[Red Envelope] 4,300 companies are falling! Pre-market Road Brother's preview of market risks; avoid opening positions to respond!

Like and give a thumbs up before reading, get rich for a lifetime! [Taogu Ba]

Hello everyone, I am your old friend, Brother Lu

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After the market closed, I laid out today’s trading orders on the table—four trades, not opening a new position. There are three stocks left in the account, one took profit, one did T+ trading, one is a pattern, and one was cut and thrown into the blacklist. The intraday line on the screen looks like a snake with its tail stepped on, it raised its head early in the morning, and completely collapsed by the end of the day. This is the full truth of today’s A-shares.

First, let’s talk about the market. During the early morning surge to red, many people’s adrenaline exploded. I only said one thing before the market opened: Today, no relay, no chasing highs. Why? Because Trump’s visit to China has settled. The expected positive news being realized is actually negative. It’s not some profound principle, just that most people are unwilling to believe it. And what happened? By the end of the day, it plummeted, with heavy volume decline, over 4,300 stocks turned green. Those who rushed in during the morning ended up closing the day with the lights off and eating noodles. Those who followed my thinking to stay in cash or exit in the morning, you all made over a point profit today. Holding cash is making money, I’ve said this many times, and I’ll say it again today.

After each day’s close, I habitually ask myself three questions: First, is there still a main line now? Second, is today a key node? Third, does the strongest stock have my buy point? The answers today were Yes, there is a main line—technology. But today is a divergence day after Trump’s visit to China has settled. No buy point, so I didn’t buy a single stock. After answering these three questions, my trading plan was set—no internal friction, no hesitation.

Next, let’s talk about how I handled today’s holdings. Yesterday, I held four stocks, and today I processed them all in one go.

First, Datang Power. I clearly explained before the market opened yesterday that this stock would give you a chance to smash the limit. Today, it hit the limit, then fell apart, and the intraday chart kept heading south, never looking back. I sold at the moment it was hopeless to recover the limit, pocketing a 10-point gain, with a single limit profit. Is it accurate? That’s Brother Lu’s strength. Why could I judge in advance? Because big funds today are all avoiding risk, and being able to run at a limit is already the best they can do. This is called escaping the top.

Second, Jin Tanglang. This stock follows a trend, not a limit-up pattern. So today it moved sideways all day, closing with a small positive line. I did a high sell and low buy, earning two points. Is two points a lot? Not really, but compare it to others. Today, the index dropped over a point, and you could still come out red, that’s called crossing through. I am very satisfied.**

Third, Tongding Interconnection. This was the only mistake today. Last night, the company issued a clarification announcement that they have no related business, and today it opened at the limit down. This isn’t a technical issue, nor a judgment mistake on my part—it’s the company deceiving investors. I accept the loss, cut my position immediately. I will blacklist this stock forever, never even look at it again.**

Fourth, Mona Lisa. Yesterday hit the limit up, today opened high and immediately hit the limit down, but intraday weakened then turned strong. There’s nothing much to say about this stock, continue with the pattern. Achieving 20 points in two days, that’s the most comfortable trade today. Congratulations to friends who followed the thinking.

To summarize today’s operations: one took profit, one did T+ trading, one was cut, and one maintained the pattern. No new positions were opened; I only did the subtraction of holdings. The operation is finished—clean and tidy.

Let’s go deeper into the market. Today’s volume decline shows panic selling has already come out, many retail investors are cutting losses at the end of the day. This is a good thing. Without panic selling, where would the cheap chips come from? Tomorrow morning, if there’s another wave of divergence and decline, I will start picking up chips. But one phrase must be engraved in your mind: The main upward phase has ended, and what follows is a transition to consolidation. Position sizes must be controlled—don’t go all-in on rebounds—that’s what retail investors do.

In terms of themes, today’s strongest sectors are chips and computing power. What does this mean? It indicates that the main line is still technology, which has never changed. Robots, electricity, these can only be traded in rotation; today’s rise, tomorrow’s fall. Chasing in will get you hurt. The future recovery carriers are still technology, anchored firmly in technology without wavering.

So, which stocks to buy specifically, which might recover? Don’t worry, I will explain in detail in the evening post. If you have the condition, click the “Add Oil Coupon” at the bottom left. Three friends have already clicked it yesterday—thank you very much, but it’s still far from enough. Seven coupons are needed to become a highlight. Once I reach seven, I will share specific targets in real-time during the market, so everyone can further see Brother Lu’s strength.

Finally, a few words. If you followed my rhythm these past two days, congratulations—you avoided this big drop. If you didn’t, leave a comment saying “Keep going, I will add oil,” and later we will follow Brother Lu to bounce back.

That’s all for today’s review. Brother Lu has shared all the essentials. Hope everyone clicks “Add Oil” at the bottom left of the article. One “Add Oil” coupon costs only 500 points. Brother Lu doesn’t get a penny, tips are turned off, just sharing dry insights, powered by love, because I care about everyone. Support Brother Lu by adding oil, so more people can see this.**

Thanks to the gold fans
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Thanks to those who tipped**
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Thanks to those who added oil**
@Hongmei @Ydf0358 @Cabbage Tofu Skin Thanks everyone for still remembering Brother Lu, being brothers in your hearts
$Datang Power (sh601991)$ $Jin Tanglang (sz002081)$ $Tongding Interconnection (sz002491)$ $Hua Electric Liaoning (sh600396)$ $Great Wall of China (sz000066)$