3462 Points Becomes A Key Short-Term Level

2008/4/2 15:17:01

Today, the expected rebound arrived, followed by heavy oscillation. With this kind of movement, the best approach is hedged operations, or as this ID said yesterday, one could have entered a position at yesterday's close.

Currently, the most critical short-term level is 3,462 — anyone who understands this ID's theory knows why this level matters. This afternoon's push reached that level but couldn't hold, hence the heavy oscillation. However, funds re-entered at the close, meaning this rebound attempt can come again — those who sold at the highs can buy back and take another round.

But going forward, the key is still 3,462. If it can't be broken on the next push, the market still has a chance to break to new lows. Short-term trading is all about churning back and forth — if it doesn't look right, pull back first; if it looks good, you can even front-run a bit. For example, to avoid the T+1 restriction, you can enter at the previous day's close.

On individual stocks, financial stocks have already led the rally, but whether this strength has staying power — whether it can spread to real estate, non-ferrous metals, and beyond — is key to whether the rally can continue. Theme stocks, after a major washout, will return, but for now treat them as rebound plays.

The site has been very difficult to access these past few days, and the system seems unstable. Won't write much more. Heading off, goodbye.