This year, the market has shown a rather unusual signal—institutional investors have started to rush to buy the dip.

Data speaks: Every time the S&P 500 drops more than 1%, institutions rush in to buy. This year, they have purchased 60% of U.S. stocks. This is the first time since 2019 that the institutional share has exceeded the 50% threshold. Looking back over the past 18 years? Institutions have only done this in 5 years, and most of the time they are very steady.

Guess what, the retail investors are completely different here. Whenever the S&P 500 drops below -1% this year, retail investors have been buying the dip every week, maintaining a buy the dip ratio of over 50% for six consecutive years. Hedge funds? They haven't touched this number since 2019.

This is quite interesting – in the past, it was retail investors chasing highs and selling lows, getting trimmed like leeks, while institutions calmly observed and waited for the juicy opportunities. Now it seems the roles have reversed? Are the professional players on Wall Street starting to learn the tactics of the retail investors?

The market trend has changed, and the rules of the game are also changing. Who will laugh last? Let's keep watching.