When the US stocks fell, individual investors saw buying opportunities.

According to the app of Wisdom Financial, in the first five trading days of August,$S&P 500 Index (.SPX.US)$it fell by about 5.9%,$Nasdaq Composite Index (.IXIC.US)$it fell nearly 8%, and $Dow Jones Industrial Average (.DJI.US)$ fell 5.1%.

This wave of decline occurred after the S&P 500 and the Nasdaq fell for two consecutive weeks. Although Wall Street seems to be worried about the future, individual investors remain steadfast.

According to the data released by Vanda Research on Wednesday, individual investors actively bought in the market chaos at the beginning of August, breaking the trend of relatively flat participation by individual investors in the second quarter, and showing a strong desire to buy low when stocks fall.

Vanda Research also pointed out that the second half of the year is usually a period of relatively flat activity for individual investors, which makes this buying behavior more noteworthy.

What are these individual traders buying? According to Vanda's data, individuals tend to buy individual stocks rather than ETFs, especially in technology stocks. This also coincides with the current trend of individual investors allocating more technology stocks in their portfolios.

In the past month, technology stocks have been hit hard, and the 'seven giants' have entered the adjustment range, with the Nasdaq index following closely. Therefore, the rebound in individual trading volume can better prove the existence of bid-buying on dips.$NVIDIA (NVDA.US)$And other semiconductor stocks benefited from individual investor buying.

At the same time, as one of the most favorite market-tracking ETFs for individuals, the trading activity of SPY is relatively flat. Although there has been a rebound in early August, individual net purchases of SPY are still far below the level of the past two years. $SPDR S&P 500 ETF (SPY.US)$ It is worth noting that the ETF that started to attract individual investor attention is Bonds. This may indicate that individual investors hope to lock in high bond yields by buying long-term government bonds before the Fed begins to cut interest rates.

ETF should be translated as etf. $iShares 20+ Year Treasury Bond ETF (TLT.US)$ This indicates that individual investors may want to lock in high bond yields by buying long-term government bonds before the Fed begins to cut interest rates.

Editor/Somer