Today's review

If I could accurately predict that it would surge and then fall back today, I would definitely sell it at 9 points and buy back at the end of the day. But all these ifs are just hypothetical.

I just reviewed the situation again. I feel that 80% of this is just a shakeout, so I didn’t sell and instead increased my position. I think if it opens lower tomorrow and continues to drop, that would be an even better opportunity. I might buy a bit more.

First of all, the company’s performance is outstanding, and the stock price isn’t high. Plus, its bottom-level holdings haven’t loosened. When the market dipped a couple of days ago, it remained steady along the 5-day moving average, clearly showing signs of support. More importantly, there’s no margin financing backing it, so there’s no risk of a stampede. This round of volatility seems more like a violent shakeout caused by quantitative selling, aimed at forcing out weak retail investors.

Looking at the fundamentals, the company has solid earnings, a small market cap, and a price-to-asset ratio of only 1.88, which is very healthy. It also taps into the electric power sector hotspot, with the country promoting green energy. It’s a leader in green power from waste-to-energy plants. In the context of the main trend still intact, this correction is actually an opportunity to gather strength. Multiple attempts to hit the daily limit indicate expectations for higher prices, just short-term resistance needs to be digested.

So don’t be scared by the volatility; markets often plant the seeds of reversal when they seem most panicked. Also, such sharp drops haven’t produced massive volume, indicating many major players are still holding their positions. Today, the market surged, and electric power stocks rose sharply. Yet, this stock shot up unusually high and then fell back significantly. My conclusion is: when something is abnormal, there’s usually a reason. Let’s go for it—attack it aggressively.