Looking at the US stock market over the weekend is boring in the cryptocurrency circle. After reviewing last week's real client position report on Goldman Sachs Prime Brokerage, it was found that the US stock technology/AI market is close to being liquidated, and funds are waiting outside the market. Wednesday's financial report is crucial. Several conclusions 1 technology/AI=close to extreme washing in place The gross/net exposure of IT's Prime ledger was at a 5-year high of 23.4% and 26.3% six weeks ago Now it has dropped to 19.4%/14.7%. This is the 2nd percentile state for one year and the 4th percentile state for five years The liquidation is almost done . Hedge funds have sold technology for 6 out of the past 8 weeks, with the largest cumulative increase in a 10-year record and tied with the summer of 2024. The US stock market was basically hit by panic on Friday, and basically ran out of what should have been run. If we want to continue to decline, we need new fundamentals to deteriorate. (Wednesday Giant Financial Report) ----------- 2 overall deleveraging Gross leverage of 204.9% is approximately the 6th percentile of the past year. Net leverage 51.2% is the 11th percentile of the past year. Both of these are extremely low. This indicates that the past few weeks have been a comprehensive de risk. There is not much pressure left from forced selling, and a large amount of funds are on the sidelines. Currently, they have not entered the market (waiting for an entry catalyst, such as the giant's financial report on Wednesday) --------------- Last week, we rotated out of technology/defense, into finance, healthcare, energy, and industry Most net sold: IT, communication, consumer, public utilities Most net bought: finance, healthcare, energy, industry ---------------- The momentum chips are not cleaned thoroughly The momentum exposure of PB ledger dropped to the 65th percentile in one year, but remained at the 93rd percentile in five years. So a year's foam has been removed. But looking at the chips, they are still at a high level. So it can be considered as the later stage of the decline but does not move until the end of the decline. If the July financial report of the giant capex falls short of expectations, there is still a wave to smash. --------------- 5 funds are hedging against the decline, but there has not been a significant pricing collapse yet The market is betting on individual stock differentiation rather than a systemic collapse. --------------- Overall conclusion At present, low exposure, low leverage, and defensive rotation are in place If, for example, there is a catalyst for Google/Hyperscaler Capex next Wednesday So these recently withdrawn funds are rebound fuel .. But if capex crashes on Wednesday, there will still be more momentum chips to continue washing away and crashing ..