Source: Wall Street
Author: bu Shuxin
Technology stocks remain strong buyers.
The more volatile US stocks are, the crazier retail investors are! Now American retail investors seem to be seeing the collapse of technology stocks as an opportunity to bottom out.
AJ Kahling, head of international education at TD Ameritrade, a US brokerage, said in an interview with CNBC on Wednesday that the company's indicators show that retail investors in US stocks continue to buy when US stocks fall. "the interesting phenomenon we see is thatTechnology stocks are still strong buyers.Such as Taiwan Semiconductor Manufacturing Co Ltd, Adobe Inc, NVIDIA Corp, Twitter and so on.
However, the market is still in the doldrums at this time.
By the overnight close of u.s. stocks, the technology-heavy Nasdaq composite index had fallen more than 27% so far this year, and the s & p 500 index hit its lowest level since march 25, 2021.
According to Kahling, investors seem to be interpreting the pullback in technology stocks as a bargain-hunting opportunity.
It looks like these stocks are in a buying opportunity that hasn't happened in the past two years. If you miss the pullback period during the outbreak. This could be an opportunity.
Kahling said most of the retail buying took place around the end of April, not in early April. Retail investors are waiting for the stock market to fall into support before jumping to the bottom, he says.
I think the client's behavior is sending a message-'listen, these stocks are almost on sale'.
Edit / Annie