Most of the time, I tend to fo

Most of the time, I tend to follow the Major Trend simply because the heavyweight tide will reach to the desired peak. Occasionally bet on potential underdogs for the risk-reward it carries.

Follow $BABA Trend or Bet on an Meituan's Underdog Comeback?

This Wednesday, $MEITUAN-W(03690)$ released its latest earnings report. Profit pressure led to a sharp plunge in its stock price. Just one day later, $Alibaba(BABA)$ reported earnings and jumped 12%. At the earnings call, Meituan CEO Wang Xing said: “In a big competition, being the underdog is the most exciting position to be in. That’s why this is so thrilling.” Will you bet on the underdog or ride the surge? Why underdog? The popular one may have fewer upside potential. Risk-reward ratio may be low. Why the major trend? At least you won’t lose money on Nvidia.

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