A-shares: Latest positive news

On Friday, driven by intraday positive news, the two major stock markets experienced a rebound after hitting a low. In the early session, the market was relatively flat, with the Shanghai Composite Index falling to 3,152 points at one point. However, as a series of positive signals emerged from the Financial Street Forum, attracting an accelerated inflow of funds from outside the market, injecting vitality into the market, and prompting the market to gradually stabilize and begin to rebound. Especially in the afternoon, influenced by the further spread of positive news, investor confidence significantly strengthened, leading to more funds pouring into the stock market, driving the index to rise rapidly, touching a high of 3,313 points. However, as the market approached the end of the day, some cautious investors chose to take profits, causing a brief pullback.

In terms of market performance, the financial sector played a key role, with the performance of Tianfeng Securities and Yinzhijie being crucial in boosting the index and overall market sentiment. In addition, stocks such as Shuangcheng Pharmaceutical, Changshan Beiming, and Hainengda did not receive negative feedback at the opening, which also helped to stabilize market sentiment. Besides the financial sector, the chip industry became the main hotspot of the day, both because the theme rotated to this field and because the overall market atmosphere was positive, which amplified its influence. At the same time, stocks in the technology restructuring concept, such as Guangzhi Technology, Fulede, and Shuangcheng Pharmaceutical, all involved chip themes, which further promoted the strong performance of the chip sector.

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Technically, the market showed a rapid rebound after opening low, eventually closing with a large positive line with a long upper shadow, and the trading volume significantly increased, indicating that the short-term adjustment may have ended. Next, the market is expected to challenge 3,600 points to form a double top pattern. The market's rise will not be smooth and unobstructed, and the regulatory authorities hope to see a steady rise in the "slow bull" market, rather than a rapid surge in the "crazy bull." Therefore, if the market experiences a rapid rise next week, it may face some regulatory pressure. However, any pullback should be seen as a good opportunity to enter the market, as stable and sustained growth is more in line with the expectations of the vast majority of investors.

Technology stocks performed strongly, mainly due to several factors: 1. Nvidia's stock price climbed to a new high; 2. TSMC and Apple also reached historical highs, driving significant increases in related fields such as chips, semiconductors, and consumer electronics. The most critical factor is the stimulating effect of policy-related positive news, and it is expected that the focus of the market will still be on the technology sector.

In terms of news, 1. The China Photovoltaic Industry Association pointed out that if the bidding price of photovoltaic modules is lower than 0.68 yuan/W, it may be suspected of violating relevant regulations. 2. Huanfang Quantitative decided to gradually reduce the investment positions of all its hedge products to zero, indicating that it will shift from a short-selling strategy to a long-buying strategy, which is a positive signal for the overall market. 3. Relevant departments are studying and deploying measures to promote the construction of a unified national market. 4. Guoke Micro announced that the National Integrated Circuit Industry Investment Fund (Big Fund) plans to reduce its holdings in the company by no more than 3%; these factors have a relatively neutral impact on the market.

Overall, the market experienced a round of fluctuations this week, setting a new low for adjustments, leading to a pessimistic shift in investor sentiment. On Friday, October 18, the market welcomed a significant rebound. At present, the overall trend is still in the stage of a three-wave rebound, and it is recommended to adopt a strategy of buying on dips in the wide range of box shocks. For the Shanghai market, it is ideal to maintain a single-sided trading volume of 800 to 1,000 billion yuan; last Friday's trading volume reached 827.9 billion, showing a positive attitude in the market. To support further rises in the stock market next week, a sustained increase in trading volume will be key, otherwise, it may be unfavorable. The investment strategy should focus on two core areas: high-quality assets and emerging technological productivity, and pay special attention to the opportunities brought by the reform of state-owned enterprises, especially those with a Shanghai state-owned background, which have performed particularly strongly recently.