[Red Envelope] Others are guessing the market trend, I’m making strategic moves! Funds are shifted back into tech with solid evidence. Stay tuned for the winning rhythm!!

Congratulations to everyone online today! [Taogu Ba]
First like, then read. Support with a tip—100 points is enough.

The more chaotic the market, the more it tests traders’ skills! Yesterday after hours, many people were debating whether the resource price increase trend could continue. If you don’t understand the signs of capital flow, you might chase high and get trapped in resource stocks today, or miss the short-term opportunity to jump into tech stocks. The timing difference can be huge.

Yesterday, I told everyone that the resource sector had already surged for two consecutive days. In the morning, funds moved into PCB, and in the afternoon, they shifted back into commercial aerospace. When aerospace stocks start to rise, chemical and rare earth stocks often experience a burst of selling. This indicates that pure resource stocks are about to diverge, while tech stocks, commercial aerospace, computing power, optical communications, and other new productive technologies have expectations gaps. It’s best to select stocks during the tech sector’s price increases, so I shared the logic for monitoring Soton Development and China National Materials Technology over the 5-day moving average.

Where can you find solid, real-time market insights? Top experts may understand the market well but might not share their secrets. Don’t blindly follow various trading modes and end up learning nothing, or worse, falling into traps repeatedly! Trading requires focus. The core expectation difference model I teach is enough to master trading. Without top-tier market understanding and a big-picture view, you’ll always be stuck at the bottom. Every day, I provide pre-market ideas and share core expectation differences to help you learn my approach and break free from the rookie fate. Leave feedback in the comments to show how many of you are online and experience what it’s like to learn with real traders!

Thursday’s operations

Deep focus on Soton Development: The solid-state batteries, commercial aerospace, and AI scaling have driven pre-baked anode and film capacitor prices higher. Soton Development’s technical trend just started. Yesterday, there was a healthy divergence. After pulling back near the 5-day line, it’s a good time to watch closely. Today’s opening also offers a pullback entry opportunity—act decisively and focus on it, so you’ll be well-prepared for subsequent moves.

Underwater focus on China National Materials Technology: The combination of commercial aerospace and PCB electronics also belongs to the tech price increase line. Recently, the best trend has been in electronic wiring. After divergence and capital reflow, electronic wiring remains a priority. With leading stocks like Honghe and Keji diverging, yesterday’s weak divergence in China National Materials Technology suggests a potential expectation gap for support at the 5-day line. Focus on it early, and see if electronic wiring can rebound tomorrow.

Review

Major market cycle: The three main indices moved differently, without a unified trend, fitting the chaotic oscillation pattern. Total market turnover exceeded 2.5 trillion yuan, up 3% from the previous day, with moderate volume expansion, indicating increased market activity. However, there was no broad rally—still a structural market, so blindly chasing highs will lead to traps.

Short-term sentiment: 2,394 stocks rose, 2,670 fell; 61 stocks hit daily limits, 3 stocks hit daily limits down. Today’s short-term sentiment is somewhat strong locally, with no widespread loss-making effect, which is why we dare to position. The momentum for consecutive limit-ups has revived, with YuNeng Holdings in the computing power sector hitting six consecutive limits, potentially challenging new highs tomorrow. Farsun in optical communications has four consecutive limits. But since the number of rising and falling stocks is nearly equal, the overall sentiment hasn’t fully recovered—profit-taking is concentrated in core trend stocks and high-recognition limit-up stocks. Be aware that this is a rotation market with strong local momentum, not a main bull trend. Sector divergence is likely to increase, so avoid blindly chasing highs.

Theme directions: AI hardware (optical communications, PCB), AI energy (power supplies), computing power, commercial aerospace

AI hardware: Shenghong Technology, Tianfu Communications, Huden Shares, Zhongtian Technology, Xiangtong Optoelectronics, Tongding Interconnection
PCB has performed well for two days, driven by tight electronic wiring supply and copper-clad laminate price increases, which transmit to the PCB sector. Nvidia’s earnings continue to be strong, and AI computing demand is exploding, creating a double positive resonance that boosts the sector. Key stocks include Zhongtian Technology, Xiangtong Optoelectronics, and the leading Shenghong Technology.

AI energy: Dongfang Electric, Yingliu Shares
High demand for computing power also boosts power supplies and gas turbines. The core stock is Dongfang Electric, and Wèichái Power also shows strength. If the tech rally continues, electric power will be a key focus.

Computing power: Yunnan Energy Holdings, Huasheng Tiancheng, Runze Technology
Today, Yunnan Energy Holdings weakened then strengthened, hitting six limits, indicating capital anticipation of tomorrow’s potential move. Huasheng Tiancheng and Runze Technology also performed strongly. The key is how Yunnan Energy Holdings will develop tomorrow.

