US stocks have once again completed a deep V-shaped recovery. Every time the market technically breaks down, the success rate of bottom-fishing is very high.

The market is slowly shifting from being dominated by oil prices to focusing on earnings reports and economic data.

My account has been slightly in the red these past two days. Profits are less than 4% year-to-date.

During this big drop, I didn't do much bottom-fishing, only bought a small portion.

There are two reasons

The first is that I had built up a relatively large position earlier, leaving little remaining buying power.

The second is the concern that this drop hasn't reached its bottom yet. I plan to buy more if it falls below 6000. If it falls further, I can only inject more capital or use margin financing.

Currently, the gains in my portfolio aren't significant, mainly because some heavily weighted holdings haven't caught up with this V-shaped rally. Let's see if there's a chance for a catch-up later.

For earnings season, I remain optimistic about semiconductors.

For the earnings of the "Magnificent Seven," besides the usual revenue and EPS, the most important things are still the monetization of AI investments and the situation regarding capex spending.

This year, sector divergence has been quite severe.

Everyone should try to look more at strong sectors. For very long-term investments, just buy and hold.

Chips, storage, precious metals, optics, power grid, and oil & gas sectors are also worth considering buying a bit. (MRVL and Intel within the chip sector have really performed well.)

Be cautious with the software sector. Trading rebounds is fine, but I personally wouldn't take large positions. Company A is truly a big short in the software sector.

Try to buy quality stocks within them. Of course, chasing highs still requires caution; you can wait for a pullback.

Now the market has broken out upwards, and the outlook is much more optimistic. However, there will still be many opportunities for big drops this year, with it being a midterm election year and increasing geopolitical tensions.

Recently, taking advantage of this rally, I sold some Amazon options and Google options to free up some cash.

The US-Iran negotiations won't reach an agreement that quickly either. Let's take it slow.

Also, there are still significant issues with some recent trades. I'll use AI to do a deep review. There's really a lot to learn about investing.

Finally, I wish everyone lots of profits! Stay happy!

$NVIDIA(NVDA.US)