Watch for volatility and divergence tomorrow

Today, after the opening auction, it was clear that today’s relay trading would be difficult. First, the market’s high-profile stock, Read Technology, opened significantly lower, indicating that short-term relay sentiment won’t improve today. Then, Baida Precision’s order book during the auction was below expectations, basically confirming that the humanoid robots fermenting during the Spring Festival are also not going well. Both AI and humanoid robots failed to meet expectations and were immediately liquidated. The strongest stocks today are related to oil, which were heavily driven up by quantitative trading. Tomorrow, the usual script won’t allow buying at the front, and the back will be a trap. [Taogu Bar]

Oil, chemicals, and precious metals are all driven by the unreliable U.S. efforts to contain Iran, which introduces too much uncertainty. Whether they can continue depends entirely on news developments. This sector should only be viewed as rotating, not a main theme. There’s nothing particularly interesting elsewhere. Although many stocks hit the daily limit today, it’s hard to determine which sector will become the main theme.

Despite the overall rise today, trading volume was below expectations. Personally, I expect tomorrow to see sideways fluctuations, with caution that today’s broad rise could turn into a broad decline.

The market is unable to break through high levels, and there’s no main theme. Currently, the market is unfavorable for relay traders. Conservative friends are advised to continue holding cash and wait for a main theme to emerge. For those eager to trade, consider a one-in-two-out strategy, but pre-market selection is very difficult and requires combining auction data with intraday trends for decision-making.

Pre-market target suggestions for tomorrow: None!