Technology stocks exploded, who is the next price limit?

Mondo Finance Updated on 2024-03-02

Since January 22, the flow of funds from the north has undergone a significant change, from the original net outflow to a continuous inflow. In February alone, the net inflow exceeded 60 billion yuan, a staggering figure. Is it just a coincidence that the positive ** of the northern capital and the stop of the fall of the CSI dividend index on January 23** echo each other? In fact, this is the result of a consensus reached by foreign and domestic institutions to jointly deploy China's high-quality core assets.

When investing, it is important not only to pay attention to the surface of the trend, but also to gain insight into the underlying logic behind it. Like looking for treasure in the fog, a deep understanding of the inner logic of the market is the key to success. Otherwise, we may just be groping blindly in the fog.

The direction of the market has changed, and so has the atmosphere. It would be out of place to continue to adhere to the bear market mentality. As early as around the Chinese New Year, I have repeatedly emphasized that my operational strategy has shifted from defense to offense. I am full of confidence in the medium-term of A-shares and Hong Kong stocks**, and this view has remained unchanged since the beginning of the year.

Investment requires foresight, long-term vision, careful work, and accurate rhythm. After the market continues to be the first, there is an objective technical demand for a second dip. Although yesterday's sharp fall was affected by the news, it also reflected the increased divergence after the market surge and the increased sensitivity to risks, which means that there is pressure to adjust.

According to the recent unraveling analysis, this week and next week will enter the stage of hitting the first wave of ** highs. At this stage, the profit funds will gradually leave the market, and the medium-term long funds will gradually enter the market, which will intensify. There is a high probability that the second step back will occur, and it is only a matter of time. The market itself has the need for a second step back to confirm, and it is also the need for the super main force to suppress the chips.

I've always been particularly bullish on the big tech sector. As early as the end of 2023, I have made it clear in the ** summary and outlook. AI is leading a new round of technological revolution and giving birth to a new round of technology**. Technology giants such as Microsoft, Google, Apple, Nvidia, and IBM have hit record highs, while our A-share technology sector has fallen sharply in the early stage. But don't worry, the valence effect will eventually be transmitted to the a** field. In this wave, the subdivisions of science and technology have been violent, generally rising by about 40%, becoming the main line of popularity.

However, due to the recent ** too fierce, too large a rise, ** more profits, the slightest wind and grass in the market will trigger a large number of sell-offs resulting in a big dive, yesterday's plunge is an example. If there was no news interference, Big Tech would have continued to rush higher yesterday, providing us with a good opportunity to sell high and reduce positions. But unfortunately, due to the disturbance of the news, what should have been ** has become a big fall.

However, after yesterday's large-scale drop and washing, the profit disk was thrown, and the market selling pressure was reduced. Coupled with the new "grapevine", the bulls directly counterattacked, and today Big Tech rose sharply across the board. So, can we still catch up now?

Actually, yesterday I slightly reduced some of the **profit chips, and I originally planned to pick them up when **. But today not only did not **, but it rose sharply, so I lost the opportunity to take it back. So, should you chase the rise? Was yesterday's deleveraging a mistake?

In fact, yesterday's deleveraging was based on two main reasons:

One is because of the sudden sharp fall in **, there must be a reason behind this trend. Before clarifying the reason, it is necessary to appropriately reduce positions to avoid risks. At that time, it was not clear why it was not clear whether it would continue to fall sharply. So, when the risk comes, the best strategy is to stay away from it. Therefore, yesterday's deleveraging was wise.

The second reason is that when the market was most panicked, I increased my position many times. Now the market is in the current position, the funds have a good income, and the market has entered the pressure level, there is adjustment pressure, at this time the take profit part of the chips is in line with the trading logic.

The most important thing in investing is to make the most reasonable response to the present, not the future. Dealing with the present is far more important than tomorrow.

Today's market has risen sharply, and friends who have reduced their positions may feel depressed. But if the market continues to fall sharply today and you don't reduce your position, wouldn't it be even more frustrating? Therefore, when trading, you should not be able to worry about gains and losses.

My strategy is to take a small profit yesterday on the technology stocks that rose sharply, and prepare to increase my position in medical biotechnology, Hang Seng Technology, and Hang Seng Medical, which have the need to make up for the increase. If Big Tech has a large ** follow-up and generates a price difference, I will make up the chips that have reduced my position. If it continues, it will not consider covering for the time being, and continue to implement the medium-term weekly investment strategy.

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