nvidia corporation nvda gapped up slightly to start thursdays trading session breaking up from a rising channel pattern on the daily chart the move higher was in continuation after nvidia rose over 4 wednesday following reports indicating the company will make a longterm investment in the arm ipo which is set to take place in september when nvidia spiked higher thursday the stock negated a possible bearish double top pattern at the 43990 mark and confirmed its uptrend remains intact want direct analysis find me in the bz pro lounge click here for a free trial an uptrend occurs when a stock consistently makes a series of higher highs and higher lows on the chart the higher highs indicate the bulls are in control while the intermittent higher lows indicate consolidation periods traders can use moving averages to help identify an uptrend with rising lower time frame moving averages such as the eightday or 21day exponential moving averages indicating the stock is in a steep shorterterm uptrend the nvidia chart nvidia’s most recent higher high within the uptrend was formed on july 5 at 43177 and the most recent higher low was printed at 41649 on july 10 on thursday nvidia was climbing to a new alltime high but hasn’t yet indicated the next local top has occurred   should nvidia close the trading session with an upper wick the stock will print a shooting star candlestick which could indicate lower prices will come on friday if that happens the stock will fall back into the rising channel pattern   in the event that nvidia closes thursday near the highofday the stock will print a bullish kicker candlestick which could suggest higher prices are in the cards if that happens the stock is likely to form a bearish reversal candlestick over the next few trading days   the local top is likely to come soon because nvidia’s relative strength index rsi is measuring in at about 70 when a stock’s rsi reaches or exceeds that level it becomes overbought which can be a sell signal for technical traders   nvidia has resistance above at the psychologically important 450 and 460 areas and support below at 43990 and 41938 read next whats going on with nvidia shares