What immediate impact might this statement have on NVDA's stock price and trading volume?

Immediate market reaction

The headline frames Nvidia (NVDA) as the target of a high‑profile political demand – a “20 % cut” – while simultaneously dismissing its H2O product as “obsolete” and lauding the newer Blackwell chip. Even though the statement is largely rhetorical, the negative sentiment score (‑20) and the “obsolete” language will likely be interpreted by the market as a fresh head‑wind for the company. In the first few minutes after the story breaks, we can expect a downward pressure on the share price as short‑term traders and algorithmic models that scan for negative sentiment quickly flag the news. The move will be modest rather than catastrophic – the comment does not alter Nvidia’s earnings outlook or its core AI leadership – but it is enough to trigger a sell‑off that pushes the price a few‑percent lower on the day of release.

Trading‑volume dynamics and short‑term strategy

Because the comment comes from a former president and is tied to a high‑visibility sector (AI chips), it will generate a spike in trading volume as both retail participants and institutional desks rebalance exposure. The volume surge will be most pronounced on the first 15‑30 minutes, with a higher proportion of sell‑orders than buys, amplifying the price dip. Technicals will likely show a breach of the short‑term support band (e.g., the 1‑hour 20‑minute moving average) and a quick‑bounce off the 5‑minute VWAP, creating a brief oversold condition.

Actionable take‑away

• Short‑term: Anticipate a 2‑4 % pull‑back on the news day, with elevated volume. Tight‑stop‑loss orders around the broken short‑term support can protect against a deeper slide if the narrative escalates (e.g., regulatory scrutiny).
  
• Medium‑term: The fundamentals remain strong – Nvidia’s AI revenue pipeline and Blackwell’s market‑positioning are intact. If the dip creates a clear oversold candle (e.g., RSI < 30 on the 15‑minute chart), a cautious, opportunistic long entry could be considered after the price stabilises and re‑tests the prior support level.
  

Overall, the statement will generate a temporary, negative price impact and a volume surge, but the longer‑term trajectory of NVDA is unlikely to be materially altered unless the political pressure translates into concrete policy actions.