Morning review ：
Dear friends, I’m Don Adam Perera, and I’m delighted to be here with you all in our community. Today, we will explore the retail sales data, often referred to as “the scary data,” and analyze the impact of this critical economic indicator on the stock market. By delving deeper into this data, we can gain a better understanding of the economic health and use this to assess the performance of the stocks in our investment portfolio, aiming for steady wealth growth.
1.How is the retail sales data, often called the “scary data,” and what is its impact on the stock market?
2.How are the three major indices performing in the stock market?
3.How should the stocks in our investment portfolio be optimized?
I will share content on these topics
In the investment world, policies and economic data are crucial bases for our decisions. These data act as a barometer for the stock market, revealing the real-time state and future trends of the economy. By deeply studying this economic data, we can better understand the health of the economy and use these insights to guide our investment strategies
Today, the retail sales data known as the “scary data” was released. It is a key economic indicator used to assess the retail industry and overall economic activity. This data, typically published monthly, reflects the total sales of goods and services, providing a comprehensive view of consumer spending. By analyzing this data, we can gain insights into consumer buying behaviors and spending power, which are crucial for evaluating the health of the economy
Today’s release of the August retail sales month-over-month data showed an increase of 0.1%, exceeding market expectations of -0.2%, and the previous value was revised from 1.00% to 1.1%. This data reflects that consumer spending continues to grow steadily, which is a positive signal for economic vitality
The impact on the stock market is clear. Growth in retail sales is often viewed as a direct indicator of economic health because it reflects consumer confidence and spending power. When retail sales perform better than expected, this typically has a positive effect on the stock market. In this context, we can anticipate a positive market response
Let’s continue to focus on the performance of the three major stock indices:
The Dow Jones Industrial Average continues to reach new historical highs, demonstrating the market’s strong momentum and sustained confidence in rising. This trend not only reflects the stability of the economic fundamentals but also provides solid support for our investment decisions
The NASDAQ has stabilized above the white trend line and is now challenging recent highs again. If it successfully breaks through the neckline of the “W” pattern, we have reason to anticipate that a new unilateral trend will unfold, providing new profit opportunities for community members seeking growth
After gathering sufficient momentum, the S&P 500 is also challenging its historical highs. This dynamic sends us a signal that the market may be on the verge of a new round of wealth surge, offering the potential for further appreciation in our investment portfolio
Based on our analysis of the current three major stock indices, the market is exhibiting a very healthy trend, offering a wealth of investment opportunities and positive market expectations. In such a market environment, we should continue to pay close attention and flexibly optimize our investment portfolio to seize every upcoming profit opportunity, thereby optimizing our path to wealth growth
Moreover, tomorrow the results of the Federal Reserve’s monetary policy meeting will be announced, with the market highly anticipating a possible rate cut decision. This event may trigger significant market volatility, presenting new challenges and opportunities. Given such a market environment, and to ensure that our investment portfolio continues to grow and adapt to market changes, we need to adopt the following strategies:
1.For those stocks that have already generated profits, we should consider reducing our positions in a timely manner to lock in some of the gains. This strategy not only protects our earnings but also frees up space to continue utilizing the remaining positions for further profit opportunities
2.We should continuously seek new high-quality stock opportunities and incorporate these potentially advantageous investments into our portfolio. This ongoing optimization and adjustment will help keep our portfolio dynamic, adapt to market fluctuations, and maximize the overall investment return
Now let’s focus on the performance of the stocks in our investment portfolio:
CMG stock is currently showing strong market performance, having reached near the yellow trend line and facing some pressure. This stock has already helped generate profits for our friends. Given the current market conditions and our risk management strategy, I recommend that we now fully sell off CMG stock to lock in our earnings
