March 27 Short-Term Research Institute Review — The Unkillable Little Bug (Practical Tips: What Is a "Reasonably Positioned" Candidate Stock)

Review Reflections: [TaoGuba]
Time flies quickly. When I nervously wrote my first article on March 9, I didn’t know if everyone would like it, and now three trading weeks have passed. As I write this article, I’ve already attracted over 6,300 followers, and you have given me 11,000 likes. This unexpected surprise in such a short time is beyond my imagination. Many familiar faces have been supporting me since that day, encouraging me with their actions.
It’s quite “regrettable” that during this period, I couldn’t share the ups and downs with you, as there has been no storm here! I find it inconvenient to summarize the trading situation from the past week or even the past three weeks, but everyone must have a clear understanding in their hearts. Even yesterday, many students were very worried about Aoruid, but today it made a comeback with a strong reversal, and every move this week has been positive. The resilience of our trading system has withstood the test time and again in practice; I am still that indestructible little cockroach.
There are also some pessimists who say, “You trend-chasers and dip-buyers will eventually face consequences.” I want to say to such people: the world is vast; when you are trapped outside the wall of your own understanding, you can’t feel the beauty inside. Stay where you feel comfortable; there’s no need for explanation.
To the students who can stay with me, let us connect with a common heartbeat, hand in hand, to explore a new chapter in humanity’s stable ultra-short business!

This account focuses on the research of short-term trading and will start updating from March 9, 2026. Every day, I will summarize without beating around the bush, only discussing practical insights and operations—after the market closes, I will combine the day’s market performance and my personal operations to analyze emotions, core sectors, popular stocks, and deduce the direction for tomorrow’s operations, summarizing daily short-term insights and providing concise short-term strategies before 8:00 AM the next day.
The direction of our short-term research is: only participate in the games of hot popular sectors and their core stocks. Everyone is welcome to like, save, and follow; don’t get lost in the next update, let’s move forward together!

Given that some new followers have just started following me and may not have a clear idea, it is necessary to emphasize what we do daily in the short-term research institute:

1. Time sequence
   Before 8:00 AM, I will post the day’s morning strategy in the reply area of the latest main post;
   From 9:15 to 10:00 AM, personal trading time, in flight mode, carefully observing and recording the market, focusing on trading;
   Around 10:00 AM, I will report the trading situation of the day, as most trades are completed during this phase;
   Before 9:00 PM, I will conduct a comprehensive review of the day’s market, sectors, personal operations, and key insights.
2. Main content core
   Our short-term style: trade on core popular sectors and their leading stocks, quick entries and slow exits. Quick entry means decisively buying in, while slow exit means holding positions in stocks that may become bullish to maximize profits.
   Core Content 1: The morning strategy is very carefully selected and worth a look.
   Core Content 2: The review articles contain deep reflections on trading and a comprehensive understanding of market hotspots.
   Core Content 3: Practical thoughts, experiences, and ideas to help you refine short-term strategies from a top-level perspective.

On regular trading days, I will use the title “Short-term Research Institute Review for Month Day—” for a comprehensive review of the day.
Weekend articles will be titled “From Theory to Practice Series Practical Articles—,” connecting theory with practice to gather some grounded ideas into writing.
After only half a month, I still have many areas to explore and improve, so I welcome everyone’s criticism and guidance.

I would like to thank everyone who has supported me with tips during the time between the last article and this one: @MagicCubeGirlGuodegang @xyHaiShangLingYun @ZuoBan96 @Moonlight411 @ThirdDimension @GreenCloth @WeiGu @WifeAskedMeToTrade @YiPengTiantianKuaiLe @Gelite @FlyingPhoenix @Hahaai @BinKaKa @SuHangCangHai @DengJiMoDaoYeShen @MiAMi @LiuEr @LeBuKeYan @WeiNiErLai. I love you all! The greatest emotional gain from updating the article is being recognized. Thanks to loyal fans for their generous tips! Those who understand will eventually join together, and I will continue to deliver heartfelt short-term reviews and stock logic outputs, steadily grasping opportunities together.

Also, to those who are pushing oil/broadcasting: @ZhangZhangZhang @FirstLevelMoyuSpecialist @AlanDeLong @QingShanRuYun @Gelite @OneMountainCrossingOneRiver @jskdn @OneHundredFiftyZhangTing. Eight of you have allowed yesterday’s review post to gain the honor of being a featured post; many of you are old friends.

1. Today’s Personal Trading Situation

The BS points I mention are all contextually relevant, with historical data available for reference.

