[Red Envelope] Focusing on domestic and international performance, the strong core trend is rising sharply with a bullish arrangement—discussion post! No investment or financial advice provided! Grateful for the encounter!

The current market may show a行情 of structural divergence
Earnings come first
Some bullish stocks that align with the market’s main theme will likely keep strengthening
Whereas stocks lacking earnings support may face pressure

The core logic is
April is a dense period for the disclosure of A-share annual reports and Q1 reports
Market style will quickly shift from earlier theme speculation to an earnings validation phase
Stock price performance will be highly tied to its fundamentals (especially Q1 earnings)

[Taoguba]
The direction of bullish stocks where the trend core accelerates—just a personal note
I don’t do any investment or wealth-management trading; there’s better logic
Please share your logic in the comments!!! No recommendations of any kind!!!

1.AI computing power includes hardware and software as well as storage semiconductors

Core logic
AI hardware and software, with ongoing explosive demand for computing power. At the same time, domestic substitution is accelerating, and with industry expos, product price increases, and other event catalysts, the sector’s overall business conditions are extremely strong.

Optical modules / optical communications / optical fiber:
Orders are full, and performance certainty is high both domestically and internationally. Some leading companies have positive expectations in their Q1 reports. Among the industry’s top 5 in domestic position, a breakthrough to new highs has come with huge volume; observe the patterns and grasp BS points reasonably.

Semiconductors: In sub-sectors like memory chips, the cycle is likely at the bottom, and with price-increase expectations layered on, earnings elasticity is large. Institutions are piling in—pay attention to high value for money, large upside potential; observe volume and energy of capital/positioning chips + earnings + the stock’s historical trading character. Don’t analyze individual stock logic!

AI hardware, CPO, optical fiber, AI servers/chips: benefiting from the acceleration of domestic computing power infrastructure; earnings are expected to be delivered. Remember: buy-point cost-effectiveness; don’t chase prices higher + manage position size reasonably

2.Like the lithium battery / energy price-increase chain and high-visibility resource sectors

Core logic: Product price hikes are a direct clue for identifying Q1 report earnings with high growth; this means the industry is in supply shortage, and the company’s profits will be thickened.

Lithium battery materials: price changes in lithium carbonate, LiPF6 (six fluorophosphate lithium), etc., may drive the performance of companies related to the industrial chain.

3.Current unknown risks are already risk management:

The risk of an earnings blow-up could be in April. Once a company’s earnings fall short of expectations—or even blow up—the stock price will face a massive shock.

At the same time, some individual stocks that surged too much in the prior period and have already fully priced in earnings expectations may also run into profit-taking after the financial report is released.

The market is currently in an overall consolidation phase; overall, in April the market will most likely consolidate and form a bottom in the core range of 3800–4100 points.

With policy support to cushion downside and support from economic recovery below, but with earnings differentiation and external risks weighing down above, the index is unlikely to see a one-way blowout rally.

4.So the stock-picking standard play is:

a. Industry positions in the top 5 + “super-smooth” industry fit + a trend with a primary surge with long-side alignment

b. Must have a confirmed earnings increase-to-outlook target for the Q1 report

c. Above the trend line: stocks above the 5-day moving average and showing long-side alignment; avoid all moving-average short-side alignment “oversold rebound” traps.

d. Buy before the announcement (betting) or buy after the gap-up (confirmation): for potential high-earnings stocks that haven’t disclosed a forecast yet, you can initiate positions in early April on dips; for those that have already released an upside surprise forecast, watch for opportunities to buy back after a gap-up high open for confirmation.

e. Sell when good news is realized: if, on the official financial report disclosure date (not the forecast date), the individual stock shows volume expansion with sluggish price action or long upper wicks, decisively take profits. In April, it’s very easy to see a pattern where “good news turns out to be bad news.”

The above is only a summary of the trend-core play I wrote casually while exercising—no investment or wealth-management advice of any kind! Grateful for the encounter!