Summary: The current market remains in a oscillating rotation pattern. With the end of the month and the upcoming Two Sessions, the market will be less active. This is a reminder I gave early—don’t have overly high expectations. Focus on well-supported trend stocks, and wait for clearer market signals before increasing your positions.

Opportunities favor prepared traders. Keep an eye on my updates to catch the rhythm early. Your likes, support, and tips are my biggest motivation to keep sharing. Let’s build a strong reputation together and witness our growth.

If you have questions, leave a message—I’ll reply seriously. Let’s move forward together and explore more possibilities.

The trader’s system is based on five core points: using cycles as anchors, selecting leading stocks, controlling key nodes, managing positions, and maintaining cognitive discipline. Beginners can avoid detours; experienced traders can optimize their approach. Everyone who has traded knows that short-term trading isn’t about scattered buy-sell tricks but about a practical, implementable system—this is the confidence to survive bull and bear markets and achieve steady profits!

1. Use cycles as anchors, control style and positions
   Market conditions change rapidly. Operating logic differs greatly between pro-cyclic, counter-cyclic, and chaotic cycles. Blindly following the trend leads to losses. The first step in my system is to judge the cycle, then match the appropriate trading style and position size. During pro-cyclic phases, market sentiment is high, funds are abundant, and a “resonance” strategy is used—aggressive style, 60-70% positions (adjust as needed), focusing on trend dividends. During counter-cyclic phases, volatility is high, and risk is low; focus on holding high-recognition stocks, with positions limited to 30%, avoiding fighting or overconfidence. In chaotic phases, tighten the line and take profits when conditions are good.

2. Lock onto main themes, grasp market core
   Regardless of bull or bear, markets have main themes. The core leader stocks are the top short-term choices. We advocate focusing only on core stocks—those with the strongest consensus, logic, popularity, and liquidity. They resist declines in downturns and lead gains in upturns, with much higher risk-adjusted returns than scattered stocks. Many traders spread their bets across many stocks and miss the main trend. My system emphasizes “less but better”—concentrate on the main stocks. Have you tried focusing on a leader and seeing it double?

3. Identify key nodes, time your buy/sell
   Timing is more important than stock selection in short-term trading! Even the best leader can lose if you pick the wrong moment. All my buy/sell actions revolve around key nodes—this is the core of rhythm control and increasing win rate. When the main trend first diverges then aligns, it’s a clear signal to start. When divergence turns into alignment, it indicates continued sentiment, suitable for adding or locking in profits. During market peaks, beware of top signals—reduce positions and take profits. When the rhythm is right, profits come naturally.

4. Tiered position management, risk control
   Profit depends on attack; survival depends on defense. Position management is the “lifeline” of short-term trading! Have you experienced heavy losses from over-leverage? My tiered position strategy adjusts based on the cycle—use larger positions during strong upward phases, and smaller ones during chaotic phases to avoid large drawdowns. Limit to two core trades per day—avoid frequent trading or over-adding. Controlling drawdowns ensures longevity.

5. Maintain cognitive bottom line, avoid impulsive trades
   The scariest thing in markets isn’t losses but operating beyond your understanding! The core principle of my system: stay within your cognitive limits, never trade outside your model, and avoid impulsive decisions. Don’t chase stocks you don’t understand. Abandon opportunities that don’t fit your system. Many make money by luck but lose it by overconfidence. Relying on luck alone isn’t sustainable—focus on steady profits by understanding your own mind.

Short-term trading isn’t that complicated. Master this system, simplify complex logic into practical guides, and you’ll find your rhythm in both good and bad markets, avoiding most pitfalls. One last reminder: trading is a long-term journey. You need both methods and patience. Follow the system calmly, and you’ll steadily seize opportunities!

Every tip and support is a boost—your engagement fuels my motivation. High-level thinking and discussion help turn knowledge into real skill. Our community’s top fans understand: “Investing in cognition will eventually deepen your account.” Without understanding, profits are just luck; with understanding, wealth will come naturally. Many try to cheat the system—hoping to get rich quick and then contribute points and effort later—but the real investment in short-term trading isn’t in stocks, but in your own mind.

Thanks to brothers supporting with tips:

@TasteEmotionMaster @ThirdDimension @EmotionFlow孤舟 @ShanzhiChuanXingK @TrendKing1986 @ChengduNorthRing @YuanXiaoEr @MubaiEmotionRise @DropoutTradingAStock @LegendOfClouds @ShortSniperTrader

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