Please, those of you holding CMG, follow this operational strategy and execute the sell order promptly to ensure your investment gains are realized. Additionally, I want to once again congratulate those community members who built positions in CMG with us. Your choice has proven to be wise, and your wealth is steadily increasing
TSLA’s stock price is currently stably positioned above the white trend line, with the overall trend direction continuing upward, showing strong market momentum. We are monitoring its price behavior, especially its performance above the consolidation platform. Once TSLA successfully breaks through this platform, we have reason to believe a new round of unilateral trend movement will commence
Based on this market performance and trend analysis, we have decided to continue holding TSLA stock, waiting for further market action
Since stabilizing at a low point, AMD stock has begun a steady rebound process and is gradually moving to higher positions. Currently, it is hovering near the yellow trend line, accumulating market strength. Once it successfully breaks through this yellow trend line, we can anticipate a new round of rebound trends
From both a fundamental and technical perspective, AMD is showing very healthy performance. Given this positive market dynamic, we have decided to continue holding AMD stock and remain patient, waiting for the market to provide clearer profit opportunities
Although AVGO stock prices are currently experiencing some short-term fluctuations, this has not changed its overall upward rebound trend. Congratulations to those who have built positions in AVGO along with us; AVGO has already delivered a pleasing 10% return. Your wealth is steadily increasing
Last Thursday, given the stock price chart patterns and market volatility, we adopted a cautious strategy: we halved our positions to lock in some profits. For the remaining half of the positions, we will continue to hold and wait for potentially higher returns
Dear friends, the individual stocks in the above portfolio are opportunities identified by New World Asset Management through New World Quantitative 4.0. We believe that all members of the community have already experienced the powerful trend prediction and analysis capabilities of New World Quantitative 4.0. Its success rate has now reached an impressive 89%
Our research and development team at New World Asset Management is relentlessly working to continuously optimize and refine the data. We have reason to believe that the success rate of New World Quantitative 4.0 will approach 100%. Once perfected, New World Quantitative 4.0 will officially launch, becoming a rising star in the investment world. With its powerful trend prediction and analysis capabilities, we foresee that once it successfully launches, it will trigger an investment revolution, bringing unprecedented convenience and efficiency to the investment journeys of all investors
Once the community members achieve substantial profits, each success story will not only be a symbol of personal achievement but also a strong testament to the powerful trend prediction and analysis capabilities of New World Quantitative 4.0. I encourage everyone to actively share their success stories, using these vivid cases to further promote and publicize New World Asset Management.
Through everyone’s efforts, we can significantly enhance the visibility and market influence of New World Asset Management, attracting more users’ attention. This will not only help us accumulate valuable customer resources but also lay a solid foundation for expanding our asset base and ensuring continuous growth
Dear friends, the great vision I just shared requires the joint participation and relentless effort of each and every one of us to realize. In this process, every member of the community plays a crucial role. We are not just individual investors; we are a team, a team that faces challenges together and shares success together
I hope all members of the community will actively participate in our community activities, learning from each other and offering mutual support, as we work together to turn our dreams of financial freedom into reality. To achieve this great goal, continuous learning will be especially important
Later, I will continue to discuss with you the advanced techniques of using MACD. We will learn how to apply MACD more precisely in stock market trend analysis.
Please keep highly engaged and enthusiastic, help each other on the path of investment, grow together, and see you later
Closing commentary：
Dear friends, I’m Don Adam Perera, and I’m delighted to be with you all again in this community, enjoying this beautiful afternoon together. Here, we not only share optimistic market sentiments but also witness the realization of steady profits. With the results of tomorrow’s Federal Reserve monetary policy meeting about to be announced, we have even more opportunities to further optimize our investment portfolios and progress towards the goal of steady wealth growth
1.How is the current stock market performing, and how should we grasp it?
2.How is our investment portfolio currently performing?
3.How can we apply MACD more precisely in stock market trend analysis?
