AI powerhouse NVIDIA (NASDAQ: NVDA) had an unconfirmed technical breakout yesterday, Fairlead Strategies technical analyst Katie Stockton highlighted.

Shares of NVDA surged 6.4% on Monday amid lower treasury yields, bullish analyst comments, news of a cheaper AI chip for China, and the start of CES in Las Vegas. They are up over 250% over the last year.

"Heavyweight NVDA decisively cleared key resistance near $504 yesterday in an unconfirmed breakout," the analyst commented. "The breakout resolves a four-month trading range higher in a bullish intermediate-term development, noting the weekly MACD has a new "buy" signal."

The analyst added that the breakout resumes the stock's long-term uptrend for an initial projection of ~$602, or 15% above Monday's closing price of $522.53.