[Red Envelope] Next week's important market turning points + Q1 earnings hype about to kick off, looking for 2026's "ZTE Optoelectronic"

1. This Week’s Key Stock Highlights: [Taoguba]

1. New Easy盛: Strong against the trend on Friday, NVIDIA GTC 2026 conference countdown approaching;
2. Demingli: Main upward wave lasted five days this week, hitting a new high, driven by continuous storage price increases and performance certainty;
3. Sunshine Power: Rallied five days at the bottom this week, rising with soaring oil prices, benefiting new energy, with bottom support in progress;
4. Hunan Yune: Consecutive five-day rise this week, driven by a bottom reversal in the lithium iron phosphate industry, supported by fundamentals + industry cycle + capital flow;
5. Shenghong Technology: Consistently strong and bottoming this week, with triple binding of NVIDIA Rubin/LPU/CPO + valuation still room for growth, one of the most benefited A-share targets at GTC 2026;
6. ****: New focus on Friday, no comment for now;

Still the same saying: The market never lets down those who truly understand it, but always harvests the chasing and panic sellers.

2. Index Projection:

(Last week’s main post screenshot)

1. The overall index structure remains consistent with the views from New Year’s Day and last week, from January to mid-March, mainly sideways trading within high-level consolidation ranges.

2. According to the projection from New Year’s Day, the high-level sideways trend from January to mid-March means next week enters mid-March, so pay attention to major turning points. Next week’s change could directly alter the large-scale pattern of spring high-level consolidation, making the weekly rhythm especially critical. It’s important to learn and improve index projection skills quickly!

3. Opportunities and risks coexist next week. Focus on structural rotation opportunities. Currently, a slow bull market with structural characteristics, for example before the Spring Festival, where optical communications like Zhongji Xuchuang and New Easy盛 oscillated and adjusted, while Tianfu Communication and Longfibre Fiber surged in a main upward wave. Going forward, the market will mainly rotate structurally, with some sectors already bottoming out and signaling new upward waves, especially as Q1 earnings have already bottomed and started. Focus on opportunities related to Q1 earnings expectations. Most sectors may continue to oscillate, seek bottoms, or bottom out, especially those without strong growth expectations for Q1, which may drift until mid-to-late April.

3. Next Week’s Highlights:

1. Q1 Earnings Focus: Price Increase Logic

• Chemical Price Increases: The chemical sector remains optimistic, driven by Middle East conflicts, Strait of Hormuz shipping disruptions, Brent crude surpassing $100/barrel, and sharp rises in naphtha, ethylene, benzene, and other raw materials. This is a fourfold resonance of rising oil/geopolitical costs, supply tightening, peak demand season, and growth in high-end materials!

Key sectors: Coal chemicals, fluorochemicals, phosphate chemicals, organosilicon, polyurethane・MDI, lithium hexafluorophosphate; (Baichuan Shares, Baofeng Energy, Yuntianhua, Wanhua Chemical, Juhua Shares, Xingfa Group…)

• Storage Price Increases: March marks the performance season for US and Chinese stocks, with GTC catalyzing intensively! [Micron] reports earnings on 3/19 at 4:30 Beijing time, with market expectations near company guidance: revenue around $19.15 billion (guidance $18.3-19.1 billion), Non-GAAP EPS $8.5-8.59 (guidance $8.22-8.62). Domestic storage: Baiwei Storage announced 1-2 month earnings, expecting net profit attributable to parent of 1.5-1.8 billion yuan, up 922%-1086%. Keep an eye on subsequent earnings forecasts. [GTC] from 3/16-3/19, NVIDIA’s GTC may showcase LPU chips mainly for inference, similar to ASIC, with SRAM used to reduce latency and significantly boost inference speed. LPU could become a key tool for NVIDIA to capture inference market share, so watch for new storage solutions.

Persistent storage shortages remain. After the Spring Festival, spot storage prices rebounded, and Q2 contract prices are expected to exceed expectations! Q1 DRAM and NAND contract prices significantly surpassed expectations, nearly doubling month-on-month, with ongoing shortages. Spot prices, disturbed by the festival, have now resumed upward trend.

Elastic storage modules: Jiangbolong, Shannon Xinchuang, Baiwei Storage, Demingli, etc.; Design manufacturers: GigaDevice, Beijing Junzheng, Puran, Lankei Technology, Jucheng Shares, Dongxin Shares, Hengshuo Shares, etc.

• M9 Material Price Increases: Copper-clad laminates, copper foil, electronic fabrics—driven by AI computing power explosion, high-end material structural shortages, global price rises, and accelerated domestic substitution—form a “volume and price rise + high performance growth + valuation uplift” double play.

These are core upstream components of PCB (printed circuit boards), together forming the main part of copper-clad laminates (CCL), accounting for 30%-40% of PCB costs:

Recently, Japanese CCL giant (MGC) announced a 30% price hike, signaling an industry boom.

