Peripherals warming up, whole network unanimously bullish on a rebound, beware of high-open-low-close and reversal sharp drops.

[Like first, then watch—good luck is unstoppable! Family, give a little tap to your fortune—like and follow, and your stock account will hit new highs every day!]

Trading starts with maintaining a calm mind, then following the rhythm. Only by controlling market emotions can you meet your family’s expectations and keep your account in the green.

This sharp decline in the index is not a collapse, but a shakeout.
Shake out panic selling, wash out short-term follow-through traders, loosen the chips, and the next rally can be launched lightly.

But a shakeout doesn’t mean the bottom is immediately in. The true signals for heavy buying must meet three conditions at the same time:

  1. Volume in place: The market needs to hit around 2.8 trillion. This isn’t retail traders’ volume; it’s institutions + foreign capital buying with real money.

  2. Emotional breakdown: High-position stocks need to experience a second cold point, shaking out the last batch of holding funds, making the bottom solid.

  3. Thematic support: There must be a main theme capable of continuous explosive growth; rotation alone can’t sustain a reversal.

Challenges Facing the Power Sector

As a “crossing” main line, the power sector faces significant hurdles:

  1. High position: It has risen for nearly two months; further upward movement involves high capital costs.
  2. Vague positioning: Possibly a risk-averse, collective move; once the market warms up, funds may cash out easily.
  3. Negative feedback: Stocks within the sector have weakened, with mid-cap stocks falling further, potentially transmitting to the leaders.

So, the best strategy now isn’t to guess the bottom but to wait.
Wait for volume to reach the target, wait for emotional breakdown, wait for power to stabilize or new themes to take over.
When all three signals appear simultaneously, then strike hard again.

  1. Volume in place (~2.8 trillion)
  2. Emotional breakdown (second cold point)
  3. Power sector stabilizes (leaders stop falling further or new themes emerge)

Pre-market Strategy:

News reports a ceasefire, external markets are warming, and A50 is moving higher in sync. Today is likely to open high. But the market’s consistency during rebounds requires caution—beware of opening high and then falling back, or reversing to sell off.

Regarding holdings, Huadian Liaoning Power successfully broke through and advanced to 6 boards yesterday, with expectations of acceleration today.
In the sector, Yunnan Energy Investment, as the leading power stock in this wave, is a clear indicator. Today, it must not show negative feedback. If it can hold steady or even strengthen, the sector’s sentiment may continue; if it underperforms, beware of increasing sector divergence.

No rush, no greed, no premature exit.
Those who understand, please give a thumbs-up!!!

Disclaimer: The logic in this article is based solely on personal review and stock market diary, not any securities consultation or recommendation. The stocks involved are not specific recommendations; viewpoints are for reference only and not for trading decisions. Trade at your own risk. The market is risky; invest cautiously. Wishing you long-term success in stocks, may your likes bring wealth, and stay happy and motivated.

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