0312 review, continue with Yasheng tomorrow, backup: Xinling dq

Dear fellow traders, today I want to talk about something off-topic. Please be patient and read through. The era of long-term capital chasing and relay trading has ended. Many people might still be waiting for that familiar emotional cycle—the rally after a leader breaks, the pattern of sector rotation. But don’t wait anymore; the game has changed. The players at the table have changed, and the rules have evolved. We are now in an era of quantification, with all new rules in play. To give you some data: from 2006 to now, the market’s highest number of consecutive limit-ups was eight, with Yunnan Energy’s recent record at seven. Before that, it was blocked by four ‘1’ limit-ups, making it impossible to enter. Let’s look at sector cycles: MC O LED, oil and gas sector, three days; chemical sector, three days; C Electronic 2.0, four days; precious metals, four days; AI marketing, three days. In the past, a sector could rally for a month, with leaders multiplying several times, with multiple waves of rise and fall. Now, three days is considered long, five days is a surprise, and ending a day is normal. Sector rotations are rapid, and individual stock movements are unpredictable. There’s no more the exhilarating relay of the capital era. The new cycle and old cycle are clear and transparent. What is happening now? You just understand it, and as soon as you do, it ends; you just enter, and it retreats; you cut losses, and it rises again. Why has it changed? Because the hunters used to play on a familiar table, where a few big players knew each other well. They coordinated to push a limit-up, retail investors followed the trend, forming a collective force. Cycles had rhythm, emotions followed patterns, relay teams and tiers existed—this was human nature, and such games could be traced. You could find patterns on the leaderboard, see who entered and who exited, and interpret minute-by-minute charts. You could tell who was afraid and who wasn’t. But now, on this table, it’s all quant-based. Machines, 24/7, processing countless data points every second, detecting signals, placing orders, and selling to take profits. There’s no human emotion or hesitation—only algorithms, probabilities, and execution. Ultimately, the retail investors are still the ones placing the buy orders, but in reality, everyone is competing against machines. When you talk about patterns, they talk about probabilities; when you talk about faith, they rely on backtesting. Quantitative trading earns money from emotions, reactions, and execution. That 0.1 second hesitation? It gets crushed. Quantitative analysis looks at data, not stories; it only trusts probabilities. Any sector is just a parameter in their model. So, how do they operate? When a sector emerges, they buy immediately; the next day, they push prices higher to attract retail investors; by the third day, the move ends. Then they move on to the next sector. Their holding periods aren’t measured in days but in minutes. You’ll notice sector cycles are getting shorter, rotations faster, and heights lower. How can ordinary traders survive? The only way is counter-quantification—don’t race speed; humans can’t beat machines in speed. Your job is to anticipate their anticipation—pre-empt their moves. Although models and recognizable patterns exist, they prefer liquidity, strong trends, and consistent expectations. But they fear anti-human behavior, opposite emotions, and early volume. These preferences and fears are the soft spots of quant strategies. So, instead of waiting for signals to chase, you should predict which directions might become targets before they enter. Before they buy in, you can position yourself; before they sell off, you can exit early, taking their prey away and forcing a break. That’s called harvesting with quant. It requires deep understanding—grasping their emotions and long-term observation. You need to know their temper, understand their tactics, and stay ahead of them. Remember, staying ahead is the hardest part. If I tell you to sell when it’s still rising, will you? Probably not. Because they don’t think—only execute. So, you must think, anticipate, and act fully before they react. The capital era is over; there’s no need to mourn. The quant era is here. No need to criticize either—each era has its way. The capital era valued courage and vision; the quant era values cognition and preemptive action. Previously, hitting the limit-up was arbitrage—eating bread. Now, when a stock hits the limit-up, you should think about how to run fast. In the past, analyzing the leader boards meant finding patterns; now, there are no patterns—only constantly changing information. Some people always find ways to survive. Those complaining are the ones falling behind; the ones who evolve start eating bread again.

This is an article I read today, and I think it’s very good and relevant to the current environment. I’ve organized it here in hopes it resonates with everyone. Since you’ve chosen this path, be brave and keep going. Don’t give up halfway.

Today, I’ve selected these two stocks. I’ve already entered Yasheng and added to my position today. I didn’t do any T+0 trading—I’m afraid of missing out. I sold all my Tianhua holdings today; the effect was good. I bought Tianhua yesterday, and today I took a profit of over ten percent. Since it showed signs of weakening, I stopped trading it because it didn’t perform as strongly as Yasheng today. I sold Tianhua, kept Yasheng. Today, I added to my basket at the open; in the morning, it rose sharply but I didn’t sell. In the afternoon, it rose again to 34.96, so I sold it. I was just a few cents short of selling at the top. In the future, I’ll share fewer but more refined stocks—no more random picks. Tomorrow, I’ll focus on these two: main board, mainly Yasheng; backup stocks include Jinkai XN, and for the 300 index, I’ll watch Xinling. For the ChiNext, mainly Xinling. As for Andy Su, I plan to hold medium to long-term; I won’t consider switching in the short term. Other stocks like Mingyang, which rose sharply, are near their adjustment phase. If they rise again, I’ll sell; if not, I’ll hold. Basket stocks: Xinwang, which I expect to rise tomorrow—if it hits above 35, I’ll sell and switch to Xinling. Backup stock: Shouhang. These are pre-market projections; actual trading will depend on the market. The article is short but handwritten. Writing is not easy; organizing is even harder. Please like and follow if you find it helpful. Let’s grow wealth together.