To The Moon

🐶 Options Puppy: How I Used Technical Analysis (TA) to Buy NVIDIA at $194.90 — Supported by Strong Fundamentals (FA)

🚀 Buying Great Companies at Better Prices

One of the biggest mistakes investors make is believing they must buy a great company immediately. I prefer combining Fundamental Analysis (FA) and Technical Analysis (TA). Fundamentals tell me what to buy, while technical analysis helps me decide when to buy.

Recently, I bought NVIDIA (NVDA) at $194.90. This was not a random purchase or an emotional decision because the price looked cheaper than before. Instead, I waited patiently for technical signals to line up while remaining confident in NVIDIA’s long-term business strength. For me, this combination of FA and TA creates a disciplined investing process instead of relying on guesswork.

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📊 Step 1: The Long-Term Uptrend Was Still Intact

The first thing I looked at was the overall daily chart.

Although NVDA had fallen from its recent highs near $236, the stock was still trading within a much larger long-term uptrend. Healthy companies rarely move straight upward forever. They often rally, pull back, consolidate, and then continue higher if the business remains strong.

Rather than seeing the decline as something to fear, I viewed it as a potential opportunity to buy a quality company at a better price.

Instead of chasing strength, I prefer waiting for weakness to come to me.

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📉 Step 2: Support Around $193–195

One area immediately caught my attention.

NVDA had repeatedly found buyers around $193–195.

Every time price approached this region, selling pressure started slowing while buyers stepped in.

Support levels matter because they represent areas where demand has previously overcome supply.

When price revisits these levels, many investors are watching the same area.

Although support never guarantees a bounce, it often provides better risk management because I know exactly where my trade becomes invalid if price breaks decisively lower.

Buying near support also allows me to avoid chasing stocks after large rallies.

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📈 Step 3: The 200-Day Moving Average Was Nearby

One of my favourite indicators is the 200-day moving average.

Many institutional investors monitor this level because it reflects the long-term trend.

From the chart, NVDA was trading very close to this major moving average.

Historically, strong companies often receive buying interest when they revisit the 200-day moving average during long-term uptrends.

Instead of buying after prices have already surged, I prefer waiting until price returns to important technical support where risk and reward become more attractive.

The 200-day moving average acted like an area where buyers might become interested again.

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🔄 Step 4: Price Was Testing Multiple Moving Averages

Besides the 200-day moving average, several shorter moving averages were beginning to cluster together.

When multiple moving averages converge near the same price, they often create stronger support than a single indicator alone.

This area becomes a zone where different types of traders may begin buying.

I like seeing several technical signals pointing toward the same conclusion instead of relying on only one indicator.

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📊 Step 5: Volume Stayed Healthy

Price alone never tells the whole story.

Volume shows how much conviction exists behind each move.

During the decline toward $194–195, I noticed that selling volume was not exploding compared to earlier periods.

This suggested that the decline looked more like profit-taking than widespread panic.

When a stock falls on relatively controlled volume while approaching major support, I become much more interested.

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🎯 Step 6: Risk Versus Reward

Before entering any trade, I always ask myself one question.

“Does the potential reward justify the risk?”

Buying near $194.90 meant my downside could be managed if support failed.

However, if NVDA eventually recovered toward previous highs around $220–236, the upside potential could be much larger than my planned risk.

This favourable risk-to-reward relationship is one reason I was comfortable entering the position.

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💡 Technical Analysis Gives Me Better Timing

Technical analysis does not predict the future.

Instead, it helps improve the probability of entering at more favourable prices.

Without TA, I might have bought NVDA much earlier at $220 or even higher simply because I liked the company.

Instead, patience allowed the market to come to my desired price.

TA is less about certainty and more about stacking several pieces of evidence before acting.

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🧠 Fundamental Analysis: Why NVIDIA Remains One of My Favourite Companies

While technical analysis helped me choose when to buy, the main reason I was interested in NVDA is its business quality.

I never buy stocks based only on charts.

Charts tell me timing.

Businesses determine long-term returns.

