3.25 debrief, pay attention to divergences tomorrow

The total trading volume of the two markets reached 2.18 trillion yuan, an increase of about 100 billion yuan. After two consecutive days of broad market rebound, some profit-taking has accumulated. The Shanghai Composite Index is approaching the gap near 3955, which should be the first resistance level for a rebound. It’s unlikely to break through immediately; instead, it may fluctuate back and forth, forming a multiple bottom. Only after solidifying this base can it continue upward. [Taogu Bar]

Electric power stocks are generally recognized by market funds. Leading stocks are not afraid of volatility and have reached the 8-board level, fully establishing their recognition. Tomorrow, they are expected to continue accelerating in the early trading session. If there is enough divergence during the session, a sharp drop and quick rebound may occur. After a significant rise, electric power stocks have accumulated a lot of profit-taking. Today’s late trading showed signs of divergence. YuNeng is scheduled for regulatory disclosure on Friday. Previously, there was a double-top expectation. Today, it failed to make new highs near the previous high, and a sharp decline was seen at the close. Given the expected divergence in the index tomorrow, many sectors may not offer much premium later. However, for short-term traders, this is the first relatively solid sector to emerge in a while, and it’s unlikely to end easily. Tomorrow’s first sector divergence presents a core opportunity.

Technology and AI hardware are positively correlated with the index. If the index diverges, technology stocks will also diverge. As the index recovers for the second time, it will face the first resistance at the upper gap. Technology stocks are a good point to reduce positions at high levels; be cautious about chasing highs.

Previously called tokens, the term was changed to Chinese name yesterday. From 2024 to 2026, the usage of tokens increased by 1,000 times. In the morning, funds pushed Oride higher, and today it also triggered about ten limit-ups. However, I personally believe that in terms of logic and popularity, this sector cannot compare to electric power and technology. It can only be viewed as a rotation for arbitrage temporarily.

Commercial aerospace had positive news last night: SpaceX’s IPO is expected as early as June, with the largest valuation in history. In the morning, technology stocks surged, opening more than 9% higher with rapid limit-up. However, the traction was limited. Core recognition stocks like Xinwei and Western Aerospace were sluggish. But in the evening, US space and Musk-related stocks all strengthened. Sidus Space, at the time of writing, is up over 18%, with a peak of 30% intraday. Tomorrow, a recovery is expected, especially if it can break through the second limit-up with reduced volume.

In the late session, funds also pushed up oversold military stocks and Fujian sector, driven by news from the State T Office. These are just arbitrage opportunities.

The above views are personal notes for reference only and do not contain any investment advice.