Why NVDA was not a good candidate for Selling Short last week

By Friday last week in NVDA, Support of the Market created an inside day to reversal rebound white candle that engulfed, indicating that the minor drop down out of this trading range was just that: a minor slip of price to below fundamental levels.

Volume was well above average and Volume Oscillators--TSV, TTVA or Chaikin Osc--ticked up along with money inflows. Never assume that a break to the downside from a stable sideways trend is going to continue down. Inside days are no longer a "sure thing" for selling short.

Along with support from a bottom formation, the minor nudge before the black candle that dropped below the low of the sideways trend also was a factor in determining that NVDA was not going to run down. Sell short risk was exceedingly high based on these factors.