In recent trading days, the market has shown obvious sector rotation characteristics, with several main lines particularly worth noting.

**Commercial Aerospace Becomes the Biggest Winner**

Commercial aerospace is undoubtedly the strongest sector recently. Yesterday was the day with the largest decline, and today it directly rebounded to lead the gains. What does this reversal reflect? The core is the continuous release of positive news. From rocket recovery, satellite antennas, aerospace bearings to aerospace materials, the entire industry chain is rising. Zhaosheng Technology has hit the limit-up for seven consecutive days, becoming the leader in this wave of market movement.

Interestingly, most of the limit-up stocks are concentrated in low-position补涨 (catch-up) stocks, mostly first boards. This indicates that funds are taking profits at high levels and leaving the market, shifting to rotation at lower levels. Stocks at high levels have already risen quite a bit, and now it’s the turn for those neglected to catch up. But this also means caution is needed—divergences have appeared within the sector. It is recommended to focus on low-level catch-up opportunities and avoid chasing high.

**Fujian Sector Rises on Momentum**

The rise of the Fujian sector has an interesting background: inflows of funds from the Hainan sector. After reaching a peak on Monday, the Hainan sector experienced some divergence, and funds began to withdraw. However, these funds did not exit the market entirely but shifted to stocks related to Fujian. Anji Food, Dongbai Group, and others continued to hit new highs, reflecting this fund rotation effect.

This switching of funds between sectors is a normal part of market operation—when a hot spot begins to diverge, smart funds look for the next high-low opportunity.

**AI Hardware and Index Resonance**

AI-related hardware continues to stay active. Segmented fields such as liquid cooling, optical modules, PCBs, and power supplies take turns rising. Notably, NVIDIA’s H200 is about to be sold in the market, providing continuous imagination space for the entire AI hardware industry chain.

Jitai Co., Ltd.’s liquid cooling thermal silicone oil, Huanxu Electronics’ expanded production of optical modules, Shengyi Technology’s AI servers… these are concrete manifestations of industry chain upgrades. Institutional funds are currently clustering around core stocks, maintaining this main line’s vitality.

**Signal of Semiconductor Follow-up Rise**

The price increase news of SMIC (Semiconductor Manufacturing International Corporation) stimulated the rise of related cleanroom stocks. Chuangyuan Technology and Shenghui Integration hit consecutive limit-ups, exemplifying the upgrade of the semiconductor industry. Guotou Zhonglu announced plans to acquire China Electronics Institute, further reinforcing this expectation.

**The Essence of Fund Flows**

Looking at the market performance over the past few days, the core logic is quite clear: rebounds of oversold stocks, rotation of low-level catch-up, and divergences at high levels. Yesterday’s leading decline turned into today’s leading rise. This seemingly contradictory phenomenon actually reflects the rollercoaster of market sentiment.

From Hainan to Fujian, from commercial aerospace to AI hardware, funds are switching between different sectors. Some are trending upward, others are rebound repairs. The key is to identify which are true trends and which are just emotional surges.

**Key Tips**

The premiums of consecutive limit-up stocks and stocks hitting the limit-up are at high levels, which usually indicates a top of market sentiment. Divergences are likely to appear tomorrow. The recommended strategy is to buy low rather than chase high, focusing on low-level catch-up opportunities and avoiding buying at high levels. Not chasing the index high and not chasing individual stocks high are basic principles for protecting gains.