Weekly Bottom Fractal Formation Pending Confirmation

2007/12/14 15:48:40

Last week, a task was assigned for this week: to form a weekly bottom fractal. This morning, this was specifically emphasized again. Now the task can be considered complete. Next week's task is also given in advance: to confirm the establishment of the weekly bottom fractal. Technically, it's very simple — just hold above the 5-week moving average.

As previously stated clearly, we are currently in a 5-minute consolidation expanded from the 5010 point. This morning, a perfect divergence in the declining segment from 5149 occurred, and then the oscillation pullback toward the 5010 hub began — all very technical. Of course, operating on these movements requires a relatively high level of technical skill; if you don't have that skill, just let it go.

Note: as long as this consolidation doesn't produce a third-type buy/sell point, the oscillation continues. Those with the technical ability can proceed according to the consolidation protocol — and what is that protocol? It's been explained repeatedly in the lessons.

On Monday, from the daily chart perspective, the question is whether a bottom fractal can form. If established, then from Tuesday onward, it's about confirming this bottom fractal — that is, whether it can hold above the 5-day moving average. Once confirmed, this downward stroke will be complete. Then we see whether the subsequent upward stroke can lead to a weekly upward stroke. Of course, the prerequisite for all this is that Monday can form a daily bottom fractal.

This ID has already been quite generous to those who haven't mastered the material. 600737 was given as a lifeline for those who haven't learned — if even that can't be managed, then this ID really has no solution. Go practice on your own. Without experiencing some pain, how can you learn anything good?

This ID's place is a training ground. This ID is more like a coach. There's really nothing special here — the secret is right beside you.

This weekend, I don't want to talk too much about stocks. Let me wrap up the last few stocks mentioned before.

600594: At the end of last year, this ID said I was bullish on pharmaceuticals and steel. Later, quite a few dark horses emerged among pharmaceutical stocks. This one doesn't count as a dark horse — the gain was mediocre and it still needs to work harder.

600607: This ID called this the "traitor stock" — to be bled dry. Later, at 24 yuan, I said to exit, but in the medium term it still needs to be dealt with.

600375: This stock has had considerable oscillation. The main issue is corporate governance problems. If this problem is resolved, this stock won't be worse than Sany. For now, one can only patiently wait for the issue to be resolved.

600319: Same problem as above. It has speculative themes — when the opportunity arrives, it will naturally explode. Medium-term: sideways range consolidation for now.

600636: The float is slightly cleaner now than a few months ago. The themes, earnings, and concepts are all decent — it's just that the float is too dirty. Slowly wash it clean, and once cleaned up, it will naturally perform.

000600: After quadrupling, it's taking a rest. Themes like overall listing — no problems in the medium to long term.

000021: Good stocks will always have their moment, though tech stocks aren't the current mainstream. But the historical high of 70 yuan, from a long-term perspective, isn't a particularly formidable level.

000338: A controlling enterprise in a major Chinese industry — this fact alone determines its long-term value.

002149: Did some short-term trades when it was listed, then exited first. Later, during Q&A sessions, the medium-to-long-term position-building approach for such stocks was described. The current movement basically follows that script. At the time, I said ideally it could reach the teens — estimates suggest that might be difficult. But if it truly reaches those price levels, that would be an unstoppable force indeed. Heavy dumping often reflects deep affection — wanting to pick up cheap medium-to-long-term chips, that's all. The company's fundamentals are very good; the only bad thing is that it's very hard to accumulate enough medium-to-long-term chips.

000807: M&A theme. Such themes involve larger uncertainties, but this stock's non-ferrous metals background ensures earnings support. It can be considered speculation backed by actual performance.

China-prefix stocks: China Donkey, China Man-Beast, China Stone, China Unicom, etc. — these are all one of this ID's two wings. Once China Mobile comes back, China Unicom going on a crazy run would be well-deserved. Additionally, overall business listing and the entire telecom restructuring are all significant themes. The others are all good long-term stocks, but in the medium term, they pushed too hard earlier. Without index futures to provide stimulus, they won't go too crazy.

Friday — after a tiring week, this ID also needs to go indulge a bit.

Heading off now, see you.