Introduction: A shares: bottoming out, next week's market preview!
Friday's A-shares once again staged a big reversal trend, which also made the three major stock indexes stronger for two consecutive days. Among them, the Gem index fluctuated by 3.6% throughout the day. The bullish sentiment in individual stocks continued to recover, and the number of gains reached 2895. So does the bottoming out of the 11th indicate that the current rally will continue next week?
Overview of A shares
Let's take a look at the broader market on Friday, where the three major stock indexes in the morning were affected by the adjustment of overseas markets on Thursday night and opened low. Since then, the new energy vehicles, liquor, consumer electronics, semiconductors and power sectors have continued to decline. This has also led to a lower volatility in the ChiNext index. In the afternoon, the biopharmaceutical, brokerage, electronic payment and poultry meat sectors rose rapidly. Affected by this, the market quickly turned red. As of the close, A shares once again appeared positive. Among them, the Shanghai index rose 0.41%, and the ChiNext index rose 1.15%.
The main reason why the A-share bottoming out of the 11th is due to the positive news on the afternoon, which stimulates the rapid upward attack of the weighted sectors of the major indexes. This also means that the current long energy is actively undertaking. As a result, selling pressure at the beginning of next week is likely to be dampened.
In terms of northbound funds, the net outflow of 800 million yuan throughout the day did not continue Thursday's net inflow. It can be seen that Friday's big reversal did not get their approval. It also means that the current rally is likely to be of limited duration. In addition, there is also a lot of uncertainty in the news surface next week. Affected by this, the long energy of the second half of the week is likely to be tested.
Sector analysis
Then look at the situation in the sector, planting, meat and poultry, brokerage, electronic payment and biopharmaceuticals and other varieties rose significantly. It is not difficult to find that the partial defensive plate and the weight plate are strengthening at the same time. This also reflects the current rebound and the sharp return of new funds. As a result, there is limited room for multiple parties to play next week.
Electricity, construction, petroleum, new energy vehicles, semiconductors, consumer electronics and photovoltaics and other varieties fell in the front. Among them, the big technology sector once again led the market. It also means that there is a certain difference within the current long energy. Therefore, if the news surface does not continue to be positive, then the next bearing force will also be weakened.
Technical analysis of the market
Looking at the technical situation again, the market bottomed out on Friday. Among them, the Shanghai index rebounded less. After the close, the index put volume on the 5-day line. As a result, thursday's highs were not recovered during the session. This also means that the short-term multi-party has not yet fully taken the initiative. Therefore, next week, the bulls and bears will also have a certain contention.
In terms of the Shenzhen Component Index, it rose 0.62% throughout the day. After closing, the index has risen for 2 consecutive days. Considering that the current 5-day line is still continuing to decline. As well, the volume of volume shrinks further. This also means that the new funds have not been continuously undertaken. Affected by this, the short-term multi-party will also consolidate around the 5-day line to a certain extent.
The ChiNext index led the market for 2 consecutive days. After closing, the index surpassed Thursday's high. Also, I have been on the 5-day line for two days. This also means that the current long energy is still relatively strong. However, it should be noted that the unexpected decline in the large technology sector has also made the short energy not continue to deplete. Therefore, next week's multiple parties are likely to encounter some suppression after the release of inertia.
Based on the above analysis, Friday's three major stock indexes once again staged a big reversal trend. This also makes the short-term rebound trend begin to slowly form. Among them, the high point of the ChiNext index continues to rise. And, the outbreak of partially weighted plates in the afternoon. This also indicates that the current long energy is still actively undertaken. However, considering that the current willingness to return new funds is not strong. Therefore, it is difficult to launch a continuous attack on the long energy next week.