Bottom-fishing in progress, Futong Telecom still showing strength

Regarding the post-market bullish judgments made yesterday, most of them were correct. Yesterday was a day when oil prices finally settled, ending the recent expectations of an increase. The biggest positive news came from Trump, who officially announced the results of negotiations between the US and Iran and used strong communication. Such words caused global stock markets to rise immediately. The US stock market was similarly strong, with the strongest sector still being telecommunications, which is still represented by $Changfei Optical Fiber (sh601869). Today, it opened with a strong momentum. The entire market opened high, but it was a process of shrinking volume compared to here. The understanding here is interesting: after some back-and-forth declines, retail investors finally stop bottom-fishing, allowing the market to move upward. If tomorrow someone dares to chase the high, it could trigger another decline. If no one bottom-fishes today, the market will rise; if someone chases high tomorrow, it will lead to a decline—an unavoidable situation. Today was essentially two waves of decline, followed by a rebound after shaking out the weak hands. If you don’t bottom-fish below 3800 points, then enter at 3900 points—another trap machine. [Taogu Ba]

The subsequent direction is similar to last year’s 4.7-4.9, but last time it was a quick move, whereas this time it’s a continuous process. During this process, the index has recovered, the market hit new highs, but many stocks hit new lows. This is the risk at the bottom. If you can’t grasp logical targets, other directions are almost dead ends. There’s still a possibility of further squeezing. The timing might be tomorrow, and there should be no doubt here. The index has risen but money has not.

Every year after the Two Sessions, the market tends to decline, just a matter of timing. When the time comes, it naturally moves downward, and this timing is when major players rebalance and rotate stocks. The bottom has always been bloody, with almost deadly risks for non-mainline sectors. So don’t be too greedy; it’s better to operate with low positions.

Today, Changfei Optical Fiber returned again, supported by a strong backing—Hong Kong’s Changfei Optical Fiber. Since Hong Kong’s stock market is relatively market-oriented, it has higher reference value. So far, Changfei Optical Fiber has gained over 13%. I’ve explained the logic countless times; there’s little point in repeating. The guidance from the main A-shares market is very clear. So today, a limit-up in the main A-shares is normal.

This is the chart of Hong Kong’s Changfei Optical Fiber. Looking at it this way, yesterday’s doji star was very valuable, and the breakout is obvious. If we switch to weekly charts, the clarity becomes even more apparent. Perhaps there will still be upward attack power in the future.

Today’s power sector has continued to rise sharply. I’ve recently used a lot of words to describe the logic here. Huadian Liao Neng has already hit 7 consecutive boards today, and it’s time to act. Whether to buy in depends on the attitude of the village; if it’s locked in, then 7 boards is the ceiling. If not, there might still be opportunities for 8 or 9 boards. Let’s keep observing tomorrow. The military industry sector exceeded expectations today. It’s said that foreign arms procurement is very active, but the details are uncertain—if it’s Iran, it might be difficult; if the war ends soon, it’s meaningless. If it’s the Russia-Ukraine front, it’s uncertain when the money will arrive. So I’ll research this further tonight. But the sustainability seems weak.

That’s all for today. Please like, comment, and tip Cui Bo. Thanks to @Kongshan Bu Jian Xue@Tian Kong Fei De Di Ban@Jubao Pen 111@Kkkkkkkk8@Yu Fu Chao Qing Cai@Ting Mao for tipping and encouraging the broadcast. Thank you.

Keep going!