幸运5官方开奖结果体彩网:growing earnings forecasts. The company, which has blown past expectation𒀰s for both revenue and earnings in recent quarters, is under pressure to deliver another blockbuster quarterly report.

Below, we’ll take a closer look at Nvidia’s chart and use 澳洲幸运5官方开奖结果体彩网:technical analysis to identify imp꧒ortant price levels to watch out for amid the AI behemoth's looming quarterly results.

🉐 Rectangle ღFormation Indicates Upside Continuation

Since staging an intraday reversal in early August to mark the end of a 26% 澳洲幸运5官方开奖结果体彩网:correction from their record closing high, Nvidia shares have recovered the lion’s share of those losses. The price recently consolidated within a 澳洲幸运5官方开奖结果体彩网:rectangle formation, indicating a 澳洲幸运5官方开奖结果体彩网:continuation of the chipmaker’s move higher. 

However, it’s worth noting that 澳洲幸运5官方开奖结果体彩网:trading volumes remain below longer-term averages during the stock’s resurgence, pointing to possible apprehension by 澳洲幸运5官方开奖结果体彩网:institutional investors ahead of the company’s quarterly results.

The stock gained 4.6% on Friday to close at $129.🍰37.

Amid the potential for earnings-driven volatility in Nvidia shares this week, investors should eye these key 澳洲幸运5官方开奖结果体彩网:support and resistance levels.

Support Levels to Watch

A 澳洲幸运5官方开奖结果体彩网:breakdown below the rectangle pattern could see the shares initially test the $116 level, an area on the chart in close vicinity to the 50-day moving average where buyers could look for 澳洲幸运5官方开奖结果体彩网:entry points near a 澳洲幸运5官方开奖结果体彩网:horizontal trendline connecting a seri♊es of similar trading levels between May and July.

A deeper post-earnings 澳洲幸运5官方开奖结果体彩网:retracement could spark a fall to $97, where the shares would likely attract significant support from two prominent price peaks that formed on the char🤡t during March. This region also sits just a little above the stock’s cওorrection low recorded during the early August broad-based market sell-off.

Resistance Areas to Monitor

Upon an upside breakout of the rectangle formation, the shares may encounter resistance around $136, where they could find investors willing to 澳洲幸运5官方开奖结果体彩网:lock in profits near the June 1﷽8 record close, a level that also aligns wi🔯th the stock’s July peak.

To forecast a potential resistance area above Nvidia's 澳洲幸运5官方开奖结果体彩网:all-time high (ATH), we can use the 澳洲幸运5官方开奖结果体彩网:measuring principle. To do this, we ca🅘lculate the distance of the trending move that preceded the rectangle and add that amount to the formation's breakout point. In this case, we add $39 to $131, ♈which projects a target of $170, a location where the shares may run into selling pressure.

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As of the date this article was written, the author does not own any of the above securities.