Premium Learn review: As August wraps up, what message do we take away from it?

August ended in consolidation and shock, although poor economic data and a slump in employment led to a recession in interest rate hike fervor, and U.S. stocks continued to move higher this week. However, it failed to reverse the downward momentum throughout the month, reflecting market concerns about continued central bank tightening and the economic outlook for major economies. In addition, the stock market also suffered a "black swan" impact in August when Fitch downgraded the U.S. sovereign credit rating.

There is an expectation of no more rate hikes in the short term, and it will take time even if the economic data worsens. If go this way, September is expected to remain strong on the upside. But if the employment data deteriorates quickly and other data also show a tightening economy. Then it is possible that U.S. stocks will quickly turn around and fall. There is still a lot of worry in the market.

For growth companies, new markets are undoubtedly growth drivers. For example, LULU's Q2 earnings report showed that international business was the main driver of sales growth. Sales outside of North America grew 52%, with China's revenue jumping 61%, accounting for 12% of total revenue, a much higher rate than the 30% growth in the same period last year.

Similarly after PDD released its earnings report that exceeded expectations, many institutions have also adjusted their ratings. The overseas platform TEMU under PDD, its scale of monthly activity in just a few months has already broken through 100 million, while the scale of monthly GMV is close to 1 billion U.S. dollars. All of these reflect PDD's high bussiness efficiency.

Moving average convergence divergence (MACD) is one of the most commonly used techincal analysis indicators. People have been using it for a long time.

The MACD indicator is composed of three components: the MACD line, signal line, and histogram. The MACD is a momentum-based trend-following indicator that uses an asset’s momentum to determine whether the trend is upward or downward. so people regular use MACD to identify potential opportunities in the market.

Three MACD signals:

1. Signal line crossovers: golden cross and dead cross, MACD line breaks through the signal line upward for the golden cross, down below for the dead cross

2. Zero crosses: upward breakthrough of the zero-axis for bullish, downward for bearish

3. Divergence: bottom divergence is bullish, top divergence is bearish.

Since the U.S. is facing a chronic housing shortage now, and new home construction can’t keep pace with population growth. So there is a long-term demand for home building.

Of course, cause the housing market is cyclical, consumer confidence levels, current economic conditions, and interest rates are all intertwined. Caution is needed in times of policy change.