Goldman Sachs(US:GS) Hua Er Jie Jian Wen·2025-08-20 08:54Group 1 - The core viewpoint is that despite recent significant sell-offs in momentum stocks, Goldman Sachs analysts believe that the current situation may be approaching a buying opportunity [1][2] - The Goldman Sachs high beta momentum stock index has dropped approximately 13% since its peak on August 11, with over 10% of this decline occurring in the last five days, nearing its technical support level [2][4] - Historical data indicates that when the high beta momentum stock index declines more than 10% in five days, there is an 80% probability of positive returns in the following week, with a median return of 4.5% within a week and 11.05% within a month [5] Group 2 - The recent sell-off initially appeared as a rebound of short positions, but the price movements this week indicate that long positions, particularly in AI-related sectors, have faced greater pressure [4][6] - Technical indicators such as regression lines, 200-day moving averages, and the Relative Strength Index (RSI) suggest that the current position may represent a good entry point, unless upcoming tech earnings trigger a more sustained sell-off in AI stocks [6] - The correlation between momentum stocks and AI sectors has increased recently, leading to significant pain across the composite sector during this sell-off [4]