Choose First Division or Continue Divergence Entry Game? (2026.03.25 Review)

Data Review: [Taogu Ba]
Today’s Shanghai Composite Index +1.30%, ChiNext Index +2.01%, STAR Market 50 Index +1.91%, total market turnover 21,798 billion, 4,874 stocks rose, 560 stocks fell, market-wide turnover increased by 970 billion compared to yesterday.

Overall Market Sentiment: Broad rally
Number of limit-up stocks: 84 (yesterday: 83)
Number of stocks hitting 20cm limit-up: 5 (yesterday: 5)
Number of consecutive limit-up stocks: 6 (yesterday: 6)
Number of limit-down stocks: 1 (yesterday: 1)
Today’s break rate: 14.3% (yesterday: 21.7%)
Today’s first-limit success rate: 24.6% (yesterday: 17.4%)

Today’s Major Break Stocks
Taihao Technology -15, Computing Power Power Supply
Green Power -14, Electric Power
Before 9:45 AM opening, the quick recovery of major break stocks from the previous day is an auxiliary signal for sector recovery.

Today’s High Volume Surprising Stocks in Auction
None

Global Continuous Limit-Up Summary:
8-limit: Huadian Liaoning Energy (Electric Power)
4-limit: Zhongli Group (Photovoltaic Storage)
3-limit: Liaoning Energy (Electric Power, Coal), Zhejiang New Energy (Electric Power)

I. Sentiment Cycle and Key Node Analysis:
Limit-up stocks are stable in mid-to-high range, large increase in consecutive limit-up stocks at high levels, break rate decreasing, limit-down stocks stable at low levels, total limit-up trading amount/market total ratio at 0.38, median range. The most notable change compared to yesterday is the significant increase in the number of consecutive limit-up stocks, indicating further market sentiment repair. Currently, the market is in a chaotic oscillation and trial phase.

Sentiment Temperature: Moderate optimism at 60

Tomorrow’s Short-term Market Sentiment Anchored Stocks:
HuaDian Energy, HuaDian Liaoning, YuNeng Holdings
Before 9:45 AM, the positive/negative feedback and extreme sentiment anchoring of these stocks serve as market short-term bullish/bearish signals.

Recent Strong Sectors, Daily Top Sector, and Notable Stocks:

Recent Sector Effect Timeline:

II. Capital Flow Analysis:

Loss Effect -
No obvious loss effect in sectors; some scattered in oil, gas, lithium batteries, etc.
Position and structure show no clear loss effect; scattered across different structures.

Profit Effect -
Concentrated mainly in electric power, AI hardware, domestic computing power sectors, representing capital chasing and rebound from oversold conditions.
Position and structure are scattered across different structures, represented by Huadian Liaoning, Huadian Energy, Hang Electric, Aoruite, etc.

Capital Flow Summary:
Some funds continue to target AI and electric power sectors, while others pursue oversold rebounds in tech lines. Overall, similar to yesterday’s pattern, aside from AI electric power sector’s capital chasing, the tech rebound’s continuation is uncertain. As indices oscillate and adjust, these two may compete, so observe which side the capital favors.

III. Sector Analysis:
Today’s sectors or concepts showing a healthy trend include: Electric Power / Optical Communications
These sectors or concepts represent recent profit effects and high recent capital involvement, serving as reference directions for ultra-short-term stock selection.

AI Electric Power (Electric Power, Computing Power Collaboration) -
In the fifth trend cycle stage.
Stage 1 led by China Western Electric, followed by Sanbian Technology, Baobian Electric, etc.
Stage 2 led by China Western Electric, Dongfang Electric, followed by Baobian Electric, Tebian Electric, etc.
Stage 3 led by China Energy Construction, GCL Energy Science, Jinkai New Energy, Han Cable, alternating leadership.
Stage 4 led by Shunna Shares, Jinkai New Energy, Huadian Energy, alternating leadership.
Stage 5 led by Huadian Liaoning, with rotation among others.

Core high positions: YuNeng Holdings. With the realization of dual-head structure expectations, future outlook is uncertain; as long as there’s no extreme negative feedback or limit-down, it remains manageable.

Recently high-position core: Jinkai New Energy, Huadian Energy, alternating upward movement, with GCL Energy Science in range adjustment, overall daily trend favors Huadian Energy.

Limit-up position: Huadian Liaoning, continuing acceleration after monitoring, now a “monster stock,” unlikely to end even if it breaks the limit.

Mid-position core: Energy-saving Wind Power, ShaoNeng Shares, Dongfang New Energy, Zhejiang New Energy, with rebound and weak-strong transitions, platform consolidation, and different break structures, all viewed as catch-up plays.

