Break-even Day 9

March 16, 2026, Monday. Today’s Profit and Loss: -441.92 (-1.33%) Total Profit and Loss: -7,193.34 (-23.98%)
I. Market Environment
Shanghai Composite Index: 4,084.79 (-0.26%)
Market Rhythm: The market opened slightly lower in the morning, then declined sharply, briefly oscillated, and continued to fall to the intraday low before slowly rebounding. In the afternoon, mysterious forces stepped in to support the market, boosting storage and major tech sectors, then continued to fluctuate, ultimately closing in the red.
II. Market Sentiment
Sentiment: Increasing divergence, chemicals and precious metals under pressure.
High-level tiers:
3rd board: Sanfangxiang, Farsight.
Sentiment Judgment:
Today’s 5-in-6, 4-in-5, 3-in-4 attempts all failed collectively. The success of Jinniu Chemical’s upgrade failed, which will lead to continued divergence in the chemical sector tomorrow.
III. Main Lines and Sectors
Today’s Capital Flows:
In the morning, influenced by quantitative funds, the chemical sector initially surged then quickly dropped, trapping buyers during the surge. In the afternoon, news from Huahong Semiconductor shifted funds toward storage chips and semiconductors.
IV. Core Stocks
Farsight, Sanfangxiang.
Focus: Farsight was active above the average price line today; monitor whether it can lead a recovery in the optical fiber sector.
V. Personal Trading Review
Today’s Profit and Loss: -441.92 (-1.33%) Total Profit and Loss: -7,193.34 (-23.98%)
Today’s Operations:

1. Yili Group profit-taking
   Noticed Yili’s 8-day consecutive rise, reduced positions at high levels to lock in profits. Closed with a profit of 154.57.
2. Hongbaoli Position Building
   Observed that Hongbaoli’s intraday average price surged then fell back, and the price did not break below the intraday average. Chose to build a position at the 13.06 average line. However, due to the exit of quantitative funds, the stock price dropped rapidly. After stabilizing, added more at 12.09.
   VI. Summary of Trading Issues Today
   Main Issue: Incorrect timing for building Hongbaoli’s position. Focused only on the price pulling back to the intraday average line, without realizing the entire chemical sector was weakening. It was not a sign of building upward momentum but a collective exit of profit-taking positions. Therefore, today was not a good entry point for Hongbaoli.
   VII. Trading Plan for Tomorrow
3. Hongbaoli: If it surges above 12.5, sell all. If it declines continuously, break below 11.77, reduce half the position.
4. China Western Electric: Reduce 200 shares at 18.3; if it reaches the cost line, sell all.
5. Tongding Interconnection: Reduce at 11.5.