2025.12.6 Market Analysis

Over the weekend, the major market entered a range consolidation, and one must patiently wait for a clear signal before entering trades. The recent market seems complex, but it is actually simple. The complexity lies in the up-and-down fluctuations that are hard to grasp, while the simplicity is that the trend is a continuous squeeze.

Due to typically weak liquidity over the weekend, operations need to be particularly cautious.

Two key levels to watch:

The first is the gap below, around 87500. If it dips to this level during the day and fills the gap, then rebounds, one might consider placing long positions, with the extreme rebound levels at 97000-102000. This is a relatively ideal technical formation; do not enter unless a clear rebound signal appears.

The second is that if it fails to break above, there may be further retracement space, and one can consider shorting at highs, with strong support in the range of 85000-86000 below.

The weekend is likely to see narrow fluctuations, so be cautious of the potential drop on Monday. The market is becoming increasingly quiet, and the reference value of trading volume is limited, with few opportunities. It is advisable to remain patient and wait for clearer signals to emerge!