[Red Envelope] 4.7 Review: Seven Board Jin Medicine, Crossing the Tribulation to Become a Dragon

No need for off-market logic—only look for in-market signals. Focus at the window, push to the extreme at the nodes, and stay true to one thing at the hand of the strong.[Taoguba]

Every day before the market opens, these three soul-searching questions must be engraved in your mind:
1. Is there a main theme right now?
2. Is today a key turning point?
3. Does the strongest stock have a buy point?

On this path of trading, some people can’t悟道 after ten years, and some spend their whole life wandering outside the gate. It’s not that your IQ isn’t enough—it’s that your perspective is too shallow, and your direction is wrong.

Tonight at 8 PM, Taoguba will broadcast live. I’ll be there—no fluff, no pouring out chicken soup. I’ll break down and grind the underlying logic of ultra-short-term trading: 《How to Walk Onto the Right Path of Trading》.

Last night, the fireworks that had been on pause for a long time at the head of Orange Isle reignited again tonight. Across the river, the azaleas on the halfway mountain also turned red,染红了 the entire YueLu Mountain. More or less, it’s this kind of mood. “JinYao”—it should have had a board break, but instead surprised everyone and stood up to seven boards.

Today’s “JinYao” is the beginning of its crossing from the second stage into the third stage. Commonly known as: the sniper point of the 龙头 player.

So here comes a very fundamental question: Is the炒作 and anchoring at each stage the same?

Some people are anxious and don’t dare to buy the strongest stock, missing opportunities; some people can’t figure it out and don’t buy the strongest; some buy in, then get frightened when it breaks down after hitting the limit-up; and some take the lead—happy when it boards, terrified when it breaks, and end up slapping their thigh in regret.

So精彩—tell me, is it you who’s like this?

The reason is either you don’t have a model, or the model hasn’t evolved yet, or the model is copied—because you can’t fully simulate and follow the changes in the strength path of the individual stock.

I. Today’s Actions: One Low-Absorption, One Midway Entry, One Confirmation

At the open, “JinYao” hit the board. I didn’t move—I just watched. I watched the way it sealed the limit-up. The order book wasn’t large, but it was steady. Selling pressure wasn’t small, but the buy support was stronger. This was the first limit-up of the third stage—no need to rush.

Around 9:40, the broader market had a small dip. “JinYao” followed and broke the board. The intraday line looked like a bamboo shoot bent by the wind—instantly dipping below the moving average. At this time, the comment section exploded: “It’s over,” “They’re dumping,” “Do I run?” I stared at the order book and wasn’t panicking. Because at the moment it broke the board, the turnover rate was only 15%, and the volume/energy didn’t expand abnormally. Large-sell outflows didn’t concentrate. This wasn’t active dumping—it was passive following.

First time: Low absorption. The moment it broke below the moving average, I placed a low-absorption order. Why was I brave enough to buy? Because this is the first divergence of the third stage. What are the characteristics of the third stage? It’s emotional game theory; it’s belief-driven. The first divergence is often the moment to board the train—not the point to exit.

Second time: Midway entry. At 9:47, a miracle happened. The intraday line leapt up from deep water, like a fish breaking the surface of a lake, charging straight back toward the moving average. Some said it was the funds igniting it; some said it was a message catalyst. I don’t care about those. I only saw the signal: it’s back—here it comes, with confidence and momentum. When it reversed back near the moving average, I added another position. At that moment, the order book became tighter and tighter—every buy order was pushing the price upward.

Third time: Confirmation. Next, the broader market turned and pulled up again. “JinYao” broke above the moving average. So I placed yet another order. After three orders, my position reached the psychological limit.

Then “JinYao” sealed the limit-up tightly—seven boards, steady and sound.

For this day’s trading, there was no breathless, heart-thumping drama. It was step-by-step execution. Every time I placed an order, there was a reason: the first time was “passive divergence low absorption”; the second time was “weak-to-strong mid-entry”; the third time was “weak-to-strong confirmation.”

