March 23rd consolidation and bottom formation, focus on the computing power synergy main line, catch dragon head stocks through gap recovery!

[Taoguba]
Everyone, have a great weekend. In the evolving rhythm of the main market trend, breakaway rebounds are not only a test of sentiment divergence but also an important signal for the acceleration of leading stocks and the initiation of the second wave. To accurately grasp core opportunities in the main trend, one must rely on the breakaway rebound pattern to identify genuine recovery amid divergence, true initiation after shakeouts, and complete low-position entries with trend follow-through at critical points. We always focus on core sectors, deeply analyze key stocks, and concentrate on capturing the first wave of leader acceleration and the second wave of main upward movement after breakaways. Using breakaway rebounds as a foothold, at nodes where sentiment and structure resonate, we lock in the most explosive and certain opportunities within the main trend.

Focus on oscillation consolidation in computing power, energy storage, photovoltaics, electricity, and computing hardware—combining offensive and defensive strategies amid sector differentiation!

1. Rebuilding the main trend amid stockpile oscillation:
   In a stockpile game, short-term sentiment marginally warms from the bottom, but significant divergence appears after high-level retreat. Currently, the market is in a mid-cycle oscillation and repair phase, with indices unlikely to trend unilaterally. The core contradiction is the acceleration of sector rotation and insufficient continuity of the main trend. Funds focus on policy catalysts and performance certainty, with computing power hardware (CPO, AI chips) and computing-energy collaboration (green electricity, photovoltaic energy storage, power equipment) remaining the core themes this week. Hardware (CPO, AI servers, chips) and energy collaboration (green power, photovoltaic storage, power equipment) resist declines against the trend, with stocks like ShaoNeng Shares, Huadian Liaoning Energy continuing strong streaks. Segmented directions like computing power leasing, direct green power supply, and photovoltaic energy storage see significant net capital inflows. High-level thematic stocks show divergence; some purely sentiment-driven stocks begin to realize profits, marking a key point where short-term sentiment shifts from divergence to recovery.
   Computing hardware will remain structurally active, with AI servers and optical modules maintaining heat during earnings disclosure periods. The energy collaboration sector is entering internal rotation, with photovoltaic and energy storage shifting from broad gains to leader-led rallies and tiered differentiation. The index is likely to stay within narrow oscillation, with support at 3930 and resistance at 3980, repeatedly battling these zones. Volume is a key indicator of genuine recovery (2 trillion in turnover is the dividing line between strength and weakness).

2. Core main trend: computing power and energy collaboration (electricity, energy storage, photovoltaics, smart grids, UHV, hardware, leasing), driven by policy rigidity in a booming sector:

• Logic: Computing-energy collaboration was included in the 2026 government work report for the first time. New data centers in national computing hubs must use over 80% green electricity; energy storage supporting capacity must be at least 10%, with power supply lasting no less than 2 hours. Policies have shifted from conceptual to mandatory standards. Coupled with the Boao Forum’s “100% green electricity supply” demonstration, computing-energy collaboration has upgraded from an industry trend to a policy-driven necessity. Major directions like direct green power supply, user-side energy storage, and UHV dispatch are set for performance release windows. This is a long-term speculative logic, so most institutional stocks will not move as rapidly or violently as hot money’s quick streaks.
• Opportunities:
  Photovoltaics:
  Distributed PV grid connection process simplified, with new installations expected to surpass 80GW in 2026. Upgrades in technical standards will phase out outdated capacity. Leading stocks with logical price and volume growth include Ningde Times and other PV sector leaders, driving institutional capital into energy collaboration. Recognized stocks include Chuanhang New Energy, Zhaoxin Shares, Guosheng Technology, GCL System Integration, GCL Energy Technology, and Chint Power.

Energy Storage & Power:
Energy storage supporting computing centers exceeds 35%, with user-side energy storage orders up 112% YoY. Long-duration energy storage benefits from capacity electricity price policies, greatly increasing profit certainty. UHV and smart dispatch systems, as key transmission hubs, are dominated by state-owned enterprises with confirmed orders, such as Huadian Liaoning, Huadian Energy, Oriental New Energy, ShaoNeng Shares, and Guo Xin New Energy.
Sector rotation accelerates within the theme, with high-level stocks diverging more. Avoid stocks without performance support that are purely conceptual. Focus on rebound and breakaway after streaks, distinguishing between hot money and institutional stocks, and using breakaway rebound strategies for higher success rates.

