Nvidia (NVDA) shares pulled back in futures Monday, trading at $173.72, down 2.3% over the past 24 hours. The decline follows a sharp July rally and comes as reports surface about Nvidia’s potential investment in Vast Data at a $30 billion valuation.
Nvidia stock consolidates after record highs
Nvidia stock remains in a consolidation phase after hitting all-time highs in July. Monday’s dip brings shares just under immediate resistance at $174–$176, a level that has capped gains in recent sessions.
- Immediate resistance: $176
- Short-term support: $167–$170
- Major support: $159–$162
- 200-day moving average: $135
Despite the pullback, NVDA continues to trade well above its key moving averages, maintaining a bullish long-term trend.
Technical signals suggest near-term pause
- RSI: ~62, indicating NVDA is not overbought
- MACD: Still in positive territory, though momentum is fading
- Stochastic Oscillator: Neutral
- TradingView rating: Strong Buy (based on moving averages)
These indicators support a potential sideways movement before any breakout above resistance.
Vast Data deal signals deeper AI push
According to reports from Reuters and The Hindu, Nvidia is in advanced discussions to lead a new funding round for Vast Data, a leader in AI-focused unstructured data management. The deal, which could value Vast at up to $30 billion, would align with Nvidia’s shift from a chip-only supplier to a full-stack AI infrastructure giant.
Vast’s technology would complement Nvidia’s data center GPUs by optimizing storage and access for AI workloads — a key competitive advantage as AMD, Intel, and custom silicon players ramp up offerings.
Broader AI demand still fuels growth outlook
Even with short-term price weakness, Nvidia’s outlook remains strong due to continued AI infrastructure investments:
- Microsoft, Meta, Alphabet all raised capex forecasts for AI buildouts.
- Global data center spend is projected to hit $1 trillion by 2028, up from $400 billion in 2024.
- Nvidia is expected to capture a significant share of that market.
Analyst price targets range from $185 to $250, with bullish scenarios calling for a break toward $200 if macro conditions cooperate or the Vast deal finalizes favorably.
Price outlook: Key levels to watch
- Base case: Continued range-bound trading between $168–$176
- Bullish breakout: Targeting $185, then $190
- Bearish pullback: Watch $159 as major support; breakdown targets $150
Market sentiment may hinge on broader macro risks like U.S.-China trade tensions, chip export controls, and bond yield volatility — all factors that could weigh on growth stocks in the near term.
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