Today’s trades: I held Aoruid yesterday, and today I exceeded expectations by detaching. I newly focused on Jinkong Electric Power, Huadian Liaoning Energy (private, not in the options), and attempted to arrange Guangxi Energy but to no avail.

Market sentiment is crucial, and we need to deeply sense it. It’s best to throw our emotions in the trash because they only affect your operations. I sensed yesterday that some students’ worries about Aoruid were palpable, but it was really unnecessary. Could it be that your worries would be felt by the main force, prompting them to open high and hit the limit? Some students have severe anxiety, imagining the board’s friction a thousand times, and today the opening bid initially had a significant sell-off, resembling a nightmare. Honestly, I viewed the sell-off 20 minutes before the opening as a joke; as long as the rhythm is right and stocks are chosen at a “reasonable position,” most of these worries are unnecessary. Regarding “reasonable position,” today I want to discuss my thoughts on this as a practical article.

1. Aoruid
   Today’s opening bid was quite scary, but it didn’t scare me. I knew it would rise eventually. A significant reason is that Huadian Liaoning Energy’s opening bid gradually strengthened, which is certainly good news for Aoruid. Ultimately, the opening bid settled at -3.8%, lower than expected, but considering yesterday’s -1.5% plus a little surge at the opening, I could control the losses within my principle’s range. Therefore, there was no need to panic. Who would have thought that Aoruid would surge so high? The first deal was underwater, but seeing the buy orders below was very encouraging, so I held to my usual practice and sold at an unexpectedly good result. For a stock that didn’t close with a limit yesterday, this outcome satisfies me.
   Flexibility in trading is reflected in every detail. After selling the first portion, when the second portion was ready, I didn’t rush to press the button; my plan was to buy if the buy orders disappeared, and to wait if it continued to rise. The result is evident—it continued to rise. At this point, I needed to activate my experience with weak-to-strong reversals. Generally, I apply weak-to-strong in buying stocks; today, Aoruid showed such patterns, and the probability of hitting the limit was still quite high, so I could afford to wait for an even higher increase before selling. However, I wasn’t sure when it would reach the expected increase, so I executed the task completely. The highest sale was nearly 9 points; what more could I ask for?

2. Jinkong Electric Power
   Today’s options included three stocks from yesterday’s first board: Guangxi Energy, Jinkong Electric Power, and Jingyuntong. When observing the opening bids, their weak-to-strong transitions were very noticeable, clearly visible to the naked eye. Guangxi Energy maintained a strong buy order, while Jinkong Electric Power was second, managing to hold its limit price until the last moment. Jingyuntong lagged significantly behind, not even on the same level. As fellow brothers, the distinction in strength and weakness was so apparent that I had to exclude Jingyuntong. The morning strategy indicated participation in the opening bids directly turning strong, and two stocks had already turned strong, so no need for gradually turning strong substitutes.
   I placed my order before the opening bid ended, anticipating that Jinkong Electric Power couldn’t open in a straight line.

Although there was an opening board action during the day, it eventually closed strong again, and the sell orders at the end were quite good.
The general reasons for Jinkong Electric Power’s limit today can be systematically analyzed:
Jinkong Electric Power is the largest provincial power listing platform in Shanxi and a regional coal-electricity integrated leader, with core tags in the electricity sector including a thermal power base + green electricity transformation + regional monopoly + cost advantage.
Regional leader positioning (core of Shanxi)
Installed Capacity and Supply: Total installed capacity of approximately 10.94 million kW (with thermal power at 8.8 million kW accounting for 80%), supplying about 15% of Shanxi’s electricity, making it the largest power generation listed company in the province.
Coal-electric integration: Backed by Jinneng Holding Group, with pithead power plants + group coal supply, fuel costs are significantly lower than the industry average, and resilience to coal price fluctuations is very strong.
Jindian external delivery: Core entity for Shanxi electricity exports, benefiting from ultra-high voltage and regional grid construction, with guaranteed absorption.
Sector Role (National Perspective)
Thermal power elastic target: High thermal power proportion, performance highly sensitive to coal price decline, is a typical representative of thermal power profit recovery.
Green electricity transformation target: Accelerating layout of wind and solar + energy storage, planning to reach 30% new energy proportion by the end of the 14th Five-Year Plan, combining the stability of traditional thermal power with the growth of new energy.
Low-priced popular target: Low stock price, moderate market value (circulating value of about 14 billion), and recently active stock characteristics make it easy to become the leader in rebound during sector upturns.
Core reasons for the limit
Performance explosion (the strongest logic)
2025 net profit attributable to the parent company is expected to increase by 383%–508% (155–195 million yuan), with thermal power profits fully reversing, exceeding market expectations.
Core drivers: Continuous decline in coal prices, significantly restoring thermal power gross margins, indicating sustainability in profit improvement.
Sector sentiment resonance
The electricity sector is partially active, with stocks like Guangxi Energy and other first-board stocks strengthening simultaneously, forming a sector effect.
Funds are focusing on thermal power profit recovery + green electricity transformation, with Jinkong Electric Power being one of the leading stocks in the sector today.
In summary: performance explosion + coal price decline + sector sentiment + capital clustering + technical breakthroughs collectively propelled Jinkong Electric Power to hit the limit today.

