February 6th: Try to watch the show; at least don't lose money.

Good evening everyone!! [Taogu Ba]

The short-term ecosystem over the past three weeks has been nothing short of hellish

The environment absolutely controlled by quantitative algorithms only allows for contrarian strategies

Stocks that plunged the day before can rebound strongly the next day, even hitting the daily limit

Tian Di Online, which hit the limit down on Wednesday, reversed after the auction yesterday, rebounded, and hit the daily limit again

But today, it didn’t exceed expectations

Of course, this was also affected by the lower-than-expected auction results of Yaowang Technology and Shiji Information

Yesterday, Tian Di Shares opened low and moved lower, even hitting the limit down during the session

Closed down 8.5%, but today opened low and then moved higher, rebounded, and hit the daily limit again

Yesterday, Di Ban’s Mingdiao Shares hit the limit down, and today they opened at the limit down, then reversed after the auction and recovered slightly

This is the current pattern—what held up the previous trading day is what can be held onto

Such heartbreaking strategies—what normal traders can endure

This isn’t complaining, but rather a short-term trading approach that dares to buy even when the stock drops below the previous day’s low or hits the limit down (recognition level)

Recently, stocks with clear signals have hit the limit or 2-3 limit-ups, then sharply dropped or hit the limit down afterward

Either buy low at the end of the day or open deep water the next morning for a low buy—quantitative models favor this

In the former case, opening a position isn’t a problem, but sizing the position is very difficult

Because it’s based on randomness, not certainty

Only stocks that dropped significantly or hit the limit down the previous day can be confidently followed the next day with a reversal, offering higher certainty

Yesterday’s reversal in Hengdian World Studios (which turned out even better)

I made two reversals yesterday: Tian Di Online hit the limit up, and today it didn’t get pushed down to deep water like Zhejiang Wen’s stock

This kind of strategy has a higher game value in the current phase

If you focus solely on consecutive limit-ups, the randomness is high

Suppose you bought GCL System Integration yesterday

Don’t tell me you’re okay with it dropping to -7 intraday and holding on until it hits the limit up

If you can hold, it’s either because your position is light or you don’t mind risking it, or you originally liked low-side buying

Hoping for intraday adjustments—just buy low, and at worst, you’re wrong

Positive conclusion: those willing to take action on the left side of the market in this phase can make money

Negative conclusion: those trying to chase on the right side are mostly just giving away money

Next week’s expectations:

Check the news for any fermentation over the weekend

Today, the Qianwen platform probably experienced too much traffic, causing access issues

So Data Port saw a rally during trading, but whether this fermentation will be sustained depends on (monitor Data Port’s feedback on Monday)

Additionally, market volume currently doesn’t look like it will return above 2.5 trillion again

Reducing volume, consolidating, and low-priced stocks are the preferred options

Consolidation: temporarily focus on non-right-side chasing, instead, active stocks that have broken their limits and are expected to recover through re-aggregation

Over the weekend, I’ll revisit the stocks that have been repeatedly active over the past two weeks and publish an article on them

Everyone can refer to it

Regarding strategies, stocks with high recognition levels tend to have large disagreements on the same day, and the next day, stocks that hit the limit down or rebound after hitting the limit down

You can group some recently recognizable stocks that fell sharply or hit the limit down today, and observe the active reversal targets on Monday

As for the disorderly rotation of themes, there’s no pattern anymore

Today’s operations:

Stop loss: Zhejiang Wenlian

Take profit: Tian Di Online

T+0 trading: Lio Shares

New positions: Data Port, Litong Electronics (loss)

Today’s portfolio update: