Magnificent Seven sell-off deepens; Apple alone gains
US tech stocks fell sharply, with Meta and Amazon leading losses, while Apple rose 0.88% as investors weighed AI spending costs.
Nvidia fell 12.5% from its all-time high to test support at $214.47. Buyers stepped in, but follow-through is needed.
On Tuesday last week, Nvidia hit an all-time high of $243.37. Since then, six of the past seven trading sessions have ended lower. The stock touched a low of $212.85 on the current day, representing a 12.54% drop from that peak.
This marks a sharp reversal. However, the selling also drove the price down to a key technical support area, where buyers intervened.
Sellers had their opportunity to push the price below support.
The decline accelerated after Nvidia broke below a swing zone defined by previous highs from $230.32 to $236.54. That breach gave sellers more control and turned that former support into overhead resistance.
Two further technical levels came into focus with today's gap-down opening:
100-day moving average at $214.47
38.2% retracement of the 2026 trading range at $213.15
The intraday low of $212.85 briefly dipped below those levels. But sellers could not sustain the break, and shares have rebounded toward $217.
Sellers got their chance to push below support but did not succeed. Buyers now need to extend the bounce.
The 100-day moving average is being tested once again.
On September 14, Nvidia similarly fell under its 100-day moving average. The following day, the stock held above that level, which helped set the stage for the later run to a record high.
The current bounce begins from a similar position, but follow-through buying has yet to appear.
For those focusing on risk management, the message is clear: staying above $214.47 keeps the recovery attempt alive, with $213.15 as a nearby reference. A sustained move below both would weaken the bullish case and put sellers back in charge.
Defending support creates an opportunity for a rebound. But it does not indicate how high that rebound might go.
What would boost buyer confidence?
The next upside obstacles are:
Around $222, the broken upward-sloping channel trendline
$226.14, the 200-hour moving average
$230.63, the 100-hour moving average, within the $230.32–$236.54 swing zone
Moving back above $222 would be a first step. Recovering the 200-hour and then the 100-hour moving averages would give buyers progressively more technical control.
The key lesson: support defines risk; resistance measures progress.
Buyers have defended an important area, but they still have work ahead.
The support below gives traders a place to assess whether the recovery is holding. The resistance above provides checkpoints to judge whether buyers are gaining control.
For now, Nvidia is caught between those levels. Watch whether support continues to hold—and then wait for the next push.
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Disclaimer: this article comes from third-party media and is provided for reference only. It does not constitute investment advice. Crypto and other financial products carry significant price volatility risk, so please make your own decisions carefully.
US tech stocks fell sharply, with Meta and Amazon leading losses, while Apple rose 0.88% as investors weighed AI spending costs.
US stock indices fell sharply, breaking key moving averages. Technical support levels could offer a lifeline if buyers step in.
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