Three moves, three techniques—but behind them is the same logic: in the third stage, divergence is the buy point, and consistency is the lock-in.

There’s the mainstream, there’s the main theme, and there’s the core—everything else doesn’t concern us. Today, execute this sentence to the extreme, every single day.

II. Index Determines Style: Volume shrinking to an ice point—tighten the group hug

An old, tired playbook.

The broader market opened slightly higher. Core stocks in optical modules, including “Yi ZhongTian,” opened red. It basically set the pattern for today: index opened higher and rose, then fell back. Why? Because the rise in big technology was passive. Overseas had a big rally; the Hang Seng index surged. It wouldn’t look right not to pull up, but once it was pulled up, there was no follow-through, no chasing. Naturally, it had to retreat. This script has already been played once on April 1.

Here comes the question: Can the rally in big technology create a seesaw effect with the medical sector?

For specifics on how to look at this effect, please rewatch the April 1 recap article,

[Red Packet] Next Tuesday’s live broadcast, 4.1 recap: Spring water breaks the ice—new shoots first bloom

Simply put: When big technology is rising passively, it’s not a seesaw with the medical sector main theme. It’s only a short-term interference. The rhythm of the main theme won’t be broken; instead, during the interference, turnover gets completed and it goes further.

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Today at the open, volume could be estimated at 1.3 trillion for the whole day—lowest since the 9·24 session. In a daze, it felt like we were back in a bear market.

Shrinking volume is the most honest language of this stage. When volume shrinks, the noise disappears; the followers exit; and what remains are the people who truly understand the main theme.

Looking back to before last year’s 9·24, volume had already shrunk to below 1 trillion for a while. Then it exploded into a roaring rally. When volume shrinks to the extreme, it’s a signal of a trend change—but the direction isn’t guessed; it’s proven by how it plays out. Today, the medical sector strengthened amid divergence, and “JinYao” sealed the board amid divergence. That’s direction.

So volume shrinking isn’t the end of the world—it’s a filter. It filters out noise, drives away followers, scares off the hesitant. In the end, what stays on stage are those veterans who truly understand the main theme, the nodes, and how to do follow-on.

On today’s tape, the number of limit-up boards increased slightly. That’s the overall money-making effect after “JinYao” becomes the dragon. At the same time, the core stocks’走势 were unusually stubborn and resilient. In a shrinking-volume environment, the fewer the “group hug” funds, the more they have to go toward the brightest places.

III. Sector Determines Direction: A Misaligned Game Between Big Technology and Medical

At today’s open, big technology led the pack, and the names with leading gains were all technology—especially optical communications. Meanwhile, in the top ten by losses, all were medical. This is completely the opposite of the situation on the day “JinYao” hit four boards and then秒板.

This basically confirms: today’s medical sector starts with big divergence. Combined with the overall outlook on the index above, it implies that the medical sector will most likely complete its shift from intraday divergence to consistency.

Why?

Because big technology is passive, while medical is active. Passive things inevitably pull back when they get stretched; active things can still become consistent after a divergence. This judgment doesn’t require high-level technicals—it only requires understanding what the funds intend. The pull-up in big technology is to stabilize the index. The adjustment in medical is to shake out the market.

One is for appearances, and the other is for substance.

If that’s the case, if someone gets in first, why rush to take their chips off the table? For those watching from outside who want to experience the strongest stock—doesn’t this sound like an opportunity?

As for volume/energy, and all this and that—what do they have to do with it? Can they stop the core follow-on from marching forward relentlessly?

Here I need to add one more thing:

The reason the main theme is the main theme is not because it hits one-word limit-ups every day, but because it can withstand divergence and move against the tide during a pullback. Today’s medical sector was suppressed by big technology at the open, and the top ten on the losers list were all medical. If it were a typical theme, it would have surrendered long ago. But “JinYao” didn’t. It held up, then led the sector to complete a shift from divergence to consistency intraday. That’s the resilience of the main theme.