AI Electric Power Pathway Today:
Auction phase saw Hunan Development, New Energy Taishan, Liaoning Energy hitting single limit-up unexpectedly; Lianhua Electric Liaoning opened high, leading yesterday; Jinkai New Energy opened high, showing rebound sentiment; ShaoNeng Shares opened high with rebound. Overall, auction signals continued attack.

Post-open, ShaoNeng Shares quickly hit limit-up with a 2-limit rebound; Lianhua Electric Liaoning accelerated; Jinkai New Energy, the core leader, oscillated; Huadian Energy, weaker in auction, again moved up; Guangdong Electric Power, Zhongmin Energy, Energy-saving Wind Power oscillated and hit limit-up, showing high-low rotation and partial groupings.

During the session, Huadian New Energy, Jiangsu New Energy, Green Power, Dongfang New Energy followed strength, with the entire AI electric power sector oscillating and attempting to break out. Around 14:00, some profit-taking occurred, with YuNeng Holdings plunging, Green Power and Huadian New Energy retreating.

Notable signals today:

1. YuNeng Holdings’ double-head structure then dropping suggests sector end? It’s not as important as imagined; in current decentralized market, high-position core stocks no longer strongly determine sector fate. The previous wave’s YuNeng drop still shows active funds; a limit-down would indicate major divergence, not sector end.
2. Jinkai New Energy and Huadian Energy switching positions—yesterday’s strength doesn’t guarantee today’s; low opens don’t mean weakness intra-day. Watch for intra-day or next-day strength signals. Sector rotation remains highly random; the best approach is low buy-in and rolling T+ strategies.
3. Among recent high-position cores, Huadian Liaoning and Huadian Energy show the strongest, with small-cap stocks like Shunna Shares, Han Cable, GCL Energy Science gradually phased out. Jinkai New Energy tends to oscillate sideways. This wave’s AI electric power differs from mid-to-long-term themes, with capital favoring small-cap sentiment play.
4. Currently, AI electric power resembles the second wave of commercial space, where the strongest aren’t the high-position old core aerospace stocks but mid-tier ones like China Satellite, China Satcom, Goldwind. Similar to ShaoNeng Shares, Zhejiang New Energy, Energy-saving Wind Power, which continue to extend or weakly turn strong with consecutive limit-ups, boosting mid-tier stocks’ premiums.

Despite the high-level oscillation, partial groupings, and alternating high-low rotations, as long as there’s no extreme negative feedback, the trend remains upward. The most obvious sign is the sector index’s second wave volume breakout indicating a healthy trend.

Tomorrow’s Key Signals to Assess Sector Strength:

1. Will XinNeng Taishan’s single limit-up continue?
2. Can Huadian Liaoning break the limit-up and adjust without extreme negative feedback?
3. YuNeng Holdings can oscillate and adjust but not hit limit-down; if it does, sector divergence is likely.
4. Among high-position cores, either Huadian Energy or Jinkai New Energy leading intra-day; positive signals support continued upward trend; lack of signals suggests divergence.

New Energy (Lithium Batteries, PV Storage) -
Mainly anchored by OnEnergy Electric, Yangguang Power, GCL Integration, Chint Power, focusing on capacity or trend cores. PV inverter stocks include Deye, Jinneng Technology; lithium batteries focus on CATL, Wanrun New Energy, to gauge sector strength.

Related to power sector, with expected market movements: after a big surge, a 4-7 day correction, then rebound, forming a slow oscillation pattern similar to multi-factor quantitative strategies, suitable for 5-10 day trend traps.

Domestic Computing Power -
Auction opened with Aoruite hitting a single limit-up; the previously strongest Meili Cloud only slightly gapped up. Post-open, stocks like Guanghua Xinwang, Aofei Data, Hongjing Tech quickly strengthened; Zhen Shi Tong, Litong Electronics, Dayi Tech hit limit-up; Meili Cloud surged then retreated.
Recent local movements in domestic computing power show continuous rotation; with explosive growth in AI token demand and capacity expansion, the sector has large growth potential, fitting mid-to-long-term logic. Currently, no sustained signals; suitable for trend-accumulation strategies.

Artificial Intelligence (Computing Power, Chips) -
In the 13th trend cycle stage.
Stage 1 led by Haili Shares, Chunzhong Tech, followed by Zhangjiang Hi-Tech.
Stage 2 led by Haili Shares, Dongxin Tech, followed by Zhangjiang Hi-Tech.
Stage 3 led by Chunzhong Tech, Huasheng Tiancheng, Yingweike, with Feilong Shares and others following.
Stage 4 led by Huasheng Tiancheng, others follow.
Stage 5 led by Cambrian, Haiguang Info, others follow.
Stage 6 led by Huasheng Tiancheng, others follow.
Stage 7: No core leader, local rotation.
Stage 8 led by Industrial Fuxian, Shenghong Tech, others follow.
Stage 9: No core leader, various branches alternate rises.
Stage 10 led by Demingli, Shannong Chip, Jiangbolong, Zhongji Xuchuang, Shenghong Tech, others follow.
Stage 11 led by Blue Cursor, 360, Vision China, others follow.
Stage 12: Alternating trial-and-error rotation.
Stage 13 led by Tongfu Microelectronics, Haiguang Info, others follow.
Stage 14 led by Longfei Fiber, Hengtong Optoelectronics, Hang Electric, others follow.

