This week’s rally in Nvidia stock price has stalled as investors take profits after another all-time high. The stock of the leading AI chipmaker reached its all-time high on Thursday as it surged to $1,255.87 on Nasdaq. However, the move was not backed by strong buying pressure as the price fell 4.82% in the subsequent 15 min candle.

On Thursday, the benchmark indices of US equity markets showed minor upticks. The S&P 500 index and Nasdaq 100 index, both were up 0.04% at press time. This reflected a cautious sentiment after both indices put record highs in the previous session.

Nvidia Shares Drop 0.88% After Hitting Record Highs

After struggling to hold above the Wednesday highs, Nvidia stock is down 0.88% on Thursday. On the weekly timeframe, the stock remains 11.21% up, which suggests that the correction might just be temporary.

With the recent stock surge, the market capitalization of Nvidia Corporation has exceeded $3 trillion. This makes Nvidia only the third company to achieve this feat after Apple and Microsoft. In other news, the company is going to have a stock split on 10^th June. The investors who hold Nvidia shares at the end of Thursday’s trading day would get nine additional shares for each unit that they hold.

Nvidia Stock Price May Target $1,500 Soon

If we analyze NASDAQ: NVDA on a 4H timeframe, the outlook appears to be extremely bullish. The stock perfectly met my previous target of $1,108 last week. Fibonacci retracement tool suggests that the next target could be $1,326 which is the 2.618 Fib level.

Nvidia stock price forecast of $1,544 is also on the cards as this level aligns with the 3.618 Fib retracement level when March highs are connected to the June lows. Technical analysis further reveals that the bears don’t stand a chance unless the price breakdowns below 1,069 support. Therefore, most of the traders might consider the short term dips an opportunity to go long on the AI stock.