Market Trends - Retail investors continue to show strong interest in momentum stocks, with a pattern of net buying observed in the most active stocks on the platform, indicating ongoing capital inflow [2][7] - Key stocks attracting retail interest include Tesla, Nvidia, Micron, Oracle, and Broadcom, reflecting their strong performance and market relevance [3][4] Investor Behavior - The customer base of the platform is characterized by a mix of casual and semi-professional investors, with many employing sophisticated trading strategies [5] - Dip buying remains a popular strategy among investors, contributing to market stability, as evidenced by aggressive buying during market dips [6][8] Market Dynamics - Retail participation is now considered a significant factor in market dynamics, comparable to stock buybacks that supported equities in previous years [7][8] - The trend of momentum trading has led to a situation where institutions have adapted to retail trading behaviors, further influencing market trends [9] Trading Instruments - The triple-leveraged ETF TQQQ has become more active than its underlying index QQQ, indicating a growing preference for leveraged trading among investors [11] - Tesla remains a top trading stock, with its double-leveraged counterpart TSLL frequently appearing in the top 25, showcasing investor interest in leveraged positions [12]
Momentum stocks still in favor, says Interactive Brokers' Steve Sosnick