NVDA falls below a key level amid broader tech pullback, dragging chip stocks after the SOX index hit a record high.
Nvidia (NVDA) dropped below a critical support level on Tuesday as chip stocks retreated sharply. The decline followed a record high for the Philadelphia Semiconductor Index (SOX) on Monday, signaling profit-taking in the sector.
The S&P 500 and Nasdaq Composite also pulled back, contrasting with mixed performance in the Dow Jones Industrial Average. Advanced Energy Industries (AEIS), Cummins (CMI), and GE Vernova (GEV) remained near potential buy zones despite the broader tech weakness.
Traders monitored the sell-off as semiconductor stocks led the tech sector lower, reversing recent gains. The SOX index’s retreat marked a shift after its recent rally, with NVDA’s move drawing particular attention.