3. Huadian Liaoning Energy
   I must be on the list of the most loyal supporters of Huadian Liaoning Energy. I have been involved since the opening bid on the day of the first limit last Monday and have never left it. Although I haven’t held the position all the way to the peak, I’ve continually made trades and operations full of positive energy, which is the charm of a turnover leader.
   Today I did not include it in the options; for most of my followers, it is not suitable to trade this stock right now. I participated today to personally test some data after the leading stock broke its limit and analyze it for guidance in future operations. What data am I testing? It’s how much room is left after the limit is broken. Breaking the limit is just that; it doesn’t mean that day is the new high. Today it has already created a new high; theoretically, it will continue to reach new highs in the following days. So, there’s no need to worry about the small negative energy I encountered today. This position will definitely not incur losses.
   Regarding Huadian Liaoning Energy, I discuss and analyze it daily, so I won’t elaborate on it today.

The above is a summary of today’s practical situation. Around 10:00 AM every day, I will first mention it in the reply area, and then write a more detailed analysis of the decision-making process in my review.

2. Today’s Market Overview
Today presented a low open, high drive, volume contraction, widespread gains, and a deep V reversal recovery market, with all three major indices closing in the green, and individual stocks generally rising, indicating a warming sentiment and a clear main line.
Core Index Overview
Shanghai Composite Index: 3913.72 points, +0.63%; after a low open at 3852 points, it rebounded and stabilized above 3900 points.
Shenzhen Component Index: 13760.37 points, +1.13%; leading the three major indices.
ChiNext Index: 32995.88 points, +0.71%.
Volume and Sentiment
Turnover: The total turnover of the Shanghai and Shenzhen markets was 1.86 trillion yuan, a decrease of 93.2 billion yuan compared to yesterday (1.96 trillion), showing moderate contraction.
Number of stocks up and down: 4,337 stocks rose, 1,073 stocks fell, and 68 stocks were flat; the gain-loss ratio was about 4:1, indicating a widespread rise.
Sectors and Main Lines (Today’s Strongest)
Leading main lines (dual core)
Energy metals (lithium batteries): A full-scale explosion, with stocks like Ganfeng Lithium, Haike New Energy, and Shida Shenghua hitting limits.
Innovative drugs/pharmaceuticals: Stocks like Meinuohua, Lianhuan Pharmaceutical, Shutaishen, and Xinlitai saw over ten stocks hit limits, with medical services and CXO also strengthening.
Other strong sectors: Fertilizers, precious metals, dairy, chemicals, semiconductors, and consumer goods rose in rotation.
Weak sectors: Banks, insurance, coal, port shipping, photovoltaics, wind power, etc., adjusted, while the electricity sector differentiated (Guangxi Energy, Jinkong Electric Power led the rise).
Market Characteristics and Logic
Trend Structure: The morning was significantly affected by the external environment and profit-taking, opening low and quickly bottoming out, with a V-shaped reversal; it fluctuated upwards in the afternoon, closing steadily at the end.
Sentiment Recovery: From the opening ice point, it quickly warmed up, with significant recovery in the profit-making effect, and actively rebounding from oversold and low-level targets.
Mainline Logic:
Lithium batteries: Stable lithium prices + profit expectations + capital return.
Pharmaceuticals: Innovative drug policy catalysts + rebounds from oversold conditions.
Capital Characteristics: Mainly stock game, concentrated main lines, weak weights, resonance between growth and cycles.

In summary
Today, the A-shares opened low and rose high, with volume contraction and widespread gains, with lithium batteries and pharmaceuticals leading the rise, sentiment fully recovering, and the Shanghai index stabilizing above 3900 points, marking the end of the weekly trading session.

