Morning review：
Dear friends, I am Don Adam Perera, and I am very pleased to be with you all again in our community. Today, we will focus together on the trajectories of the stock market, identify the main directions of the market, and continue to optimize our investment portfolios. At the same time, we will also closely monitor the upcoming earnings report from NVDA to assess its potential impact on the overall investment market.
Today’s events to watch:
1.Russia has carried out large-scale strikes on Ukraine for two consecutive days, with Russian media even describing “Black Monday” as just the beginning. This event has once again highlighted the instability of the international situation, introducing more uncertainties, which may further enhance the market’s risk-averse sentiment. In such circumstances, the demand for safe-haven assets may continue to increase. Traditionally, during unstable periods, gold as the preferred safe-haven asset usually sees an increase in value and demand. Therefore, the gold sector may present more investment opportunities.
2.The Consumer Confidence Index for August has risen to 103.3, up 1.4 points from 101.9 in July, marking the highest value in the past six months. This data is higher than the general market expectations and indicates that consumers have increased confidence in the overall economy going forward.
However, it is worth noting that despite the overall upward trend in consumer confidence, concerns about the labor market are intensifying. This complex sentiment reflects the market’s uncertainty about the future economic direction, which may lead to continued fluctuating market conditions.
3.Fed Chairman Powell recently made clear that it is now time for the Fed to cut interest rates. The specific timing and pace of the rate cuts will depend on upcoming data releases, the changing economic outlook, and the balance of risks. This statement clarifies the certainty of the rate cut policy. Although the exact extent of the rate cuts is not yet clear, this news will undoubtedly have a positive impact on the overall market sentiment.
From a macroeconomic perspective, the establishment of this rate cut is expected to have a positive impact on the overall market, likely boosting market sentiment and bolstering investor confidence. For individual stocks, this typically means favorable news, especially for those industries and companies sensitive to interest rates. We can anticipate that the market may show more positive dynamics driven by the expectation of this policy.
4.NVDA will release its second-quarter earnings report after the market closes. Investors are closely waiting for this key performance announcement. While the current market sentiment towards NVDA’s performance is positive, anticipating a strong showing, as cautious investors, we must also consider potential market risks.
Therefore, I recommend that in order to avoid unnecessary risks, investment positions should be appropriately controlled. Specifically, it is advised that NVDA’s position be kept within 10% of the total investment. Such a position arrangement allows us to capitalize on potential positive growth opportunities due to the earnings announcement, while effectively preventing significant losses if the performance falls short of expectations.
Now let’s review the current performance of the stocks in our investment portfolio: NVDA’s stock price has successfully broken through the trend line, and its center of gravity has gradually shifted upwards, indicating that its trend direction continues to have upward momentum. At this stage, we should maintain control of our positions and patiently wait for the detailed contents of the second quarter earnings report to be released after today’s close, to make further strategic adjustments.
For TSLA, its overall trend is upward. In such an upward trend, price pullbacks often provide us with the best opportunity to buy again. We should continue to closely monitor the yellow trend line below, which is a strong support position and may offer us a good entry point.
NEM’s performance shows that it is still in an upward trend. Given the current instability in international situations, risk-averse sentiment may further increase, which would have a positive impact on the gold sector.
MSTR, as a cryptocurrency-related stock, is currently displaying a converging triangle pattern. Although there has been a brief price pullback, it does not affect our positive outlook on the future rebound opportunities for cryptocurrencies. We should continue to monitor its trend line trajectory to determine the best timing for operations.
The above four charts are key points I’ve recently discussed in the community about “how to engage in trading during stock trend movements, including upward trends, downward trends, and fluctuating trends.” Understanding these contents is crucial for grasping market dynamics and their impact on investment decisions.
Fundamentals are the underlying logic for stock price fluctuations, covering aspects such as a company’s financial condition, industry status, market environment, and macroeconomic conditions. Technical analysis, on the other hand, provides a visual representation of a stock’s price trajectory. Through technical analysis, we can observe the historical trends of stock prices and potential future patterns.
Following the fundamentals to understand the logic behind stock movements, and using the forms presented by technical analysis to find the best buying and selling points, will be the key knowledge points I’ll focus on sharing with friends this week. Therefore, I strongly recommend that all friends pay close attention to the shares in our community to ensure timely access to the latest content and analysis.