Q-flag trend core: Filihua, Ping An Electric, Zhongcai Tech, Honghe Tech—short-term uncertain, mid-to-long-term logic.
M9 Resin Materials: Dongcai Tech—short-term uncertain, mid-to-long-term.
Copper Foil Trend Core: Copper Crown Copper Foil, Longyang Electronics, Fude Tech—short-term uncertain, mid-to-long-term.
PCB Orthogonal Backplane Trend Core: Shenghong Tech, Hudian Shares, Shennan Circuit—short-term uncertain, mid-to-long-term.
Storage Chips Trend Core: Jiangbolong, Shannong Chip, Demingli, Bawei Storage, GigaDevice—likely to trend upward as earnings release this year, mid-to-long-term.
Optical Communication Trend Core: Zhongji Xuchuang, Xin Yisheng, Dongshan Precision, Liante Tech, Tanfeng Telecom—short-term uncertain, mid-to-long-term.
PCB Trend Core: Nanya New Material, Jin’an Guoji, CCL Price Increase—initially following Hudian, now oscillating upward.
OCS Optical Switch Trend Core: Tengjing Tech, Guangku Tech, Deke Li—short-term oscillation upward.
CW Optical Chip Trend Core: Yuanjie Tech, Changguang Huaxin—breaking trend channel, oscillating upward, mid-to-long-term.
Indium Phosphide Substrate Trend Core: Yunnan Geology—oscillating, mid-to-long-term.
Optical Fiber Trend Core: Hang Electric, Longfei Fiber, Hengtong Optoelectronics, Tongding Interconnection—only Hang Electric (with power) leading a breakout; overall in second wave trial stage, structure dominated by left-side chips, currently active, uncertain in short-term, mid-to-long-term.
Computing Power Trend Core: Meili Cloud, driven by domestic computing power + electric power dual attributes, favoring domestic computing power, oscillating upward.
Optical Module Trend Core: Reisconda, driven by optical modules + power, oscillating upward.

Today’s Tech Sector Path:
Auction signals show optical communication, Mingpu Magneto hitting single limit-up, Changguang Huaxin, Tongdeng Interconnection, capacity stocks Zhongji Xuchuang, Xin Yisheng, Dongshan Precision opening high. Post-open, Tongdeng Interconnection, Hang Electric, Cetech hit limit-up; Changguang Huaxin, Juguang Tech, Yuanjie Tech oscillate and strengthen; capacity stocks Zhongji Xuchuang, Xin Yisheng, Dongshan Precision oscillate; recent strong stocks Tengjing Tech, Guangku Tech also oscillate. The entire optical communication sector shows unexpected strength, but stocks alternate in leadership.

In storage chips, after open, Bawei Storage, Demingli, Jiangbolong lead; mainly top-tier stocks strengthen, breaking new highs for two consecutive days, most robust in the tech sector.

Overall, the tech sector’s ongoing focus is on storage, which is likely to trend upward as earnings are released; the overall rebound is a typical oversold bounce. The local trend in optical communication remains, with some stocks independently driven by funds. Maintaining previous view: tech sector in a range-bound bottoming process, awaiting resonance with the index for upward reversal.

IV. Index and Market Outlook:

As shown, today’s market rebounded more strongly than expected, with yesterday’s review indicating a clear bottoming space, leaning towards the scenario 2 V-shaped rebound. The key is the 1.3% rise, nearly 5000 limit-ups, over 80 limit-up stocks, with a volume of only 970 billion, indicating a mismatch among large funds, index, and sentiment signals—no major capital inflow.

Regardless, the continuous rebound surpasses scenario 1, even if a secondary dip occurs, systemic risk is low. Future focus is on divergence points and capital absorption; if the rebound continues with small positive lines, it’s a V-shaped recovery; if a second dip occurs, it’s a clear bottoming entry point.

Pre-market Strategy for Tomorrow:
From the index perspective, after two days of strong rebound, some bottom-fishing funds may start to realize profits. Expect some pressure on the index, so adopt a more conservative approach.
From sentiment, recent tech rebound faces short-term profit-taking, and after the high point in electric power sentiment, divergence or split expectations may emerge. Focus on the first wave of electric power after the second rebound or wait for continued divergence. Use a wait-and-see approach for entry points.

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