3. Practical Theory Sharing: What is a “Reasonably Positioned” Stock

I have always mentioned in my posts the concept of reasonably positioned stocks. Today, I will systematically explain what counts as a reasonable position.
Short-term traders often have a common problem: they rush into hot sectors but consistently select “high-position stocks” or “pseudo-strong stocks.” Clearly, they are in a hot track, but others profit while they lose, and the core issue is simple— they haven’t found the right “reasonably positioned” stocks.
The essence of short-term trading is “profiting by leveraging trends,” with the core logic being to follow hotspots, follow capital, and follow popularity, while the core value of options is “having upward potential, having capital support, and being controllable in risk,” rather than blindly chasing highs or bottom-fishing. Today, I will discuss “reasonably positioned” short-term options from the perspective of popular stocks in hot sectors.

First, a core premise: stocks that are detached from the popular options in hot sectors do not count as quality options, even if they are in a reasonable position. The profit logic of short-term trading relies on the capital aggregation effect and sentiment premium of hot sectors. Stocks in cold sectors, even with low positions, lack short-term explosive power and do not meet the demand for short-term options. In contrast, popular stocks in hot sectors inherently attract capital attention; what we need to do is find “offensive and defensive” reasonable positions among these stocks.

▶ First, identify “real popularity”: among the hot sectors, which stocks have option value?
Not all stocks within hot sectors are popular stocks; many traders mistake “follower stocks” as options, leading to losses upon purchase. Stocks with true option value must meet three hard conditions, none of which can be absent:

1. Authentic theme, aligning with core logic of the sector: Popular stocks must directly benefit from the core catalysts of hot sectors (policy, technological breakthroughs, news stimuli, performance explosions, etc.), rather than being on the marginal side. For example, when the AI sector is speculating on “computing power,” computing power chips and server stocks are authentic targets; stocks merely holding shares in related companies belong to the marginal side. Even if they occasionally rise with the trend, they lack sustainability and are not suitable as options. A true hot sector must have clear core logic support, and popular stocks are the direct embodiment of this logic, not “freeloaders.”
2. Capital recognition, with continuous involvement from main funds: The essence of popularity is capital clustering. To determine whether a stock has capital attention, two key indicators are enough—trading volume and main fund flow. If the recent average trading volume has significantly increased compared to the previous five-day average and the volume ratio continues to expand, it indicates that trading activity has increased; if main funds have net inflows for 2-3 consecutive days and well-known retail or institutional positions appear on the market, it shows that real capital is entering, rather than small funds playing by themselves. Popularity without capital support is merely “pseudo-popularity,” and no matter how attractive the position, it is useless.
3. Active stock characteristics, with limit potential and downside resistance: Short-term options need sufficient volatility to achieve fast in-and-out profit goals. Prioritize stocks that have hit limits within the past month and have an average daily fluctuation greater than 5%; such stocks are active in trading, fully engaged in capital games, and have higher short-term upward probabilities. Additionally, they must meet the “downside resistance” criterion, meaning they can quickly stabilize during sector corrections rather than plummeting alongside the sector. Even if bought at slightly higher positions, there is room for error. Moreover, a circulating market value of 5 billion to 30 billion is ideal; too small makes it easy to manipulate, while too large makes it difficult to push up, not conducive to short-term capital entry and exit.

▶ Core Judgment: What type of “position” is considered reasonable?
Many people mistakenly believe that “low positions are reasonable,” but this is not the case—low-position stocks in cold sectors are “junk stocks,” while high-position stocks in hot sectors may be “potential stocks.” The key isn’t “high or low,” but whether there is upward potential and whether there is capital support. Based on the characteristics of popular stocks in hot sectors, three types of positions are the most reasonable and safest option ranges, and novices should pay special attention to:

