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March 23, 2023 - Bottom-fishing mode completed, profit and loss left to the market
[Stock Discussion]
Today experienced a surge in volume and a decline, with continued divergence, marking the third day of main selling. Today’s divergence was different from yesterday, with clear resistance during the decline. So I went all in at the close.
Life is fate, wealth is in the heavens. The bottom was completed, gains and losses are left to the market. I judge within the pattern, and I accept both victory and defeat!!! From the current external trend, I guessed correctly.
Highlight of today’s market: Huadian Liaoning Energy proactively broke through 6 consecutive limit-ups, breaking the recent 5-limit-up ceiling. Today is the breakout point. Pay attention to the first limit-up today.
But there’s a problem: if it hits the limit-up again tomorrow, it will have serious abnormal movements. If I want to avoid abnormal moves, the timing is too long and meaningless. So tomorrow I will consider exiting first, regardless of whether it hits the limit-up or not. Only if it breaks through abnormal movement and continues strong the next day will I consider re-entering. So, at the end of today, Huadian Energy was the first mover because it has already set the space for abnormal movement.
Currently still in the retreat phase, but tomorrow is the late stage. After the retreat, it’s basically a chaotic oscillation period (could be the main upward wave 1, or a correction after wave 2 before re-accumulating wave 3). Based on today’s sharp decline and the external market’s big rise, tomorrow is expected to be a strong recovery. If the recovery is as expected, then it’s within expectations; if not, most positions should be sold off at the end of the day.
In this phase, operation must control positions: the more rebound, the lighter the positions, because we are looking for a rebound, not a reversal. Wait for the golden right foot to appear, then bet on the next main upward wave.
Under the recovery expectation tomorrow, look for new, most powerful resonance themes to test at low levels. The first limit-up tomorrow is also a key point (can we expect the previous main theme of aerospace?).
Among the ladder teams, Dashi Da achieved a huge volume today, because it is the only one linked to the chip and semiconductor sectors. Tomorrow, attention will be on whether it can explode in volume and shift from weak to strong. Mimic today’s Huadian Liaoning Energy.
Tomorrow’s plan: Focus on new strong themes for the first limit-up. Try to go from 1 to 2. Observe whether Dashi Da can surpass expectations with a volume explosion and shift from weak to strong.