You can visit our official website: /
In the website, there is an introduction of New World Asset Management and a detailed record of the stocks we have shared.
New World Asset Management is an institution focused on quantitative financial investment. We bring together 30 top investment experts and analysts, each with 30 years of professional investment experience. They possess a broad global perspective, monitor market dynamics in real-time, conduct in-depth data analysis, and develop professional investment strategies and asset allocation plans, safeguarding the wealth growth and financial health of a wide range of investors.
Moreover, New World Asset Management also has its own patented investment tool—New World Quantitative 4.0. It consists of the “Trading Signal Decision System,” “Artificial Intelligence Programmed Trading System,” “Investment Strategy Decision System,” and “Expert and Investment Advisor System.” It covers multiple areas including stocks, forex, bonds, options, gold, and cryptocurrencies, with a current success rate of 89%.
Dear friends, in our daily shares, I will include information on the workings and usage of New World Quantitative 4.0. I hope that through these shares, each of you can deeply understand and experience the powerful capabilities of New World Quantitative 4.0: it not only simplifies our investment process but also makes our journey to wealth growth smoother and our lives happier.
To better manage and track our investment results, I recommend that everyone send the positions where you have initiated holdings of individual stocks, as well as the entry points of stocks shared in our community, to my assistant for compilation. Please rest assured, I will follow through with every stock that has been shared in our community.
Later, I will delve into a very critical topic with you all: “How to identify key patterns to find the best buying points in the stock movement.” Understanding and applying these key patterns can help us more precisely seize market opportunities and optimize our investment decisions. See you later.
Closing commentary：
Dear friends,I am Don Adam Perera. I am very pleased to be with all of you in this community today to spend a special afternoon together. Today, we will explore the impact of financial reports on the stock market, understand market dynamics, discover potential investment opportunities, and pave the way for our wealth growth.
1.What are the reasons for today’s stock market decline?
2.How did the financial report data from NVDA impact the stock market?
3.In the process of stock market operations, how do we identify and capture key trend patterns?
I will share the above content.
Today, we will first review an important point: how to use the VIX index to assess the daily changes in investor market sentiment.
From the 15-minute VIX index chart we observe, it is clear that the VIX index is showing a pattern of oscillating rebounds, indicating that market investors are in a state of panic. As we know, the VIX index typically has an inverse relationship with stock indices, so today’s stock index performance is showing a pullback.
Now, let’s discuss the reasons for today’s stock index pullback:
1.Warren Buffett’s recent sale of $980 million worth of American bank stocks has sent a more cautious signal to the market. This move reminds us that even seasoned investors are constantly monitoring potential market risks, and we should also stay vigilant and guard against possible market fluctuations.
2.The short-selling firm Hindenburg recently targeted SMCI with a short report. After the report was released, SMCI announced it would delay its earnings report, which immediately caused a significant pullback in SMCI’s stock price and had a negative impact on the entire tech sector, leading to a broad decline in tech stocks overall.
Today, the market experienced a noticeable decline, particularly with a significant pullback in the tech sector, which has fueled a spread of panic among market investors. In such a market environment, some investors may feel uneasy.
In the face of today’s stock market pullback, do you also feel panic? Have you, due to the market’s sharp fluctuations, followed some less confident investors and made panic-driven sell-off decisions?
In the face of the current stock market, I am reminded of Warren Buffett’s famous quote: “Be fearful when others are greedy, and greedy when others are fearful. Market opportunities are created during declines, while risks are created during advances.”
During a significant stock market pullback, I actually did not panic excessively. Instead of following the crowd and selling during market panic, I prefer to choose patience and wait. Although the market may experience a brief decline, it does not shake my confidence in holding onto stocks firmly.
Short-term market pullbacks do not necessarily signify a change in the long-term trend:
1.In my view, when the market experiences a rapid decline, it is often followed by a sharp rebound. Such severe downturns can lead to some stocks being “wrongly punished,” and these stocks may have significant rebound opportunities later on.
2.I believe that our community members have all experienced the market’s ups and downs. In the face of short-term market pullbacks, we will not be shaken from our firm confidence. We have our own trading plans and strategies, which allow us to remain calm in the midst of turbulence.