From a more macro perspective, this money-making style of follow-on has been going for more than two months. From “YuNeng” to “JinYao,” from electricity to medical—market main themes are switching, but the follow-on style is continuous.

Every wave of the market has a core carrier; every carrier goes through the full cycle from divergence to consistency, then from consistency back to divergence. Once you understand this pattern, you won’t panic in today’s divergence, and you won’t get greedy in tomorrow’s acceleration.

IV. Timing by Nodes: The threshold of the third stage—once you pass it

Back to “JinYao” itself: today there were especially many voices. There were guesses, breakdowns, and various anchoring. Some said it couldn’t clear the abnormal movement; some said its height is limited; some said it didn’t have smaller brothers to assist. Just listen to those voices—don’t take them seriously.

Don’t be metaphysical. Yesterday I repeated it: in today’s market, the炒作 path of a single stock is like this (real data—please highlight and take notes):

First stage: Logic game.

When a hot topic appears, the first ones to rise must have the hardest logic. This is different from the past. It’s no longer that only stocks with “three lows and three has” can reach height. As the share of quant trading increases, logic comes first. For example, last year, the hardest logic in Seedance 2.0 was “掌阅”; and a bit further back, when Israel bombed Iran’s oil, the hardest logic was “墨龙.” Its business already directly reaches the Middle East—especially repairing oil well equipment—so these two became the real core players.

In this stage, what you compete on is cognition and understanding how deeply the market topic is.

Second stage: Chipped-cards game.

In this stage, everyone is very familiar: weak-to-strong, divergence-to-consistency, and various volume-price relationships. In essence, it’s “turnover” used to build height. In this stage, what you compete on is technique—sensitivity to the intraday chart, volume/energy, and the order book.

Most short-term traders stay in this stage. They use various “battle tactics” to fit the pattern; sometimes they profit, sometimes they lose.

Third stage: Emotional game.

Commonly called “playing the fool.” This is the stage for 龙头 players. It’s about going everywhere—up to the sky, down to the ground—and killing decisively. To be honest, most retail investors can’t control it, because there aren’t many anchors. It’s driven by belief: one step on the sky, one step on the ground. Your heart can’t take it.

In this stage, what you compete on is mindset: your understanding of cycles, and your grasp of “momentum.”

So today’s “JinYao” didn’t have tool-men showing up, didn’t have smaller brothers offering support, and didn’t have a previous龙来 counter-affirm. Everyone felt lost—that’s the characteristic of the third stage. It can start from “pushing points from the surface,” then move into “bringing points to the surface,” and later even into “pushing points from the surface” again. Today, it doesn’t have smaller brothers and tool-men—but it itself is one flag. Where the flag stands, that’s where the direction is. So the smaller brothers swarm in.

Of course, I still believe this stage doesn’t depend on those tricks. You still have to look at the overall picture—for example, the index, the volume/energy, and the themes above. Today, the index rose then retreated but remains stable overall; volume/energy shrank, but the core stocks’成交额 did not shrink; the themes started with big divergence, but completed the shift to consistency within divergence.

All three macro indicators support “JinYao” continuing to move.

So this node is actually the formal entry point of the third stage as well—also a place where you can participate without worry.

Someone asks: When does the third stage end? The answer is: when the emotional tide retreats. What’s the signal of a retreat? It’s when the core can’t break back after a board break, and when the smaller brothers get mass limit-down. Those signals didn’t appear today, so the party is still going.

V. Strength Determines the Stock: The signals are all there—no need for more words

Everything I say doesn’t count; everything you say doesn’t count. We look at signals:

1. Trend core

“MeiNuo,” “WanBang,” and “JiuAn” all opened red, stabilizing the troops. Popularity is still there; the field is still there; the energy/momentum is still there. These three aren’t for buying—they’re for observing. When they stay red, it shows that most of the medical army hasn’t retreated. When they stay stable, it shows that institutions’ positions haven’t loosened.

