DeepSeek Launches Open-Source AI Model V4

Although the news increases competition in the artificial intelligence sector, NVIDIA's strong technical indicators present a short-term positive outlook. The stock has risen more than 7% in the last 24 hours and is trading above its 20-day moving average. The RSI is at 60, not yet entering overbought territory, suggesting that upward potential may continue. Although the MACD is below the signal line, it remains in positive territory, indicating that momentum has not weakened. However, since DeepSeek's new model could intensify competition in the sector, there is a risk that the rally may be limited.

The news could intensify competition in the AI space but may sustain demand for AMD's GPUs. Technically, the stock closed above its 50-day SMA, and the RSI is in neutral territory, indicating potential for upward movement in the short term. However, the MACD is below the signal line and the stock is trading below its 20-day SMA, suggesting limited upside. The 6% gain in the last 24 hours reflects a positive reaction to the news, and since it has not entered overbought territory, the rally may continue.

While the news is seen as a development that could increase competition in the AI sector, its impact on TSM's short-term price may remain limited. Technical indicators are giving mixed signals: RSI is neutral at 48.7, MACD is below the signal line but positive, and the price is below SMA20 but above SMA50. Despite a 3.1% gain in the last close, the price being below the 20-day moving average suggests short-term weakness. Therefore, it would be more prudent to wait for more data to determine a clear direction.

AVGO shares fell more than 5% in the last close, with the RSI dropping to 34, approaching oversold territory. The MACD line is below the signal line and in negative territory, indicating weak short-term momentum. The price is trading below both the 20-day and 50-day moving averages, creating a negative technical outlook. DeepSeek's new open-source AI model may raise concerns about Broadcom's competitive advantage in the custom chip market. In the short term, selling pressure is likely to persist, but the decline may be limited as the stock nears oversold conditions.