Buy more and more! American retail investors are still frantically buying dips

The more volatile the U.S. stock market is, the more crazy the retail investors are! U.S. retail investors now seem to be using the tech slump as a bargain hunter.

In an interview with CNBC on Wednesday, AJ Kahling, head of international education at U.S. brokerage TD Ameritrade, said the firm’s metrics showed that retail investors in U.S. stocks continued to buy when U.S. stocks fell. “What we’re seeing interesting is that tech stocks are still strong buys ,” such as TSMC, Adobe, Nvidia, Twitter, and others.

However, at this time the broader market is still sluggish.

As of the overnight U.S. stock market close, the tech-heavy Nasdaq Composite Index has fallen more than 27% so far this year, with the S&P 500 hitting a new low since March 25, 2021.

According to Kahling, investors appear to be interpreting the pullback in tech stocks as an opportunity to buy the dip.

It looks like these stocks are in a buying opportunity that hasn’t been seen in the past two years. If you missed the pullback period when the pandemic hit… now might be your chance.

The bulk of retail buying occurred around the end of April, not early April, Kahling said. He said retail investors were waiting for stocks to fall into support before jumping into dips.

I think customer behavior is sending a message – ‘Listen, these stocks are almost on sale’.

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