After wandering around, the price has once again returned to near 70,000 points!

Although the daily chart shows an 8-day consecutive bullish pattern, in technical analysis, I have always emphasized that this type of consecutive bullish candles has significant flaws. First, the gains are not enough. Second, in a weak trend, consecutive bullish candles do not indicate a strong bull market; rather, they are merely rebounds in a weak bear market! I am also very concerned about the appearance of reversal signals, especially when positive K candles are interrupted and turn negative. In fact, over the past month or more, this pattern has been consistent—whenever consecutive bullish candles are followed by a negative K, the trend gets disrupted. It is not the false breakout behavior you might think, nor is it energy building up for another surge. Historical evidence often shows that in a weak trend, once the rebound ends and the positive K candles cease, a sustained decline follows. We can say it won't break the bottom, but you must accept the oscillation within a weak trend—this is the pattern and the iron law of technical analysis!

Yesterday’s decline erased about 5,000 points of the gains made over the past two days, and the daily chart has formed a pattern of consecutive negative candles. Looking ahead, I believe the probability of sideways movement is quite high. Even if there is a breakdown, I don’t expect it to happen this week. The first reason is that the previous series of bullish candles contained many doji or small bullish K candles, indicating that when the price returns to this level, it will undergo a second correction. Based on the oscillation range around 70,000 points!

Yesterday’s daily chart was quite weak; after automatically breaking below 73,000, there was no real effort from the bulls to counterattack. In the early morning, it only reached 72,000 before facing renewed downward pressure. Today’s main theme allows participation from both longs and shorts. The primary outlook is bearish. This morning’s high of 71,500 on the rebound immediately turned downward. If there is another rebound later, I expect this level will be broken. For a more cautious approach, I suggest watching for a decline around 73,000, using this level as resistance based on the daily chart and previous bullish candles, to perform a top-to-bottom reversal. It shouldn’t be a big problem. Opportunities may be scarce, but they will come!

As for the upward targets, they are easier to identify—simply focus on the previous resistance points that were repeatedly touched before the decline, and the key acceleration zone after a breakout. That’s right, the 68,500–69,000 area. I believe your expectations are aligned with mine. Since that’s the case, there’s no need for many words—let’s wait for the right opportunity to jump on the train!