7.8 Morning Thoughts


After the overnight market has been fully digested, the momentum of long positions at higher levels continues to exhaust. Early in the session, downward pressure is clearly evident, with the chart under pressure and trending down. Going forward, the trading idea is mainly to short on rebounds—do not blindly chase longs.

On the 4-hour timeframe, the indicators are synchronously turning down and weakening. Any short-term, small rebound is only a deceptive move that appears near the end of an upswing. Each round of rebound and repair is a high-quality layout window for shorts, and the downside pullback space has already been fully opened.

Big brother: 64000—resistance at 64800 pulls down; look for 62500, 61000.

Second brother: 1800—resistance at 1830 pulls down; look for 1750, 1710.
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