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🤖 AI Continues Driving Growth

NVIDIA remains the global leader in artificial intelligence chips.

Its graphics processing units (GPUs) power many of today’s most advanced AI systems.

Cloud providers, technology companies, research institutions and enterprises continue investing heavily in AI infrastructure.

This long-term demand creates significant opportunities for NVIDIA.

Although growth may not always be smooth quarter to quarter, AI spending remains a powerful structural trend.

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☁️ Data Centre Business

One of NVIDIA’s biggest strengths is its data centre segment.

Large cloud providers continue expanding AI computing capacity.

Training and running large AI models require enormous computing power, and NVIDIA has established itself as a leading supplier of those high-performance chips and related software.

This business has become a major driver of the company’s revenue and profitability.

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🎮 Gaming Still Matters

Many people focus only on AI.

However, NVIDIA remains one of the world’s largest gaming GPU companies.

Gaming provides another important source of revenue while reinforcing the company’s graphics expertise.

Although gaming demand naturally fluctuates, it remains an important part of NVIDIA’s diversified business.

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🚗 Autonomous Driving

NVIDIA also develops hardware and software for autonomous driving and advanced driver-assistance systems.

As vehicles become increasingly computerized, this business could contribute additional growth over the long term.

Although it is currently smaller than AI and data centres, it represents another potential avenue for expansion.

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💰 Strong Financial Performance

One reason I remain comfortable owning NVIDIA is its strong financial profile.

The company has delivered impressive revenue growth, healthy profit margins and strong cash generation in recent years.

Its balance sheet has also provided flexibility to continue investing in research and development while supporting future growth initiatives.

Strong finances help a company navigate changing market conditions more effectively than weaker competitors.

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🏆 Competitive Advantage

NVIDIA’s strength extends beyond hardware.

Its software ecosystem, development tools and long-standing relationships with customers create significant competitive advantages.

Many AI developers already build their applications around NVIDIA’s platform, making it more difficult for competitors to displace the company quickly.

This ecosystem effect strengthens NVIDIA’s long-term position.

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🐶 My Investment Philosophy

I believe the best investing opportunities often come when strong companies experience temporary pullbacks.

Rather than chasing headlines or buying because everyone else is excited, I prefer waiting patiently.

Technical analysis helps identify attractive entry points, while fundamental analysis gives me confidence to hold through normal market volatility.

This combination helps remove much of the emotion from investing.

Instead of reacting impulsively, I follow a repeatable process.

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📋 My Trading Checklist

Before buying NVDA, my checklist looked something like this:

* ✅ High-quality company with strong long-term growth prospects.

* ✅ AI leadership remains intact.

* ✅ Healthy balance sheet and profitability.

* ✅ Price approaching major support around $193–195.

* ✅ Near the 200-day moving average.

* ✅ Selling pressure appeared to be slowing.

* ✅ Risk-to-reward looked attractive.

* ✅ Comfortable holding for the long term if volatility continued.

When several factors aligned, I felt the probability of a favourable long-term outcome had improved.

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🏁 Final Thoughts

Buying NVIDIA at $194.90 was not about trying to pick the exact bottom. No one can consistently do that. Instead, my goal was to buy a high-quality business when the odds appeared more favourable based on both technical and fundamental analysis.

The technical chart suggested that NVDA was approaching an area of support near the 200-day moving average, with price around a level where buyers had previously shown interest. At the same time, the company’s long-term fundamentals—its leadership in AI, strength in data centres, gaming business, software ecosystem, and financial performance—gave me confidence that the business remained compelling despite short-term price swings.

As always, technical analysis is not a guarantee that a stock will rise, and fundamentals alone cannot prevent volatility. Markets can move unpredictably. My approach is to use TA to improve entry timing and FA to help decide whether a company is worth owning through those ups and downs. For me, combining both disciplines provides a structured, patient way to invest rather than relying on emotion or market hype. 🐾📈

@TigerStars @TigerCoinCenter @MillionaireTiger @TheBeautyofOptions