2026.3.13 It's still the dance between chemicals and computing power!

Yesterday’s recap article mainly rehashed the previous day’s news, but at the end, I analyzed Ningbo Construction’s intraday trend in detail, noticing some strange phenomena that also set the stage for today’s trading in Ningbo Construction. If yesterday’s short article didn’t cause you to overlook my analysis of Ningbo Construction’s intraday movements, then when preparing plans last night, you would have naturally considered the possibility of Ningbo Construction weakening today. From there, you could have deduced how to adjust your strategy if you hold positions in related stocks with computational power themes. Although stocks like ShunNa, Meiliyun, and Hanlan, which previously hit the limit down, are trending, they all share one characteristic: after hitting the limit, their intraday movements are mostly steady and oscillating, unlike Ningbo Construction’s sharp intraday sell-off. Moreover, even many quant-driven stocks that hit multiple limits rarely show such intraday sell-offs at the end of the day. When such a trend appears, it clearly indicates insufficient bullish momentum. It was precisely because Ningbo Construction staged a wave of selling at the close yesterday that stocks like ShunNa, Yunnan Energy, Meiliyun, and Hanlan, which normally would oscillate steadily after hitting the limit, started to become volatile and unpredictable. Today, when Ningbo Construction signals a warning, all related stocks tend to follow suit and suffer the consequences. [Taoguba]

In addition to analyzing Ningbo Construction’s intraday trend at the end of yesterday’s article, I emphasized a key point: the core of the chemical sector is only one Golden Bull stock. As long as the sector hasn’t ended, the Golden Bull won’t easily fall. Although I was overly cautious yesterday and the market declined in the afternoon, that doesn’t mean I am bearish on this stock or the sector. If the market isn’t so weak today, the Golden Bull would be accelerating on lower volume, replicating last year’s Hongbaoli. Even if the index plunges sharply in the afternoon, the Golden Bull remains strong—the strongest stock in both markets, bar none!

Returning to today’s opening auction:

The biggest overnight news was the one-word bullish signal from Zhongnan Culture.

Additionally, China Power Construction was added with a one-word bid; before 9:20, its order book briefly exceeded Zhongnan Culture’s, but was quickly canceled at the last moment.

Ningbo Construction’s initial low opening was very risky, especially since the sector didn’t show strong support from peer stocks. Caution should not only be directed at Ningbo Construction but also at all related stocks in the electric power theme. If Ningbo Construction experiences a sell-off, it will hurt market sentiment, which could lead to a sector-wide decline, impacting stocks with high relative positions, especially those that hit the limit or are close to it. Think carefully before buying.

After the market opened, I mainly focused on China Power Construction, because its name suggests it is a “brother” company to China Energy Construction, and last July, both moved together with the Yajiang Hydropower Station. China Energy Construction has already hit new highs, while China Power Construction is still far from its high. Yesterday, China Power Construction experienced a massive volume decline and a sharp drop, so a rebound today is normal. Capital shifting from China Energy to China Power Construction seems logical. Also, China Power Construction showed some interesting moves during the opening auction, so I kept an eye on it.

Compared to the high-low shifts in the electric power theme, the chemical sector performed even better at lower levels. Lu Hua Technology opened with a one-word bid, quickly re-closed with a T-shaped pattern, indicating accelerated momentum. Capital rapidly moved into chemical stocks, with phosphates being particularly strong in the early session. Previously strong coal chemical stocks also gained momentum, with Chitianhua and Golden Bull stocks shrinking volume and rising. Yesterday, I shared Chuan Jin Nuo, which also surged sharply and hit the daily limit. (I usually don’t specify exact buy or sell points, but my long-term followers know that my stock picks tend to have a good success rate.)

In the multi-limit stocks, Huadian Energy, which aimed to take a position in Green Power yesterday, finally succeeded today. Yesterday, Green Power surged with the help of computational power, but today, Ningbo Construction dragged the sector down, pulling it back.

From today’s morning market, overall, chemical stocks pushed into the computational power sector, essentially retaliating against yesterday afternoon’s attack by the latter. The most obvious example is two “golden” stocks: one in chemicals, Jinmei Technology, and one in computational power, Jinkai New Energy. Jinmei Technology opened low, Jinkai New Energy opened high, but after the market opened, they moved in opposite directions—Jinmei Tech upward, Jinkai New Energy downward.

From an index perspective, it’s still a resonance between computational power and the broader market. Yesterday afternoon was similar, and this morning as well. Before 10:00, the index trended downward, led by chemical stocks; after 10:00, the index rebounded, and chemical stocks retreated. If the market continues to oscillate, the possibility of continued rivalry between the two sectors increases. Trading should focus more on rhythm and the aesthetic judgment of stocks within the sectors.

In the afternoon, the index continued to decline sharply—somewhat exaggerated, honestly. Small-cap stocks and minor sectors showed little reaction. Although chemical stocks that were strong in the morning also started to break down in batches, Three Gorges Bank’s counter-trend surge helped stabilize chemical sentiment. Recognizable stocks like Chitianhua and Golden Bull recovered smoothly. Looking back at the charts of Chitianhua and the computational power sector, do they confirm my view from March 9? That is, as long as Chitianhua hasn’t ended, the computational power sector won’t turn weak? Some discrepancies exist: I initially focused on the computational power side, but now, due to the overall index weakness, the stronger part is the electrical power-related stocks. If you ask how I knew on March 9 that Chitianhua hadn’t ended, it’s because the technical signals were still strong.

Finally, my personal view: computational power today is only showing significant divergence, not an end. The chemical sector is still seen as a rival and partner to computational power. Keep a close watch on their relative strength and adjust your rhythm accordingly.

Market analysis is nearly complete. Let me share a side note: many brothers left comments joking about how I pick stocks, especially how I can find promising stocks at low levels. It’s hard to explain briefly, so I summarized some key points in the comments and gave a few examples.

Yesterday, only 10 brothers tipped me. (I don’t want to run those schemes where if the number of supporters isn’t enough, I don’t share real trading operations…) So I wonder if today’s brothers can make up for yesterday with a good post (7 coupons) plus 30 tips? Thanks for your support!

Yesterday’s tipping list
@Xiaobao1105 @YaozaiVerySad @BraveLoner @FromMountain @JDaHai @Xinran6 @SelfLearnStockTrading1 @NeighborWang2020 @YaoZhou @Sunsathe @LongRainbow

Yesterday’s oil tips
@Xiaobao1105 @Xinran6 @WeakestRetailInvestorEver @EvanHowe @RelayMaster @StrategyMindset @DontKnowToWatch

Thanks again for your support—your encouragement keeps me updating!