Fell below 4000

It seems like weekends are generally quite pessimistic. Indeed, the technical trend has already effectively broken below 4000. Unless there’s a strong bullish candle next Monday that directly pushes it up, we will be looking at the support levels of the previous consolidation platform, around 3900 as support and 3800 as strong support. However, for the market from September 24 last year to today, everyone seems to have gradually gotten used to the situation where the index rises but accounts do not. As long as the index doesn’t fluctuate significantly, the profit-making effect is still acceptable. Teachers often mention a structural market, and choosing the right sectors is basically half the battle. [Taogu Ba]

For example, before the end of last year, I was clearly optimistic about the photovoltaic sector, which has recently started to strengthen more and more. The main reason is that the position is low enough, and it hasn’t risen in the bull market. I am optimistic about the cyclical reversal similar to last year’s storage sector. Of course, being at a low position means it can rise quickly with the wind.

There are also some disagreements about choosing the right sectors. For example, last week I was optimistic about Baichuan, whose products TMP and TMA continued to rise. The chemical sector also rose again, even though individual stocks fell every day and continued to decline for a week.

For example, in the case of power cooperation, most of the previously strong power stocks haven’t performed well; they are still being discovered at low levels. This kind of difficulty is indeed high. When the market isn’t focused, switching strategies quickly is the hardest.

What is the strategy? Personally, I think we can gradually pay attention to some stocks with independent logic, such as Zhongfu Shenying, which quietly doubled. Recently, in the new drug sector, weight-loss drugs like Menova are being chosen, especially when their patents are expiring. Most pharmaceutical companies are moving towards generic drugs, but this company is involved in the story of health supplement delivery GPL-1. I think it’s worth considering with some skepticism, especially since they have debt.

Long-term holdings of two old friends will continue unchanged.

That’s all. Best wishes.