2. Negative-feedback stocks

On Friday, the two negative-feedback smaller brothers opened at the limit-down in the opening call auction. There was no big sealing order. After 9:25, they started抢筹 and lifted. This detail is extremely important: the negative feedback didn’t spread; the mood didn’t collapse. If they had been sealed at limit-down by large orders, “JinYao” would have been hard to push out. But it didn’t—so “JinYao” had the confidence.

3. Strongest stock

“JinYao” opened at 4.73%, which matches expectations. It didn’t top-tick one-word. That gave room for turnover. It didn’t open lower, and it didn’t have an unexpectedly top-board open. The position is just right. After the open, it quickly surged to limit-up, then broke the board, then re-sealed, then broke again, then re-sealed again. Within one day, it experienced two rounds of divergence and two rounds of consistency. In each divergence, there was fund follow-through; in each consistency, there was selling pressure released. This kind of movement isn’t a distribution/dumping—it’s a washout. It’s the main force telling everyone:

If you want to come, you can come anytime. If you want to leave, you can leave anytime. But you have to think it through: after you leave, can you come back?

That’s the charm of the third stage: it gives everyone fair opportunities, but it also punishes every unsteady person.

VI. Tomorrow’s Scenario: Acceleration expectations—hold with belief

When “JinYao” gets to this point, some people will think about abnormal movement; some will think about height being suppressed. But what does that matter?

In this market, who is the main force? Who gets to decide?

Of course, it’s the market’s funds that decide, and it’s the combined force of all traders in this market that decides—that’s the top-level macro outlook.

Tomorrow, acceleration is expected.

But acceleration doesn’t mean you can blindly add to your position. It’s already offered opportunities for two consecutive days. If it accelerates again tomorrow, that would be a feast for current holders and a torture for those in cash. If you don’t have first-mover shares, it’s no longer suitable to gamble heavily from here. Either go lightly to find your feel, or wait for the next opportunity. Don’t chase higher at this spot—chasing higher is giving others a chance to carry you.

And for those who have first-mover shares, tomorrow only has one task: lock in the position and let profits run. Don’t be scared off by intraday jitters. Don’t let others’ remarks interfere. What you hold is the market’s only highest standard bearer and the emotional core of the third stage. As long as it doesn’t fall, you don’t leave.

If a big divergence shows up tomorrow, what should you do? Distinguish between passive divergence and active sell-offs. Passive divergence (following the broader market) is an opportunity to low-absorb. Active sell-off (volume expansion with stalled gains, large-order outflows) is a risk that requires taking profits.

Also, tomorrow you need to watch two signals: first, whether tool-men will appear (whether new smaller brothers step out to cap with a one-word board); second, feedback from the trend core (“MeiNuo,” “WanBang” can’t drop hard). These two signals help you judge how far the third stage can go.

Final words

Tonight at 8 PM, Taoguba will broadcast live. I’ll break down and grind the underlying logic of ultra-short-term trading. I’ll explain 《How to Walk Onto the Right Path of Trading》. This isn’t talk for show—it’s the mindset of a practitioner. You come—I’m here.

The fireworks at Orange Isle are still burning. The azaleas on YueLu Mountain are in full bloom. “JinYao” with seven boards—like those fireworks, like those red flowers—blooms fiercely in the breeze of late spring.

Hope your account is the same as this.

May every friend stay focused at the window, reach the extreme at the nodes, and stay true to the strong—and reap plenty.

On today’s Taoxian, there aren’t many people willing to lay out their sincerity openly, and there are even fewer willing to stop and listen. If you think my sharing is worth watching, feel free to tap follow. In this sea of people, let’s recognize each other’s faces.

