This greatly encourages the MajorTop Reversal Head & Shoulders pattern scenario. Bears could sell at market/open, with a stop loss above 185 as a strategic short. We will be able to narrow that stop after Friday trading. 

That said, it could be a case of the market just seeing profit taking on the advent of the news, and the market is actually becoming a buy here?

The truth is no one knows. No one ever knows of course. but we are going to play the short, knowing if we have to take a loss and reverse/go long above 185, that is likely to generate an equally spectacular return to any downside here.

What is the downside potential of the seeming giant H&S formation?

$125.

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Nvidia ​is seriously impressing here with this strong bounce back on Powell comments, then a further rally when most of the market faded. This is it then, the BIG TRY at breaking higher and upward out of this very broad 4 week consolidation pattern. After such a strong rally leading into this period, it is not hard to spot the potential for this being a major top/reversal pattern. The last 4 weeks have the very clear hallmarks of a Head&Shoulders pattern. Which, if this were to be the case, would suggest a potential decline from here of some 30% to 40% to the 130/125 area. 

The bulls are more focused on 200 first, then 250. This would seem to fit more appropriately with the fundamental backdrop of both geo-politics and other fundamentals for this company. However, the bullish argument for the stock is well known, and we all know markets can do odd things at times. This stock is already heavily invested in and could be a potential 'over-heated for now' scenario outcome.

Watch for a break above 183.85 for further encouragement of the widely held bullish argument.

A move below now strong support around 176/175 would be an early warning. Watch for a break below 170.00 to begin salivating about one of the great shorting opportunities of a lifetime. With nothing to do with fundamentals. Just market dynamics. 

I tend to favour the upside here, but any hesitation that falls back in on itself could be the alarm for something fascinating. 

This was a big day as per our lead NEWS item. From a price perspective we are looking at a suddenly very bullish structure for the medium to long term outlook. The big caution I would give here, is that Friday was an over-reaction to a coming rate cut, and the move could be quickly faded this Monday or Tuesday. 

That warning given, on face value, we now have very clear levels which are quite narrow, relative to the next 2,000 point trend potential they could well signal. The obvious range is 6340 to 6490, and a break either way would deserve enormous respect. It is possible the market will break one way, before a major trend in the exact opposite direction? We will be happy to have a small loss on a false break that reverses, for going with the then reversal trend will likely prove to be immensely rewarding. In fact, this is a major personal/family wealth leap opportunity for those who stay active and close to this market. 

This is a beautiful and gentle breaking to the upside we have been long of for a while now. It may be just a little too easy though, and perhaps a sharp brief downward spike is on the cards. To take some of the short term speculators out. That said, this is one of my very favourite bull markets from here. Global oil demand is going to out-strip current industry forecasts by a big margin. Even if Russia oil comes openly back on line. Russian oil is already purchased by most Western economies via India knowingly, and the rest of the world has not imposed sanctions against Russia. Not often mentioned in Western press. 

Gold is going to 3650, then 3995, where it may well hesitate for a moment before moving through 4,000  with a long term multi-year target probably in the 7,500 area. Such is the industrial, luxury, jewellery, investment, and central banks growing interest in the shiny metal. Shorter term, a move back to 3300 cannot be ruled out, but is looking unlikely. A more shallow consolidation is probable and one should treat the 'dominant risk' as being higher at all times. It is a situation where the consolidation phase could last weeks, even months more, but just be aware it is going higher and can do so at any time.