NVIDIA Earnings: How to Trade and Profit Ahead of the Report

In the article, I mentioned that a doji candle has formed, which is an indicator of market indecision, however this also suggests that traders are closely watching the 135-140 level, which is a strong support zone.

Steps for a 1-hour entry:

1. Identify support (which is 140)

2. Identify doji high (around 141.50)

3. When a one-hour candle closes above doji high, this is the entry

Often, during U.S. trading hours, a stock's price may already have gapped up. Alternatively, traders can opt to trade during Asia hours if the pre-market shows similar price action.

For example, if the pre-market also closes a one-hour bar above the doji high, this can serve as an entry point.

On November 19, during Asia market trading hours, NVDA was trading around 142-143, which was higher than the doji high of 141.50.

To illustrate the potential of using DLCs (Daily Leverage Certificates) listed on SGX, which are tradeable during Asia market hours:

– By the morning of November 20, Nvidia's share price had risen approximately 4.6% to US$147.80, and NVIW increased to S$8.40, marking a 13.5% gain. This translates to a S$100 profit for a minimum lot size of 100 DLC units.

(Please note that P&L is calculated before costs and fees. Investors should be aware that losses can similarly be magnified in the opposite direction.)