Here I’d like to thank @让梦想起飞 @嘀哩嘀哩滴滴 @格局打开慢慢来 @顺势而为1126 @Zx981216 @上善若水2017 @忠诚纯粹纪律信仰0056 @prosperity1 @郭甲第 @小资金有大梦想 @第三纬度 @无压力之人匀 @醉爱小龙虾 @顺势秋恋 @渡己归心 @探险王者 @本是幻 @頖縌 @直心新哥 @明腾 @大银念金刚 @Taurus红筹局 @354207 @小冯家的阳 @LJM193806 @云门心情 @未梦已先遗 @ST攒劲 @锦年秋天 @文武合一 @乔治小猎手 @蜗牛77 @剑海玲珑 @飞飞飞大 @刘晓燕 @2018知易行难 @龙南通讯 @股海养老魏 @闯荡的南风 @涅槃重生2018 @一日是一日 @万程挑一 @陶股养家 @彭煜城888 @最爱牛肉粉 @大道顺势 @雪山林海 @木已成舟18 @LJ一灯 @逻辑数字 @txtg @李森焱 @宁波股上人生 @靜中殺氣 @一落叶知春秋 @荷采采 @连娜 @dao熟了 @GggZ27 @兔兔兔小宝贝 @海鸥天堂 @絜矩之道 @解善良 @四海哥哥 @放逐心 @打板小哥哥 @一芃天天快乐 @映山红红红红 @Freechaser @横笛一笑 @林三渡劫 @我要实现一个小目标 @股海浪花123 @亲斤哥 @颜值77 @像我这样的人666 @财富美姐 @五年之约加油 @WHC努力中 @冬不拉东 @章君 @青出于蓝尔 @天道者也 @zhmmu @运营哥 @上游地主 @股市T坑 @贾文青 @午夜梦回红牌楼 @兜兜有麦 @套套利 @zxd6666 @赛满红 @彩铅 @梦向漠河 @开心选股 @池中水 @提笔皆是你 @无物唯觉 @baijie白杰 @韭菜成长 @青铜王者11 @天高云淡333 @封涨停板 @Oreki888 @道彰 @点点点丶 @小百年悟道 @小马哥1987 @漫步山巅 @玺媛 @微微的风在上海 @T轩炒股 @牧童放牛 @渐修之路 @娉婷袅娜 @钵仔潴 @CJ先生 and other friends for their tips.

With more and more followers, as a practitioner, my energy is limited. From now on, I probably won’t be able to take care of everything everywhere. But I’ll leave more time for the ones who follow me. After all, in this world, every pursuit should be mutual.

Here I’d like to thank @254637 @梦向漠河 @望白云 @安玛在唱歌 @打板小哥哥 @顺势而为1126 @沙泥 @郭甲第 @格局打开慢慢来 @中年妇女无所谓 @GggZ27 @Zx981216 @GJ梅 @周大涨 @赵大野 @忠诚纯粹纪律信仰0056 @六脉神剑股份 @逻辑数字 @大道顺势 for cheering.

Everyone’s intentions have already been received, and they’re kept in mind.
You come—I’m here; you follow—I respond. That’s all.

· The market is risky; invest with caution. This article only reflects the author’s personal market recap and viewpoint sharing and does not constitute any actual investment advice, guidance, or promise.

· Any specific stocks mentioned in the article (such as “Yi ZhongTian,” “JinYao,” “MeiNuo,” “WanBang,” “JiuAn,” “ZhangYue,” “MoLong,” etc.) are only for case analysis and logic modeling—not a recommendation to buy or sell. If investors act on this, risk is on them.

· Short-term trading has extremely large volatility and is affected by multiple factors such as market sentiment, funds, and policy. There is a very high level of uncertainty. Historical patterns like the “4-board curse” may not repeat in the future, and past successful cases do not predict future outcomes.

· Please make independent judgments, and take responsibility for every trade in your own account. Don’t blindly follow—especially after stocks have already risen significantly, chasing higher carries huge risk.
This content is for reference only—please verify carefully.