Hexun Investment Advisor Huang Ruchen: Pre-market discussion, no definitive opportunities before the holiday

Today is a withdrawal day, and it’s also Thursday. Moreover, the positive momentum from yesterday’s rebound was driven by the atmosphere of the U.S. stock market rally the night before last, and that energy has carried over—so yesterday the market opened with a big gap up right after the opening. But trading volume can’t really keep up, so many tech names ended up tapping the top of the box-range and then immediately pulling back. Therefore, there weren’t really any particularly good buying opportunities during the day yesterday, mainly because it opened too high. The tech sector line has been emphasizing that unless market volume can follow through, you can only rely on a left-side oversold entry; there’s no way to chase strength on the right side.

According to He Xun Investment Advisor Huang Ruchen, if there’s divergence today, then as long as the bottom of the box-range holds, it can still be observed for further developments. In yesterday’s session, various categories within the medical sector captured the biggest share of the gains. There are already plenty of voices on the front end pushing for it—this is the main theme of April. Yesterday’s climax, theoretically, should be followed by a staged pullback and stabilization. If you can read the opportunity for a shift from weakness to strength, you can consider testing a core position. But it’s still worth saying that healthcare/biopharma is a clearly defined “defensive” area. Yesterday, although it moved in sync with the index and rose along with it, strengthening medicals may also have been a way to hedge in advance for today’s environment again turning into a pullback on renewed divergence expectations. Today probably won’t be easy to jump in.

After the market closed yesterday, there were policy-related messages that provided support, but by the end-of-day session, some funds had already started to front-load buying in advance. The direction mainly comes down to three areas: grid equipment, green power from new energy, and nuclear power. Look at today to see who’s more proactive. As for the old core themes—like computing power and electricity synergy—either they still need to be treated by first buying after oversold conditions, or they should be watched while waiting for a chance, rather than assuming they’ll lead. After yesterday filled the gap at 3955.71, it dipped slightly. Ahead of the holiday there wasn’t much in the way of certainty or clear opportunity. After the holiday, you can still look for an upward expectation, but it also requires volume to cooperate.