Can Nvidia (NVDA) Make Another New Highs As We Welcome 2025?

The stock market rally had a solid advance in the half-day Christmas Eve session. The Nasdaq led, moving back toward record highs, while the S&P 500 moved back above 6,000. Despite Tuesday's broad gains, much of the market is lagging.

I am holding onto my Nvidia position as I am expecting Nvidia to move into more software focused solutions with the strength of its new chips particularly Blackwell.

Nvidia stock edged up 0.4% to 140.22, hitting 141.90 intraday. While a slim gain Tuesday, the AI chip giant is up 10.5% since hitting a low of 126.86 on 17 Dec.

NVDA stock has retaken the 50-day line and broken a short downtrend, offering an early entry. But I think we need to see more strength in the coming days, as we have seen a double bottom formed at around $130, so we might need to be aware of this level, anything lower, could bring NVDA back into a bearish downside.

I am looking forward by end of this week (27 Dec), NVDA looked to be on track to formed a new highs of around $145.

I think there are news of Nvidia is going to offer cloud services solutions, but cloud business is not new to Nvidia, as it is already doing so in these areas.

Renting servers: NVIDIA rents out servers powered by its AI chips to businesses.

Software: NVIDIA provides software to help businesses develop AI applications.

NVIDIA NGC: A portal that offers cloud services, software, management tools, and support for AI and digital twin workflows.

NVIDIA AI Enterprise: A cloud-native software platform that helps organizations build AI pipelines. It includes:

NVIDIA NeMo: A framework for building, customizing, and deploying large language models

NVIDIA Triton Inference Server: An open-source inference-serving software that enables teams to deploy trained AI models

GPU-accelerated solutions: Available through top cloud platforms, these solutions provide on-demand access to massive computing power.

DGX Cloud: A platform that offers expertise and utilization, including understanding a customer's workload and workflow.

So if Nvidia is going to offer it as a cloud solutions, these might form a quite comprehensive solutions for a company looking to start building their AI strategy.

Nvidia has just clear the 50-day period but the price level is still weak, I think investors would be looking forward to a stronger price level, which I expect it to be around $145.

This would help to give it strength to move away from a potential fallback to below $138, and we need it to give MTF more confidence.

Currently MTF is only giving us upward trend on some periods, not yet a convincing strong upward trend.

I am actually looking at NVDA clearing $160 then $200 as NVDA earnings approaches in 2025, so we will need to see how NVDA would be performing in this Santa rally which have started on 24 Dec.

Do you think NVDA has strength to move higher post Santa rally, as semiconductor are gaining traction as the Santa rally begin?

We might see Nvidia gaining benefit as companies begin to plan for their AI strategy when they are back from the holiday, in January we should be seeing many companies announcing how they planned to move in their AI journey.

Appreciate if you could share your thoughts in the comment section whether you think Nvidia is going to benefit from the shift of focus back to semiconductor as we approach 2025?

Disclaimer: The analysis and result presented does not recommend or suggest any investing in the said stock. This is purely for Analysis.