Today A shares opened higher and moved lower, and the weakness continued; although the trading volume rebounded slightly, the sluggish sentiment remained unchanged. Recently, the market has been facing favorable conditions and has become immune to and , and the market has weakened following the sentiment. In terms of themes, anti-viral fabrics, supply and marketing cooperatives, pork, consumer retail, liquor, etc. are active; the main direction is still consumption after the recovery of the epidemic; the rest are basically investment in leftovers. In terms of decline, the main lines of energy and medicine such as oil, chemical fiber, rubber, and medicine continued to decline; insurance, real estate, etc. rose strongly in early trading and fell significantly after the meeting, driving the index to dive in the afternoon. As of the close, the three major stock indexes continued to close lower, and the Shanghai Stock Index once again fell below the 60 moving average.
[Hot Funds]: Northbound funds bought 22.815 billion yuan in unilateral throughout the day, of which and Shanghai Stock Connect net bought 1.883 billion yuan, and Shenzhen Stock Connect net bought 932 million yuan.
[Market Analysis]: Recently, pharmaceutical stocks have experienced positive results after the gradual liberalization of policies. With the collapse of the main line of pharmaceuticals, market sentiment has entered a period of ebb, and high-priced stocks have continued to fall. In the niche direction, the market is mainly driven by consumption expectations in the direction of post-epidemic recovery; among them, Xi'an Food and Quanjude High and Low leading brands have obvious support for the main line of consumption. Liquor and retail sales continued to strengthen during the day, mainly boosted by consumption expectations for the upcoming Double Festival. In other directions, the metaverse and anti-viral fabrics are basically fried leftovers, and the value of participation is not high.
From a technical perspective, the three major stock indexes are still in the decline stage. They have recovered somewhat today after yesterday's land volume. However, the weighted sector fell higher and fell again, triggering afternoon diving again. Overall, the market decline has not stopped, and there is a high probability that the downward trend will continue. Especially since the New Year's Day holiday is close, market sentiment will be difficult to recover quickly in the short term.
From the perspective of fundamentals , after the liberalization of policies, large-scale foreigners forced market economy activity to decline sharply, and consumer demand was sluggish. This is especially true in first- and second-tier cities. From New Year's Day to the Spring Festival, most people are obviously cautious about this.
In the recent index decline stage, the overall focus should be to control the position ; especially when increases too much and adjusts the direction of the theme, do not try to to buy the bottom of . For small positions, you can try low-purchase opportunities under the main line of consumption; for example, shipping and airports where logic reverses is clear; and education, real estate and other directions where policy margins have improved. In the mid-term layout, remain patient and wait for signals that the market will stop falling and stabilize.
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