Is Nvidia Stock a Buy? Why Semiconductor Strength May Signal a Market Top The article discusses the potential risks associated with Nvidia's stock and the broader semiconductor sector, highlighting technical indicators and market divergences that suggest a possible correction. Portfolio managers are trimming their Nvidia positions, citing a shift in the AI trend toward inference and concerns about the company's ability to maintain its premium pricing and high gross margins. TrendForce data indicates that GPU-based AI servers will account for 69.7% of shipments in 2026, while ASIC-based servers are expected to rise to 27.8%. However, a reported one-quarter delay in Nvidia's next-gen GPU platform, Rubin, is seen as a timing issue that could weaken the company's competitive edge. Technical analysis suggests that Nvidia, along with the broader market, is approaching a meaningful top. While this correction may occur within a larger uptrend, it introduces risks that have not been experienced in recent years. The article emphasizes the importance of market divergences in identifying potential bull traps. For instance, the Semiconductor ETF (SMH) has made new highs since the start of the bull cycle in October 2022, but Nvidia has failed to confirm these gains, signaling a weakening trend. This divergence is historically linked to semiconductor sector corrections. The Magnificent 7 stocks, a group of tech leaders, have driven S&P 500 returns since 2021, but their failure to confirm new highs in the S&P 500 suggests a weakening market environment. The financial sector (XLF) has also shown signs of a top, with a five-wave uptrend completed in January 2026, followed by a corrective phase.#nvidia #financial_sector #trendforce #semiconductor_etf #magnificent_7
Bajaj Finance Shares Lose Post-Budget Gains, Extend March Losses to 10% Shares of Bajaj Finance Ltd. have reversed earlier gains made after the budget announcement, extending their losses for March to 10%. The stock fell 4% on Wednesday, March 11, marking its eighth consecutive losing session in the past 11 trading days. It is among the top losers on the Nifty 50 index, with the decline raising concerns about its performance in the month. If the current trend continues, March could become the worst month for the stock since October 2024, when it also recorded similar losses. The stock had surged 20% between February 1 and February 20, reaching an intraday high of ₹1,046. However, it has since retraced to levels around ₹900, erasing all the gains from that period. The decline comes amid increased provisions for bad loans, which pressured the company’s profitability. For the December quarter, Bajaj Finance’s provisions rose by nearly ₹1,400 crore, a move the management attributed to ensuring the balance sheet remains “shock proof.” The company also adjusted its full-year growth guidance, projecting growth of around 22%, which is at the lower end of the previously expected 22% to 23% range. Technical indicators suggest the stock is facing bearish momentum. It has slipped below key moving averages, and the Relative Strength Index (RSI) stands at 31, nearing “oversold” levels. An RSI reading below 30 typically signals that a stock is oversold, indicating potential for a rebound. However, the current decline has raised concerns among investors. Analysts have mixed views on the stock. Out of 38 analysts covering Bajaj Finance, 24 have issued “buy” ratings, six have “sell” ratings, and eight have “hold” ratings.#nifty_50 #market_volatility #bajaj_finance #ambit #financial_sector