3. Computing hardware: growth mainline driven by AI demand gap:
   The supply-demand gap for AI computing power continues to widen. Cloud providers’ price hikes confirm industry prosperity. As infrastructure, computing hardware faces dual drivers: domestic substitution and demand explosion. High technical barriers in CPO, AI servers, and chips mean leasing prices rise with demand, and stocks with strong resource integration capabilities have the greatest performance elasticity. Yizhong Tian’s stocks alternate rises, mainly institutional large caps, unsuitable for short-term chasing—better for long-term holding.

4. Current market cycle sentiment: seeking short-term divergence trading opportunities
   Sentiment is in a divergence recovery phase, with streaks of 5-7 consecutive limit-ups. Leading stocks (like computing power and energy) remain strong, but follower stocks show divergence. Key sentiment signals: focus on low-entry opportunities amid divergence, avoid chasing high at peaks. After 2-3 days of consolidation, stocks stabilizing with reduced volume and pulling back to the 5-day moving average have higher trading value. Pure sentiment stocks that continue to consolidate with decreasing volume may risk divergence reversal.

Positioning: mainly 30-50% with diversified allocation

• Core main trend (20-30%): focus on leading stocks in energy collaboration and hardware, as core holdings (1-2 stocks);
• Flexible attack (10-20%): allocate to high-elasticity segments like leasing and user-side energy storage, aiming to exploit short-term sentiment recovery (1 stock);
• Defensive (0-10%): hold high-dividend, utility stocks to hedge index volatility.

Strictly avoid full positions chasing highs; reserve 20-30% cash for sector rotation and index pullbacks. Core strategy: oscillation consolidation, focus on main trend, diversified attack and defense. As policies and demand drive core sectors, avoid emotional trading based on chasing gains. Use performance certainty and volume-price structure as screening criteria, seize low-entry points amid sector divergence, and strictly control positions and risks. Wait for clear volume breakout before increasing holdings.

Market expectation for March 23:

• 1st wave to 2nd wave: Zhaoxin Shares, Shangneng Electric, Yin Xing Energy
• 2nd wave to 3rd wave: Dongfang New Energy, Huadian Energy
• 3rd wave to 4th wave: ShaoNeng Shares, Dashengda

Core application breakdown of breakaway rebound strategy:

High success rate = rebound quality confirmation + volume-shakeout lock-in + retracement to top of divergence day + main theme support.

When the stock price re-stabilizes after volume-shakeout with a small positive candle, retesting the top of the divergence day’s body, and confirms support, this is the highest probability moment for this pattern.

Logic of rapid rebound shakeout:

1. In a retail or hot money pattern, rebound within 3 days after a breakaway, with no volume reduction or only half-volume shakeout, is typical of hot money tactics—quick rebound, rapid shakeout, violent surge driven by themes. Last year’s commercial aerospace stage was a clear example. Currently, hot money is being squeezed, so such violent streaks are less frequent.

2. Institutional pattern: trend-based rebound after a breakaway, often involving over two weeks of sideways consolidation and shakeouts. Once institutions are involved, the trend is stable, and major players won’t withdraw quickly—this is a trend-following wave pattern played by large institutions.

3. Combined institutional + hot money + quant: reflects collective resonance, a manifestation of crowding. When hot money can’t beat others, they join in. Recently, some big hot money firms have withdrawn hundreds of millions in March, while retail traders chasing daily breakouts are losing more. Those still trading impulsively need to change their approach.

(Volume rebound after breakaway, volume reduction retracement at divergence day top, no volume reduction for 3 days, active capital rotation—look for next week’s performance.)

The above is a personal outlook on the April 23 market. No stock recommendations are provided. The stock market involves risks; please invest cautiously!

Basic points for retail beginners to watch:

• Trading system logic for retail investors:
• Dragon head reversal and limit-up with double volume negative:
• Limit-up with double volume negative:
• Previous high resistance levels:
• Short-term volume and price minute charts:
• Upgraded breakaway rebound pattern:
• Details of the breakaway rebound strategy:
• Details of volume spike negative rebound:
• In-depth analysis of breakaway rebound: