Yingda's earnings report is imminent, Meituan falls to the point of adding positions.

The U.S. stock market experienced significant volatility again yesterday, with the Nasdaq Index dropping nearly 2% around 11 a.m., intensifying market panic. However, it rebounded later, led by NVIDIA, and closed down only 0.67%.

Ahead of the central bank meeting on Friday, the market is expected to remain volatile, awaiting the news. As previously mentioned, NVIDIA, as the bellwether of tech stocks, plays a crucial role. Yesterday, its stock price formed a deep V-shape and rose above the 30-day moving average, indicating strong investor confidence in the AI sector.

NVIDIA's earnings report on August 27 is particularly critical: if the results exceed expectations, the bull market in U.S. tech stocks may continue; if they fall short, tech stocks could face pressure. Based on multiple factors, the likelihood of exceeding expectations is high, and NVIDIA is expected to drive further strength in tech stocks.

1. From the demand side, the global AI arms race remains intense. Tech giants (Microsoft, Google, Meta, etc.) continue to increase investments in AI infrastructure, and the deployment of generative AI applications is accelerating, with demand for high-performance GPUs not yet peaking. As the core supplier of AI chips, NVIDIA's backlog of orders and production ramp-up can sustain its high revenue and profit growth.

2. From a competitive standpoint, NVIDIA's technological monopoly is hard to challenge in the short term. Its GPU chips and CUDA software ecosystem are deeply integrated, making it costly for customers to switch. Even as competitors like AMD and Intel catch up, they are unlikely to divert core orders soon, ensuring NVIDIA's high gross margin (around 75%) and pricing power.

3. From an industry perspective, NVIDIA, as the "bellwether" of tech stocks, directly impacts market confidence in the AI supply chain. If its earnings exceed expectations, it will not only confirm sustained demand for AI computing power but also boost sentiment across upstream and downstream sectors like chip design, data centers, and AI applications, lifting risk appetite for the entire tech sector.

For trading, consider light positions in the short term and add if earnings exceed expectations. For long-term holdings, the $170-$180 range is suitable; ignore short-term fluctuations and wait for further capacity expansion. The stock has strong fundamentals; the question is whether the earnings report can sustain the rally.

Now, let’s look at the Hong Kong market.

$Hang Seng Index(00HSI.HK): The index has been fluctuating around the 25,000 support level, with two failed attempts to break below. After a low-volume test today, it dipped in the afternoon but recovered slightly, still closing lower. This level is critical: a break could lead to weakness, while holding may result in a gap-up tomorrow. Expect a range of 25,000-25,450. The trend aligns with earlier predictions—a healthy slow bull market after filling the gap, shaking out weak hands. Yesterday, we advised closing shorts; with no suitable targets this week, wait patiently for action above 25,000.

$MEITUAN(03690.HK): Today reached the add point; positions can also be built at the close. Existing holders can average down. The food delivery and local services sector faces short-term headwinds from weak sentiment, but heavy selling may reflect earnings positioning. Long-term logic remains intact; dips are buying opportunities. Use 115.8 as a stop-loss and continue adding.

$NVIDIA(NVDA.US) $Invesco QQQ Trust(QQQ.US) $HSTECH ETF(03032.HK)