Newbie Must Read: How to Formulate Investment Strategies When Nasdaq Turns Positive in 2025
1. The Key Node for Index Turnaround
The Nasdaq Composite Index turned positive on June 3 for the first time since February 21. Since then, the index has continued to rise steadily, closing at 19,662.48 points on June 12, with a year-to-date increase of 1.8%.
2. Three main driving factors behind it
Earnings season exceeds expectationsSeveral large technology companies reported first-quarter earnings that exceeded expectations, with both revenue and profit growth boosting confidence in the sector.
Monetary policy expectations shiftAfter the PPI data in May came in lower than expected, the Federal Reserve's "dovish" comments have increased, and the market generally expects there will be room for interest rate cuts before the end of the year.
Geopolitical risk mitigationGlobal trade frictions have eased, supply chain pressures have lessened, reducing the premium risk on tech stock valuations.
3. Three Major Personal Investment Strategies
Dollar-Cost AveragingDivide the planned investment amount into three to five parts, and buy in sequence at the current price, a 3%-5% pullback, and a 6%-8% pullback.
Focus on leading stocksSelect stable-performing, reasonably valued technology leaders such as Apple, Microsoft, and NVIDIA for key allocation.
Small position reaches new high for profit takingWhen a position rises more than 30%, it is recommended to sell 20% first to lock in profits.
4. How to Avoid Market Risks
Set Stop Loss LineSet a stop-loss point of 7%-10% for each investment to avoid greater losses by stopping losses in a timely manner.
Diversified Asset AllocationIn addition to the technology sector, it is advisable to appropriately allocate to consumer, defensive industries, and bond assets to reduce the risk of a single sector.
Keep learning and trackingRegularly pay attention to the Federal Reserve's decisions, earnings season, and major economic data, and adjust positions in a timely manner.
Newbie Must Read: How to Formulate Investment Strategies When Nasdaq Turns Positive in 2025
1. Key Nodes for Index Turnaround
2. The Three Major Driving Forces Behind It
3. Three Major Personal Investment Strategies
4. How to Avoid Market Risks
1. The Key Node for Index Turnaround
The Nasdaq Composite Index turned positive on June 3 for the first time since February 21. Since then, the index has continued to rise steadily, closing at 19,662.48 points on June 12, with a year-to-date increase of 1.8%.
2. Three main driving factors behind it
Earnings season exceeds expectationsSeveral large technology companies reported first-quarter earnings that exceeded expectations, with both revenue and profit growth boosting confidence in the sector.
Monetary policy expectations shiftAfter the PPI data in May came in lower than expected, the Federal Reserve's "dovish" comments have increased, and the market generally expects there will be room for interest rate cuts before the end of the year.
Geopolitical risk mitigationGlobal trade frictions have eased, supply chain pressures have lessened, reducing the premium risk on tech stock valuations.
3. Three Major Personal Investment Strategies
Dollar-Cost AveragingDivide the planned investment amount into three to five parts, and buy in sequence at the current price, a 3%-5% pullback, and a 6%-8% pullback.
Focus on leading stocksSelect stable-performing, reasonably valued technology leaders such as Apple, Microsoft, and NVIDIA for key allocation.
Small position reaches new high for profit takingWhen a position rises more than 30%, it is recommended to sell 20% first to lock in profits.
4. How to Avoid Market Risks
Set Stop Loss LineSet a stop-loss point of 7%-10% for each investment to avoid greater losses by stopping losses in a timely manner.
Diversified Asset AllocationIn addition to the technology sector, it is advisable to appropriately allocate to consumer, defensive industries, and bond assets to reduce the risk of a single sector.
Keep learning and trackingRegularly pay attention to the Federal Reserve's decisions, earnings season, and major economic data, and adjust positions in a timely manner.