Last night, US tech stocks and storage sectors rebounded, and investment sentiment in AI showed signs of recovery. However, I believe it's too early to conclude that the market has reversed. This week is the real key: Microsoft and Google will release their earnings reports on October 28th, while Amazon will release its report on October 29th, along with the Federal Reserve's interest rate decision. Going forward, the market will only need to verify one thing: With such massive investment in AI, can it actually translate into real revenue and profit? Tonight, focus on three stocks: NVDA (Nvidia) MSFT (Microsoft) GOOG (Google) I. Three possible scenarios tonight: 1️⃣ Tech stocks rise collectively: Nvidia, Microsoft, and Google all strengthen, and the Nasdaq continues to rise. This suggests that funds may be flowing back into tech stocks, but it could also just be pre-earnings speculation. Don't rush to chase the highs; observe whether the upward trend can be sustained. 2️⃣ The index rose, but tech stocks didn't. This indicates the market rise may be mainly driven by other sectors, while tech stocks themselves remain weak. Investors are unwilling to take on too much volatility risk before earnings reports, so there's no need to rush in. 3️⃣ Tech stocks opened higher but quickly fell. This indicates strong selling pressure after the opening, with investors possibly taking profits on the rebound. If the Nasdaq also weakens, be wary that this rebound is just a short-term correction, not a trend reversal. Two or three stocks, how would I consider them? NVDA (Nvidia) The fundamentals remain strong, but it's not suitable to blindly chase the highs in the short term. My target price: around $200. If it pulls back to this area and stabilizes, I'll consider entering the market based on market trends, rather than simply buying because it has fallen to my target price. MSFT (Microsoft) I prefer to observe it as a medium- to long-term investment. Target price range: $515-$500. Focus on Azure cloud business growth, AI commercialization, and the impact of capital expenditure on profit margins. Consider phased investment only if earnings and future guidance are positive. GOOG (Google) The trading volatility following this earnings report is worth noting, but betting before the report also carries risks. My target range: $320-$315. If you prefer to wait for a lower entry point, consider around $305. However, these are only planned price levels, not guaranteed support levels. Even if earnings exceed expectations, the stock price may fall due to overly high market expectations after the earnings release. III. Storage Sector: I will continue to monitor this sector. Besides the three major tech stocks, I will also be watching: MU Micron SNDK SanDisk AI requires not only GPUs but also significant amounts of storage and data infrastructure. If AI capital expenditure continues to grow, storage demand is expected to benefit. However, storage stocks are also cyclical. You can't just look at AI demand; you also need to observe supply and demand, prices, and corporate profit expectations. IV. Finally, let me explain my trading strategy. I won't rush to max out my position just because of last night's rebound. The key things to watch next are: ① The Federal Reserve's attitude towards future interest rates. ② The earnings reports and future guidance from Microsoft, Google, and Amazon. ③ Whether the Nasdaq, semiconductor, and storage sectors can move in tandem. ④ If tech stocks continue to correct, will there be signs of stabilization? Keeping cash on hand and waiting for better entry opportunities is more important than guessing market movements before earnings reports. If subsequent earnings reports prove that AI investment can bring sustained growth, then this correction may provide a buying opportunity. Conversely, if investment continues to increase but profits and cash flow don't keep up, the market may continue to decline. Hold onto your cash and wait for the bottom! OKX Experts - Trade TradeFi on OKX