3.The overall investment environment remains favorable, with Federal Reserve Chairman Powell having signaled a strong possibility of rate cuts. Once the rate cut policy is actually implemented, it will have a positive impact on global markets, bringing more opportunities for our investments.
Now, let’s focus on NVDA’s financial report:
For Q2 of fiscal year 2025, NVDA reported revenue of $30 billion, a 15% increase from the first quarter and a 122% increase from the same period last year.
NVDA’s data center revenue for Q2 of fiscal year 2025 was $26.3 billion, reaching a historic high, with a 16% increase from the first quarter and a 154% increase from the same period last year.
From a fundamental perspective, the overall performance is solid. Although there was a brief pullback in price, it does not affect our outlook on its future trend direction.
As a global leader in the artificial intelligence boom, NVDA’s performance in the second quarter will serve as an important benchmark for market investors to assess the health and future potential of the AI industry.
Based on the current performance disclosed by NVDA, the profitability and future potential of artificial intelligence are still very substantial. This shows that the power of technology will continue to be a driving force for the sustained rise of the stock market.
We should pay special attention to the performance this Thursday and Friday, particularly since the PCE data will be released on Friday, which could determine the extent and pace of the Fed’s rate cuts. Therefore, in our investment portfolio, we will choose to continue holding our stocks while waiting for the PCE data to be released.
The remaining time is our golden period for sharing methods and techniques. Mastering these will be a crucial step for everyone to become mature investors and reach the hall of fame level in the investment world.
Today, I will focus on sharing methods for “selecting buy and sell points based on stock market trend patterns.” In the state of stock market trend movements, there are many typical patterns, such as the W pattern, flag consolidation, converging triangle, triple bottom/triple top, rounded bottom/rounded top, head and shoulders bottom/head and shoulders top, and cup with handle. By making precise judgments on these typical patterns, we can more effectively find buy and sell points, thereby achieving stable profits.
The above content will be provided in our daily community shares. Please make sure all friends take good notes and grasp these valuable investment techniques in a timely manner.
Today, I’ll focus on sharing the “W pattern” with friends.
The “W pattern” is a common reversal pattern in stock technical analysis, often referred to as the “double bottom.” It is a bullish reversal pattern that emerges after a period of price decline, suggesting that the market may shift from a downtrend to an uptrend.
From the chart, it’s clear to see that the W pattern has three key positions:
1.Two low points: Point A and Point B.
2.The middle high point: Point C, also known as the neckline.
3.The breakout point: Point C1, which is a critical threshold and marks the beginning of a new unilateral trend movement.
Let me explain to friends the basic principle behind the formation of the W pattern: The essence of stock market price movements is the flow of capital.
1.From D to A segment: Investors rush to sell their holdings, and after the controlling sell-off ends, the price reaches point A, showing brief signs of stopping the decline. At this point, some aggressive investors begin to gradually test the market, and capital starts to flow in.
2.From A to C segment: Aggressive investors gradually increase their positions, lifting the price, and the profits for these investors also gradually increase.
3.From C to B segment: As the price is pushed up, it fails multiple times to reach new highs, encountering strong resistance. Investors who have made profits begin to sell off gradually, leading to a gradual pullback in price.
4.From B to C1 segment: After the price gradually falls to point B and does not continue to make new lows, clear signs of stopping the decline appear. Then, aggressive investors start buying again, capital flows in, and the price continues to rise to point C1.
5.Points C and C1 are critical junctures that often represent a choice in market direction. Especially at point C1, investors face the decision of whether to sell for a profit or continue holding; this position serves as a psychological defense for all investors.
6.Once the price breaks through point C1, it signifies that the market’s psychological defenses have been breached. The enthusiasm and confidence of both aggressive and conservative investors are reinforced, leading to a large influx of capital that continues to drive the price upward.
Dear friends, have you all learned the content shared above? This is the key method for selecting buy and sell points in stock trend patterns. Mastering these patterns will help us more accurately judge the timing of buying and selling in the stock market, maximizing our investment returns.
That’s all for today’s share. I hope the daily content is helpful to everyone. Tomorrow, we will continue to focus on the stock market performance in the community, optimize our investment portfolios, and I look forward to meeting all friends in the community to discuss the impact of tomorrow’s economic data. See you tomorrow.