Today’s market is on fire. Early in the session, the main forces were still trying to smash the market, but the bottom-fishing funds directly pressed it to the floor and rubbed it—rushing from 4119 points straight up to 4151 points, with over 270 billion in volume in just half an hour. This bottom-fishing force is fierce, continuing to push higher in the afternoon. The CSI 300 ETF and the China Securities A500 ETF both turned red, and the tech sector is collectively celebrating.

Cambricon’s stock soared directly to 1550 yuan, becoming the top stock in the A-share market. Can you believe that the trading volume just this morning reached 2.31 trillion? That’s more than the total daily trading volume usually seen. With this momentum, breaking last October’s record of 3.47 trillion in daily volume is not a dream at all. Seventeen consecutive days of gains—this market instantly reminds people of the big bull markets in 2007 and 2015—the air is filled with the smell of money.

Since surpassing 3800 points last August, the market has been stuck in a range, grinding between 3800 and 4000 points for four months. Breaking through 4000 points happened this week, but now it’s heading straight for the 4200 point ceiling. The problem is—after standing firm above 4000 points for only 6 days, and above 4030 points for just 5 days, it’s likely to surge near 4200 and then pull back, further solidifying the foundation at 4100 or even 4000 points. That’s the market’s routine.

The short-term strength indeed exceeded expectations, and the feeling of pressure is spreading throughout the market. Although there’s some fear inside, from the volume-price structure, there’s no problem at all, and no signals of a top are visible. We can only continue to go long, but if the market suddenly turns, we must reduce positions immediately. The annual line for this year has not yet formed a lower shadow, so it will definitely need to be filled downward in the future. How much more the short-term can rise is anyone’s guess, but a bull market doesn’t mean no correction. You can’t just stand by because you believe it will fall in the future, nor can you ignore the hot market and not participate.

We firmly believe that the market will eventually fall back below 4100 points and even to the 4000 level—this is just a reminder for short-term traders who want to enter but are feeling nervous. If you are a short-term trader, don’t frequently switch stocks at this moment; hold your positions, but be sure to buckle up.

Today’s morning session saw no major pullbacks besides slight fluctuations. There was also a big event in the morning—some leading ETF suddenly announced a dividend, 10 for 1.23 yuan, totaling 11 billion yuan. This is the largest dividend payout in ETF history, a big red envelope for institutional investors, directly benefiting the market. Additionally, the management only issued two new stocks this week, both in the tech and semiconductor sectors that everyone is chasing, instead of releasing a dozen at once to cool down—as they did before. Isn’t this signal clear enough?

Currently, internal and external funds are rushing in like crazy, with the number of limit-up and big-gain stocks reaching recent peaks. This frenzy feels somewhat excessive. But the more intense it gets, the more we need to stay alert—breaking 4200 points is really not that easy.

The key question is: can this breakout succeed?