The index is falling, a textbook-like interpretation of the future market!

Bull markets don’t carry profits for many; without a trading system and market understanding, you can’t avoid every pullback! [Taoguba]

About the Index Decline

1. The night before yesterday, U.S. stocks’ chip and semiconductor sectors fell sharply; yesterday, the opening was led by Industrial Fuxin (1.2 trillion yuan) to recover. In this main cycle, Industrial Fuxin has no echelon, and yesterday’s limit-up rally seemed more like an invisible hand manipulating the market. After Industrial Fuxin hit the limit-up yesterday, it was clearly a stronger overseas chain (Nvidia’s Huang Renxun flying on the presidential plane) compared to Cambrian’s domestic substitution chain, with storage chips being the strongest in semiconductor subdivisions.

2. In the early trading, Industrial Fuxin (which led the recovery yesterday) opened high but then dropped sharply, dragging the index down. I also reminded everyone that yesterday was a peak day, and today is about leaving the strong behind and the weak out. This move is the first step in today’s trading. After the index drops, the second step is to see who can resist the decline and withstand the beating.

3. The index drops with volume, and a rebound without volume is defined as a rebound—obvious panic today. Next, we look at three points:

1. If it recovers tomorrow, then today’s decline is a rapid drop during a bull market’s surge, a continuation of the rise.
2. If it continues to adjust tomorrow, then it depends on the panic level, looking at the major stocks in this cycle: “Yi Zhongtian, Industrial Fuxin, Cambrian, Shenghong Technology,” in semiconductors, optical communications, PCB; if these big stocks do not break their trend, then after two days of recovery, the market will continue to rise, referencing the period from April 23 to April 28.
3. If panic intensifies and these major stocks lack support and resistance, a reversal will occur, the index will go down, and the cycle will end.

Market Analysis:

1. Institutional Theme Analysis:

1. From the market perspective, yesterday during Industrial Fuxin’s recovery, Huang Renxun flew on a plane, which is positive for overseas chains. Cambrian’s recovery yesterday was not proactive enough, and the strong performers yesterday were in semiconductor subdivisions like storage chips. Yesterday was a climax of recovery.

2. The day after the climax, in the morning, Industrial Fuxin opened high but then dropped sharply, dragging the index down. The climax is always about leaving the weak and keeping the strong, and stocks that weaken are out; strong stocks maintain strength.

3. The decline depends on whether panic selling occurs and the intensity of the decline. During the early decline, volume increased, and Industrial Fuxin dropped from +4 to -5 in one go, nearly a 10-point drop. This indicates panic selling with strong momentum. However, core cycle stocks like Zhongji Xuchuang still hit new highs, so overall, it is controllable.

4. During the decline, observe resistance and defensive stocks. Yesterday’s strong stocks that remain strong today include storage chips like Demingli; yesterday’s strong stocks that continue to be strong include Tianfu Communication and Zhongji Xuchuang, a core cycle stock; consumer electronics like Liyi Zhizao; chip industry chain stocks like Hefei Urban Construction and Zhongchuan Special Gas.

2. Theme Sentiment Analysis:

1. At the end of yesterday, Copper Crown Copper Foil and Fuda Alloy, which showed abnormal movements, were not controlled, and opening saw negative feedback, which was significant.

2. Continuous acceleration stocks like Datang Power, which had no disagreement, are expected to have disagreement. As Fuda and Copper Foil showed increased negative feedback, a large bearish line was formed. The previously grouped China Power Liao Neng also failed to go up, and the early diverging Jin Tanglang returned to flat. From these stocks, sentiment today is retreating; high-level sentiment is problematic.

3. Elastic rebound stocks, such as Zhongchuan Special Gas with four days of three limit-ups, and Hengyu Xintong closing at nearly 18 points, are close to a second limit-up; new stocks on the Beijing Stock Exchange like Saiying Electronics and Hoshida still show strength.

4. The key point here is that high-level sentiment on the main board near abnormal movements is poor, while unmonitored new stocks on the Beijing Stock Exchange and newly listed stocks show strength. The ChiNext and STAR Market at low levels still have strong explosive power. These areas still have very high profit-making effects.

Tomorrow’s Focus:

1. Refer to the three points of index decline at the beginning of the post.
2. U.S. tech stocks’ performance overnight.
3. News about China-U.S. exchanges.
4. Keep an eye on the core stocks that resisted the decline today.

Understanding the market will help you understand my stock selection logic. Today, in the early trading, Demingli; during the session, optical communication’s Guangxun Technology!

$1

First, give you a solid reason: my prediction success rate is so high that it doesn’t need explanation!

From the cycle turning point to the main line switch, from index highs and lows to stock anchoring—markets repeatedly stamp my forecasts with their movements. This is not luck; it is the power of a system.

Early morning strategies, bidding stock selection, intraday analysis, closing stock selection, review posts, trading system teaching posts, live sharing—all-encompassing, multi-dimensional support to help everyone learn the multi-dimensional dialectical trading system!

The “Multi-Dimensional Dialectical Trading System” ultimately cultivates a systematic way of thinking and cognition.

Its core is not a fixed “pattern,” but the dynamic arrangement and dialectical thinking of multiple core dimensions such as macro market, sentiment cycles, volume-price relationships, and stock positions. The goal remains consistent: to capture the most core profit-making stocks in the market.

As for limit-ups, trends, arbitrage, etc., they are just carriers and expressions of profit effects in different stages and environments. I am not a rigid “pattern trader,” but behind each carrier, I have established market-validated, mature response methodologies.

$1

Thanks to the brothers who support me:
@FengFiyang1024@VShengCaiYouDaoV@MomoArmy@ShangBanChaoChaoGu@BailiTuSu@LuGe81@simon27@XiaoDaMeng@TiFei@WoShiTouZiJia@36FangSuJiaDiZi@SoDandDian@ShunAXingAWangA@GuShiNuoYongBa

Limited energy, priority reply on the market to high-quality, highly interactive silver followers; ordinary followers should quickly upgrade to silver followers so I can see your focus on the multi-dimensional dialectical trading system.

Multi-Dimensional Dialectical Committee @BiBaLaLa@ZiDuRen666@PoFengSuiLang@ShuiJinMingGui@GuiZhouKe@HeiKe001@DingYuanYingSalute@PoLuoFeiSir will help me reply to everyone’s comments, so I can focus more on the market!

The post’s popularity is time-limited; early likes, comments, and interactions will boost its visibility faster. I hope brothers actively engage!
Like 500, over 300 interactions, exceeding expectations in bidding, and analyzing strong stocks intraday!