1. Divergence position of the leading stock: A “healthy correction” of the hot leading stock is the best opportunity for selection.
   The overall leader of a hot sector is a barometer of sector sentiment and the core of capital aggregation; its divergence position is the most cost-effective option. Here, “divergence” does not mean the leader is weakening, but rather healthy turnover—such as when a leader experiences a limit-up and then begins to show divergence during the trading day. For example, on March 19, Huadian Liaoning Energy had a limit-up the previous day, but the next day’s opening bid was not high; this is divergence. When the market turns strong after the divergence, following it is a classic “divergence low absorption” opportunity. Such opportunities have repeatedly occurred with Huadian Liaoning Energy.
   Many people fear high-position divergences of leaders, thinking they signal “top formation,” but in fact, that’s the opposite: the main rising wave of leaders is not a straight line but a staircase formed by “divergence—unification.” The essence of divergence is the exit of early profit-takers, with new funds entering to support it. As long as the sector’s heat hasn’t dissipated, divergence is an “entry opportunity.”
   Key judgment points: The sector’s hierarchy is complete (with mid-tier and follower stocks in coordination), and during the leader’s correction, there are still low-position stocks active for supplementary gains, indicating that the sector’s heat has not retreated; the leader itself does not break key support (5-day line, 10-day line, or previous platform), with shrinking volume and no signs of high-volume stagnation at high positions.
2. Supplementary rise dragon activation position: The “second opportunity” of hot sectors, low risk and ample space
   When hot sectors are speculated upon for a period, the overall leader may already be at a high position. At this time, capital will look for “supplementary rise opportunities.” Those stocks that haven’t surged significantly before, have authentic themes, and are active will become “supplementary rise dragons,” with their activation positions being very reasonable short-term option positions.
   The activation position of supplementary rise dragons typically has two characteristics: first, it breaks through the previous fluctuation platform with noticeable volume, indicating that capital has started to enter; second, the opening bid exceeds expectations, opening 3%-7% higher, and during the 9:20-9:25 period, buy orders continue to increase, with trading volume reaching 5%-10% more than yesterday’s trading volume, while 2-3 stocks in the same sector open high simultaneously, forming a sector effect. Stocks like Jinkong Electric Power and Guangxi Energy on March 27 fall into this situation.
   The advantage of supplementary rise dragons is “low-position activation,” with minimal profit-takers, providing ample upward space and significantly lower risk than high-position leaders; even if judgment is incorrect, the retracement range will be limited. For example, after 3-5 days of a hot sector’s activation, if the leader starts to fluctuate, supplementary rise dragons will often activate on their first board after entering the next day, frequently yielding 1-2 limits or more.
   Key judgment points: The supplementary rise dragon has an authentic theme, highly aligned with the core logic of the sector; its activation shows sufficient volume with signs of main fund involvement; the overall sector is in a fermentation period, with many stocks hitting limits, forming a complete hierarchy, and no signs of a retreat.

▶ Pitfall Reminder: These three types of “positions” cannot be selected as options, no matter how popular
Many people fall into traps, not because they can’t find hot spots, but because they choose the wrong position. Based on practical experience, the following three types of popular stocks, even within hot sectors, should never be selected as short-term options, or you will likely end up buying at high positions:

1. High-position explosion stagnation: Popular stocks that have surged consecutively, showing “volume without rise,” or even forming long upper shadows, with a very high daily turnover rate, indicate that funds are unloading at high positions. At this point, no matter how popular, there is no upward space, and they may crash at any moment, representing a “high-risk position.”
2. Unsecured correction position: If a stock has no clear support level (such as the 5-day line, 20-day line, or previous platform), and during corrections, the volume expands, indicating that funds are continuously exiting, even popular stocks in hot sectors will continue to decline. Positions without support, no matter how low, should not be selected.
3. Pseudo-hotspot following position: Some sectors appear hot but are essentially “one-day wonders” with no sustained policy or capital support, and only 1-2 stocks in the sector hit limits while others follow suit. Even if the position seems reasonable, the lack of sustainability makes it easy to get trapped after short-term entry. The key to identifying pseudo-hotspots is to check whether the sector has a complete hierarchy, whether capital is continuously flowing in, and whether there is clear core logic support.

▶ Final Summary: Core Logic of Short-term Options
In short-term trading, the core of selecting options is not “choosing hot spots,” but rather “choosing the right position within hot spots.” Hot sectors are the foundation, popular stocks are the core, and reasonable positions are the key—none can be omitted.
Remember this phrase: for short-term options, it’s better to select the divergence position of hot leaders than low positions of cold stocks; better to select the pullback position of mid-tier stocks than high-position explosive positions; better to select the activation position of supplementary rise dragons than the following positions of pseudo-hotspots.
Short-term trading profits are earned through the “short-term emotional and capital price difference.” Only with a reasonable position can you achieve “offensive and defensive” strategies; if the position is wrong, no matter how good the hotspot and popularity, you will merely become a bag holder.
Lastly, a reminder: in short-term operations, always set a stop loss (suggested within -5%); even for reasonably positioned options, they may decline due to sector retreat or capital exit. Stop-loss is the “life-saving symbol” of short-term trading, and it must not be ignored.

This concludes today’s review article. If you find today’s article helpful, remember to like, follow, tip, and push oil! Our institute shares short-term reviews and operational suggestions every day, accompanying everyone in the short-term market to engage and grow, steadily profiting!
Disclaimer: This article is merely a record of my operations; investing carries risks, and trading requires caution. The content is a personal thought and record, serving only as documentation of my understanding of the market, and is for personal sharing only. It does not constitute any investment advice and is for reference only; any trading based on it is at your own risk.