By Nvidia being included in the Dow Jones Industrial Average (DJIA) is a major success factor for the company and signifies its growing influence in the tech sector, as well as its recognition as a solid, blue-chip stock. This change, which will occur on November 8, 2024, will displace Intel and introduce Nvidia in the DJIA, as announced by S&P Global on November 1.
A recent 10-for-1 split of Nvidia’s stock, designed to make its shares more accessible, was the reason this stock was able to lower the stock’s weight on the DJIA and thus facilitate this move.
AI Demand Drives 910% Stock Surge
This inclusion comes as the latest evidence of Nvidia’s quick AI success in the wake of its sales boom and high stock value. Nvidia has seen its shares jump by a remarkable 910% over the past two years, with a 174% increase from the beginning of this year. The last fiscal results of the company show that it has been very successful, with gross income rising by 270% just in the first six months of the 2025 fiscal year.
Nvidia, with its market capitalisation of $3.34 trillion, is the second most valuable company in the world, just a tiny bit away from the leader Apple. Although the demand for its revolutionary Blackwell AI chips is vividly high, the company has remained on the production schedule set for a year. This pickup in growth from time to time as well as the good news of Nvidia’s upcoming earning report, make the company a centerpiece for investors and, at the same time, cement its position in the DJIA.
Nvidia’s Stock Chat Analysis
NVDA/USD 15-Minute Chart
According to NVIDA’s recent price movements, the company is still resilient. On November 6, the share is being traded around $139.91. The price, which almost reached $132.12 through the end of the previous month, has then started to rise and give us a recovery. Additionally, we saw the price actually testing the resistance around the level of $139.95.
This climb may actually be a positive result of the changing sector sentiment, especially with the approaching of the Dow Jones Industrial Average inclusion in Nvidia on November 8. The structural renovation will sharpen interest, and people will receive it well. However, we should also always obey the divergence expectations of many funds. These funds work with indexes like the S&P 500 and not just the DJIA.
Key Levels and Earnings Insights Ahead
We observe that the RSI is at about 58, thus chain is neither struggling badly from overbuying nor unbearably suffering from overselling. Buying power staying high for Nvidia would mean an upward step towards $143.64. This is the stock circle’s equivalent of a louder, bullish voice if it happens. This scenario or investors’ high expectations regarding Nvidia’s fourth quarter fiscal year 2025 earnings release.
Looking forward, we’re aware that Nvidia’s strength in AI is a driving factor, with intense demand for its Blackwell AI chips, which are reportedly fully booked for a year. If Nvidia’s earnings reflect continued growth in this area, it could provide an additional boost to the stock. However, we should remain mindful of potential profit-taking if the stock nears overbought levels in the RSI or if broader market conditions introduce volatility.
NVIDIA’s earnings report, expected to be out soon, as well as information on the company’s progress in AI technology, will probably give you the idea. In case of positive results, the momentum will drive the rally up.
Do not forget to place stop-loss levels so that you can manage the possibility of the downside in the event of the market being volatile.
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