Nvidia beat the very high estimations once again, keeping the AI optimism very much alive. Earnings per share were announced at $6.12, beating the $5.64 estimation by 8.38%, while revenue topped $26 billion, surpassing the consensus by nearly $1.35 billion. 

(NVDA Beats Estimates) 

According to CEO Jensen Huang, “This is the beginning of a new industrial revolution.” Huang maintained high expectations for the upcoming quarters at the investor meeting. The demand for AI chips has outpaced the supply, and he expects this demand to remain high. He anticipates the new Blackwell chips to generate substantial revenue in 2024. 

(NVDA Daily Chart, Logarithmic Scale) 

NVDA is currently priced over $1000 in the pre-market and is likely to open above that level. This indicates that the horizontal resistance is about to break. Since 2022, Nvidia has been surging in a logarithmic uptrend. During this massive rally, the price slowed down three times, each time creating tops with clear horizontal resistance. When the first horizontal resistance broke, the upward wave carried NVDA close to 160%. When the second horizontal resistance broke, the wave carried the price more than 90%. If the pattern repeats itself and the current horizontal resistance breaks today, the next wave might carry NVDA close to $1500 with a 50% surge in the coming months. It is important for bulls to watch the stock price hold above $1000. If not, a downward correction will probably create buying opportunities as long as the current uptrend channel holds.