Fasten Safety Belt! Us stocks are likely to have a bumpy ride this year.

After a year of hard work, Nasdaq has fallen back by half in the past three weeks.The Nasdaq rose 21.39% for the whole of last year, but has fallen more than 9% since the start of the new year, the worst performance in January since the global financial crisis hit global stock markets in 2008.

After Wednesday, u.s. stocks reversed again on Thursday, as the prospect of a blockbuster antitrust bill hit the tech giants. The Nasdaq 100 index and the Nasdaq 100 index, which were up more than 2% and 1% respectively in early trading, not only erased all gains, but also closed down more than 1%.

Such rapid downturns are rare-once in 2021, twice in 2019 and four in 2018. Only in 2020, the frequency was relatively high: nine times, when the COVID-19 epidemic broke out, and even Buffett said he was witnessing history every day.

On the market, technology stocks and semiconductor chip stocks have changed from rising to falling one after another. Among the leading technology stocks, except for Tesla, Inc., Apple Inc fell 1.03%, Amazon.Com Inc fell 2.96%, Netflix Inc fell 1.48%, Alphabet Inc-CL C fell 1.34%, Facebook fell 0.95%, and Microsoft Corp fell 0.57%. The Philadelphia semiconductor index has fallen more than 10% this week, which could be the biggest weekly decline since march 2020.

From buying on bargain to selling on high?

The sell-off in U. S. stocks continues and the market is becoming more and more anxious. According to market sentiment analyst Sentimentrader, in the week ended January 14,Short-selling ETF accounts for a record percentage of total trading volume on the New York Stock ExchangeThe average trading volume is about 20 per cent higher than the previous record.

In addition, from the perspective of emotional indicators, individual investors are suffering from a crisis of confidenceInvestors have become less enthusiastic about the market rebound and have become more pessimistic about almost every fall, even small fluctuations.

Frank Cappelleri, executive director and technical analyst at Instinet, said:

The market has shifted from buying on bargains to selling on highs. Many areas of the market still fail to meet the oversold conditions described by market technical analysts, which means there may be more selling.

Danny Kirsch, head of options at Cornerstone Macro LLC, said:

Investors used to worry about missing opportunities, but now they are worried about their positions. They are taking advantage of all the rebound to reduce their positions rather than build them.

Technology stocks have been routed one after another, which are expected to rebound?

Although the performance of technology stocks is relatively weak, there is no shortage of analysts who remain optimistic. Interest rates on US debt soared at the start of the year as usual in 2021, when technology stocks plummeted, and then hit record highs as interest rates fell.

In fact, the Fed has experienced four different cycles of raising interest rates over the past 30 years. Historically, according to Strategas Securities,After the real increase in interest rates, the overall increase in the technology sector will be the highest of all sectors.Three months after the rate hike, the overall decline in the technology sector was not big, falling only 1.9%. Even before and after that, the technology sector achieved nearly double-digit gains, the highest of all sectors.

At present,Most stocks in the Nasdaq 100 index are down 10% or more from their highest closing price in the past 52 weeks, and the price-to-earnings ratio is also below the five-year average.Among these pullbacks are tech giants such as Alphabet Inc-CL C, Meta and Amazon.Com Inc, who are still highly expected by Wall Street analysts, according to FactSet.

Joseph Biondo, CEO of Biondo Investment Advisors, said:

It is not unusual for growth stocks to sell when interest rates rise. This year's stock market is likely to be divided into two stages.In the first half of the year, we may see a continued revaluation of growth stocks, which will create huge buying opportunities in the second half of the year and after the dust settles.

Us stocks get off to a turbulent start to the New year, should they be "greedy" or "fearful"?

Technology stocks routed one after another, who could be mistakenly killed?

Which sectors or stocks do you think have investment opportunities in the interest rate hike cycle?

Is the next U. S. stock squat after the take-off or continue to explore?

How will the market tonight be interpreted?

Niu friends, let's talk about your opinion.