He Xun Investment Advisor Fang Rongxia: Will It Continue to Fall Tomorrow?

Teacher Wang, will there be a decline again tomorrow on Monday? Be cautious tomorrow. Looking at the accelerated decline during Friday’s midday trading, is this a continuation of the downward trend or a violent shakeout?

Hexun Investment Advisor Fang Rongxia stated, firstly, trading volume has shrunk. The Shanghai Composite Index fell below the key level of 4100 points, with the total daily trading volume decreasing by over 40 billion compared to the previous day. What does this indicate? During the late trading decline, more funds chose to exit and wait rather than buy the dip. Secondly, the daily MACD divergence trend is still ongoing, and trading sentiment is weak. Technical resistance to a rebound remains, making it difficult to reverse in the short term. Thirdly, the structural differentiation main lines are contracting. The market continues to focus on inflation and energy security, with a few sectors remaining strong, but most stocks weakening, showing a fragmented pattern. The technology sector, semiconductors, and computing power are also clearly weakening, with strong profit-taking intentions among funds.

Therefore, my clear view is that the current market is in a phase of index correction, shrinking volume, and sector divergence. In the short term, it is likely to continue wide-range fluctuations. Tomorrow’s trend is expected to open slightly lower, then oscillate and test lows before rebounding.

(Edited by: Shao Xiaohui)

【Disclaimer】This article only reflects the author’s personal opinions and is not related to Hexun. Hexun’s website remains neutral regarding the statements and opinions expressed in this article and does not provide any explicit or implicit guarantees regarding the accuracy, reliability, or completeness of the content. Readers should only use it as a reference and bear all responsibilities themselves. Email: news_center@staff.hexun.com