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The title rewritten in English would be: “Nvidia identified as one of Wall Street’s most overbought stocks”

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Nvidia, a leader in artificial intelligence, became overbought on Wall Street this week as its market cap surpassed $3 trillion. The stock had a 14-day relative strength index (RSI) reading above 74, indicating potential overbuying. An RSI above 70 suggests a selling opportunity, while below 30 is considered oversold. Nvidia’s shares rose more than 8% in a week, making it the second most valuable U.S. company after Microsoft, with a 140% increase year-to-date.

The overall market had a strong start to the trading month, with the Nasdaq Composite gaining over 2% while the S&P 500 and Dow Jones Industrial Average increased by around 1%. However, some stocks, like Costco with an RSI above 80, were highly overbought, raising concerns about their sustainability. Other overbought names included T-Mobile, Walmart, and Best Buy. On the flip side, stocks like Robert Half and Epam Systems were oversold, indicating a potential bounce back.

Looking at analyst ratings and price targets, while stocks like Costco and Nvidia have buy ratings, projections suggest a slight decrease in their value within the next 12 months. Despite this, investors are optimistic about a rebound, particularly for oversold stocks such as Robert Half and Epam Systems. Analysts anticipate double-digit percentage gains for these overlooked companies in the near future.

With market volatility and investor sentiment constantly shifting, it is essential for traders and investors to keep a close eye on technical indicators like the RSI to gauge potential buying or selling opportunities. Understanding the market dynamics and the impact of factors like artificial intelligence trends can help guide investment decisions. As the AI craze continues to drive Nvidia’s stock price higher, investors must proceed with caution and be prepared for potential corrections in the market.

In conclusion, Nvidia’s rapid rise to overbought levels and a $3 trillion market cap highlights the growing interest in artificial intelligence companies among investors. While the market as a whole is performing well, some stocks are showing signs of being overvalued, while others are being overlooked. By paying attention to technical indicators and analyst recommendations, investors can make informed decisions about which stocks to buy, sell, or hold in their portfolios. As the market continues to evolve, staying informed and adaptable is crucial for successful investing in the long term.

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