Main stocks: Shengyi Technology, Huazheng New Materials, Nanya New Materials, Jinan International.
Copper foil: Nord Shares, Copper Crown Copper Foil, Jiayuan Technology, Defu Technology.
Electronic fabrics: Honghe Technology, Feilihua, China Jushi.

2. New Technologies in AI Computing Power Growth:

Countdown to NVIDIA GTC 2026, focus on hot topics and new tech hype directions.

Expected highlights at GTC 2026 (March 16–19): Rubin Ultra mass production, LPU inference chips, CPO/NPO optical interconnects, full liquid cooling + M9-grade materials, Feynman forward-looking projects. Rubin Ultra + LPU + CPO may exceed expectations.

Core A-share companies focus on PCB / CCL, optical interconnect / CPO, liquid cooling, and server OEMs.

Beneficiaries: Shenghong Technology, Hudian Shares, Shengyi Technology, Feilihua, Robotech, Tianfu Communication, Zhongji Xuchuang, New Easy盛, Yingweike, Golan Shares, Foxconn Industrial Internet, etc.

3. Lithium Batteries and New Energy:

Supply-demand mismatch, price elasticity, performance realization, and technological/policy catalysts resonate. The core logic: “Lithium first, then materials; resources first, then processing; prices rise first, then performance.”

Iran issues will accelerate Europe’s energy independence, boosting energy storage prospects. With Ningde’s strong earnings, lithium battery expansion is favored, and energy storage will gradually become a key driver for lithium capacity expansion.

Domestic and overseas markets are resonating. According to CESA, in February, 131 energy storage projects were awarded, with a total capacity of 10.8 GW / 59.6 GWh, up 65.2% month-on-month and 367% year-on-year.

Internationally, Iran issues accelerate Eurasian energy crises, with energy independence likely to be a future main theme.

Core stocks: Putailai, Zhongke Electric, Salt Lake Shares, Ganfeng Lithium, Enjie Shares, Tiancai Materials, Hunan Yune, Fosu Technology, etc.

4. Future Strategy:

1. Long-term stability is key.

Many people were pessimistic after the March 3 external shock and market-wide decline, but they didn’t realize that during such declines, all participants are the same. The key is: during a market crash, who suffers high-position losses, and who is positioned low and benefits when the market recovers? Those with losses during the crash are different from those with unrealized gains that fall back. This directly affects whether you view the market with a long-term perspective or panic and cut losses. When the market recovers, those who can continue to steadily rise demonstrate true capability.

For example, many retail investors panic-sell during the March 3 crash, then chase the rebound on Thursday and Friday, only to panic-sell again on Monday, then chase again during the recovery, and repeat this cycle. Over 200 trading days a year, chasing and panic-selling become routine—this is the real picture of most retail investors.

To avoid this, learn from the few with high awareness, stay away from crowd emotions, and invest with rationality and discipline.

2. Trust consistently, learn continuously.

Many people, after the external shock last week, give up learning, and continue chasing and panicking this week, missing the rebound. Stocks like Yune, Sunshine Power, Demingli surged all week. Many treat stock trading as speculation, and even “learning” as speculation—learning one week, then stopping the next, panic when missing the rebound, then chasing again, only to see the market correct and be disappointed. The cycle repeats.

The truth is, learning is similar to speculative trading—fear of missing out leads to chasing, which results in corrections and losses. The key is: trust and keep learning steadily.

Looking at Taocun, how many can truly sustain long-term growth? The answer is clear: it’s about long-term, continuous learning, not speculative short-term moves.

3. Correctly understand the current market environment.

The spring market has been pre-judged: January to mid-March is a high-level sideways consolidation. Institutional style is bottom-finding and bottom-building. In such a market, rebounds often pull back, and corrections are followed by recoveries. Recognizing this helps maintain a calm mindset. Instead of forcing a main upward wave in a volatile market, accept the oscillations, look for opportunities during panic, and be flexible—tracking and adjusting accordingly, even possibly profiting from contrarian strategies.

4. Next week’s rhythm is crucial.

Entering mid-March, the index may face major turning points. Opportunities and risks coexist. Some sectors and stocks have already bottomed and begun a new upward wave, signaling potential for a new main rise, driven by Q1 earnings expectations. Sector rotation opportunities are key. Also, monitor the transition from the high-level consolidation pattern during the Spring Festival to either a main rise or a breakdown.

To improve stock selection based on Q1 earnings and index rhythm projection, act quickly and learn together.

Finally, I hope everyone can like, support, and tip this main post. Your support is my motivation to keep sharing.

Thanks to those who contributed with tips and encouragement in the last post: @yuzelun @Michelangelo @LaoLaiZongHeng @Iamgroot @YuanXiaoEr @FanshenZhan @wInfinite @WonderfulNewWorld @Trend86Fan @Yunlianlian @LanAnshj @Michelangelo @JieZhuoYaoGu