Nasdaq Falls Over 2%: Chip and AI Stocks Suffer Heavy Losses

NVDA lost 5.5% as one of the leading stocks in the sharp decline on the Nasdaq. Although the RSI has entered oversold territory at 28, the MACD continues to give a sell signal, and the price remains below both the 20-day and 50-day moving averages. The short-term technical outlook is weak, with a high risk of the downtrend continuing. However, oversold conditions may trigger some buying on the dip, so I forecast a medium-to-high confidence in the downside direction.

NDX experienced a sharp decline of 5.9% in the last 24 hours, with its RSI dropping to 21.8, entering oversold territory. The MACD is well below the signal line and in negative territory, indicating strong bearish momentum. The price closed below both the 20-day and 50-day moving averages. News headlines confirm continued losses in chip and AI stocks. Despite short-term oversold conditions, the downtrend is expected to persist for some time.

AMD shares experienced a sharp decline of over 13% yesterday, with the RSI dropping to 27.6, entering oversold territory. The MACD indicator remains negative and below the signal line, confirming weak short-term momentum. The stock closed well below both its 20-day and 50-day moving averages. News headlines indicate that the broader decline in the Nasdaq has negatively impacted chip and AI stocks. In the short term, selling pressure is likely to persist, although a slight technical rebound may occur due to the oversold conditions.

AAPL lost 6.6% in parallel with the sharp decline on the Nasdaq, pushing its RSI to 20.9, deep into oversold territory. The MACD remains below the signal line and in negative territory, indicating weak short-term momentum. The stock is trading well below its 20- and 50-day moving averages, suggesting sustained selling pressure. While oversold conditions could trigger a short-term bounce, the overall downtrend is expected to persist for some time.