Last weekend was the Dragon Boat Festival, and I specifically posted a thread. My concerns about this week were basically accurate.

1. 7500 retraced to a low of 7294.

2. June's monthly candlestick closed negative (as long as Monday and Tuesday don't exceed 7620, it will definitely be a negative candle).

If you noticed and left on Monday, then this week presented a very good bottom-fishing opportunity to make money.

Standing on this Sunday, talking about my feelings for next week and the second half of the year:

1. I'm bullish on US stocks in the long term, AI will definitely win. Any major drop is just a correction, the future will definitely get better and better.

2. Volatility in the second half will exceed June's. The broad market is unlikely to see the one-sided rally of April-June. After funds finish adjusting their positions next Monday and Tuesday, there's a possibility of a rise around the July 4th Independence Day holiday.

3. 7620 probably isn't the highest point for the second half, but the upside from 7620 is limited. The reason is the seven giants' capital expenditure is too high, they can't pull up the broad market.

4. Clear out the miscellaneous small stocks, clear out unprofitable companies. These past few months saw a broad rally, all sorts of weird stocks have surged. In the second half, these stocks could easily be halved. Unwind leverage, switch to regular shares, only keep about sixty to seventy thousand dollars worth of options on the seven giants.

5. Can't be all tech stocks, need to do some defense, like healthcare, insurance, banking, consumer staples, etc.

6. There might be a new high in the second half along with possibly a deep drop. Reasons: strengthening rate hike expectations, tech stock valuation compression, midterm election political turbulence. Back in 2022, I didn't believe the hype, initially it was just protective rate hikes, I didn't pay attention. Later, the stupid Fed raised rates multiple times in a short period, trapping me all at once. Daily crashes, couldn't bear to cut losses, got trapped deeper and deeper. Being careful is not wrong.

7. Let's talk about storage.

Most people who made money this year played storage and optical communication. If you didn't play, I don't believe you made a lot. This situation is very abnormal in US stock history. Judging from the recent spat between Apple and Micron, the conflict between the two is very deep. The giants are running out of money and will eventually slow down capital expenditure, if not this year then next. Even Microsoft is looking for cheaper models. Plus, ChangXin is set to enter the game in 2028, Chinese people are number one at stirring things up. So seize the opportunity to make money while these news haven't fully come out. Any unfavorable news released will cause an immediate correction because expectations are too high. After that, it will be volatile upward movement. Actually not suitable for newbies, especially those using leverage. The biggest characteristic of newbies is believing things only halfway, one negative candle changes their faith. Only a few steadfast ones can capture the full storage play in the second half.

8. Gradually concentrate positions in SPY, QQQ, keep cash, become conservative, have money to buy on big dips. Dumb person investing, safe and sound.