A-shares released a heavyweight good news, breaking through key resistance levels, and the market is starting a new journey, direction is very important!
1. Sudden heavyweight good news
I mentioned several key points in the market before, breaking through 3914 → filling the gap at 3926 → stabilizing at 3925 (daily trend upper rail) is a reversal signal.
At noon, the closing price jumped directly to 2927, breaking through key resistance levels, with 3551 stocks in the green, and the trading volume increased by nearly 300 billion, the profit-making effect has suddenly risen, and a volume breakout is a very important signal. Moreover, the ones that have risen are all in potential directions like technology, and the market is about to start a new journey.
Weekend news is also very exciting. Just as the market seemed a bit weak, at this critical moment, heavyweight good news was released, and with an important meeting in December that will also mention the capital market, this is not just a standalone good news, but a combination punch!
Because usually in December and January, the market is quite dull, releasing good news that allows insurance and brokerages to leverage at this time is like giving the market a bottom line and boosting its spirit! In the past few decades, has there been such good news in the village? It's all just talk! Now it’s real good news, plus the external environment is also helping; the US has shifted its strategic focus to the Americas, leaving development space for us in Asia, which is a great opportunity for our market.
The capital market stands at the center of the economy, becoming a new reservoir for residents' wealth. In the past few decades, this reservoir was real estate, and now it's the capital market.
2. Sector rhythm
In terms of sectors, computing hardware, storage chips, and optical modules are doing quite well, but to be honest, just relying on hardware is not enough. If the AI market wants to go far, software has to keep up.
Currently, software hasn't really exploded, but the turning point shouldn't be far away, at most waiting until the first half of next year, there’s a high probability of surprises. Although there are obstacles along the way, it will ultimately just be a process.
Additionally, commercial spaceflight is our mid-term direction, and there has been quite a bit of stimulating news here, which will continue to rise! A wave of trading in between.
Brokerages are doing well today, with good news, but the market didn't open directly high! Instead, it gradually rose during the session, which is a good thing, avoiding a sharp rise and fall in the middle of the session. Friends in this area should be patient; the bottom stocks will eventually rise, so don’t rush to sell just because they have just started to go up.
That's all for now, sharing a rose leaves a lingering fragrance. Liking is the greatest affirmation for me. I wish everyone prosperity!