I will share content on these topics
Now, let’s focus on the performance of the three major stock indices: the Dow Jones Industrial Average and the Nasdaq Composite Index. Although they have experienced brief pullbacks after reaching historic highs, the overall trend direction has not changed. These indices continually setting new highs send a very positive signal to the market, indicating its health and strong momentum
The Nasdaq Composite Index is currently near the white trend line. We need to closely monitor whether this trend line can effectively provide support to maintain the current upward momentum. Once the support is confirmed to be effective, it is expected to drive a rebound in more individual stocks, creating more opportunities to profit
Currently, the performance of the three major stock indices indicates a healthy state of operation, which is a very positive signal for our investment portfolio. It’s worth noting that the Federal Reserve’s monetary policy meeting, which starts tomorrow, is a major event closely watched by global investors. The outcomes of this meeting will have a significant impact on the market and are likely to be a critical moment for the steady growth of our wealth
At this critical time, I hope every member of our community pays close attention to the progress of this event and adjusts their investment portfolios promptly based on the outcomes of the meeting. By continuously optimizing our investment strategies, we can better respond to market changes and achieve steady growth in our wealth
Now let’s focus on the stock performance within our investment portfolio:
The current market performance of TXN stock is mainly revolving around the yellow and white lines, showing a predominantly oscillating pattern. This indicates that while there is no clear upward or downward trend in the market at the moment, the overall trend direction remains healthy. Currently, we are waiting for the market to choose a clear direction in the short term
Given this market condition, we have decided to continue holding TXN stock and wait for tomorrow’s market performance to gain clearer investment signals
NEM, as a stock associated with the gold sector, continues to show an upward trend in its market performance. Although there has been some price pullback recently, it does not affect our expectations for its profitability. The current price pullback, in fact, presents a very ideal entry point, especially for those seeking investment opportunities in the gold sector
It’s particularly important for us to pay attention to the results of the Federal Reserve’s monetary policy meeting that will be announced tomorrow, as it can significantly impact gold and related stocks. If the Federal Reserve confirms a policy of interest rate cuts, historical experience suggests that this typically has a positive effect on gold prices. Stocks related to the gold concept, such as NEM, will also benefit, so we choose to continue holding NEM
Dear community friends, the current market focus is on the upcoming Federal Reserve monetary policy meeting, an event that will decisively influence the near-term direction of stock market trends. At this critical moment, all members of our community must adopt a cautious strategy, strictly control our positions to ensure we can maintain stability amidst market fluctuations. Therefore, I suggest that in your operations, continue to optimize the stocks in our investment portfolio to ensure steady profits
At the same time, I encourage everyone to continue learning new knowledge and skills. Through ongoing education, we can better understand market dynamics and identify and seize more investment opportunities
Now let’s begin today’s learning journey—how to apply MACD more precisely in stock market trend analysis
Yesterday, I focused on sharing with the community friends the basic concepts of MACD, its components, and its main buy and sell signals. I believe everyone in the community has now mastered how to use it. Today, we will continue exploring the world of MACD
Today, I will focus on sharing with you the MACD’s top divergence pattern
1.What is the top divergence pattern of MACD?
The MACD top divergence pattern is an important technical analysis signal that usually occurs during an uptrend in stock prices. It specifically forms when the stock price hits new highs, but the MACD indicator does not reach new highs concurrently. This divergence suggests that although the price appears to be rising strongly on the surface, the momentum behind the increase is actually weakening, signaling potential market softness
2.Characteristics of MACD top divergence: The price continues to reach new highs, but the MACD does not
3.The formation process of MACD top divergence is illustrated as follows: The trend chart of SHEL from April to May 2024
3.1 The first peak is Point A: During the price increase, the first peak forms at Point A. The MACD indicator moves in sync with the price trend, showing strong upward momentum in the market
3.2 After a price pullback, it rises again: After a short-term pullback, the price reaches a new high at Point B. However, the MACD indicator does not reach its previous peak, indicating a reduction in upward momentum. This is a warning signal that, although the price has reached a new high, the strength of the rise is not as great as before
3.3 Divergence confirmation: As the price continues to rise, but the MACD indicator shows a downward trend, as illustrated between points A1 and B1, the top divergence pattern forms. This divergence means that the support for the market’s rise is weakening, and the market may soon reverse into a downward trend
Dear friends, we have thoroughly discussed and learned about the MACD top divergence pattern, and I believe everyone has grasped it well. For those who have just joined our community, I recommend that you contact my assistant to receive today’s study notes and carefully read the content shared in our community every day. Through such learning and practice, your knowledge and trading skills will rapidly improve, laying a solid foundation for becoming experts in the field of investment
Additionally, I encourage everyone to take notes on the content shared in the community each day. This not only helps deepen understanding and retention but also allows you to accumulate points for the lottery. Once your points reach 100, you’ll be eligible to participate in our Friday draw. We’ve prepared a variety of exciting prizes and look forward to everyone’s active participation. This is a great opportunity to enhance your trading skills while also winning prizes you love. Let’s actively learn, actively participate, and continue to make progress on our investment journey, achieving wealth growth together
Today’s trivia questions:
1.What are the characteristics of MACD top divergence? (15 points)
2.What are the rules for participating in the weekly Friday raffle? (15 points)