10w challenge 20x, day 42

3.24 Trading Record [Taogu Ba]
Today’s sales: New Easy盛, Tianfu Communications (today’s strongest hardware rebound is in fiber optics and PCB storage, Yizhongtian almost made a move today)
Today’s new positions: Green Power, Zhaoxin Shares (Huaneng 7-board space opened up, green electricity at the hour)

RSI Bottoming Out, Repeatedly Proven Effective

In the market, the military industry sector was strong all day, new energy industries such as green electricity, electricity, and photovoltaics all rose across the board, the power grid equipment concept was repeatedly active, healthcare services and CRO concepts collectively strengthened, environmental protection sector performed actively, computing power leasing concept bottomed out and rebounded, optical modules, PCB and other hardware concepts rose, fiber optic concept continued to strengthen. Additionally, port shipping, sports, lithium mines, and other sectors also showed performance.

Previously, I emphasized during the review that low absorption during a decline is precious; bottoming out means finding lows during a downturn. On Monday, the Shanghai Composite Index daily RSI broke below 9, which is an excellent bottoming signal. The RSI of the Shanghai Index daily chart fell below 10, which has only happened 4 times in the past 5 years, so cherish each opportunity to enter after a crisis.

In terms of direction, today’s power and computing hardware all strengthened collectively. In the short term, focus remains on these main lines. However, it’s important to note that the afternoon’s rally that lifted the index was driven mainly by storage hardware, so computing hardware remains the key force behind the index’s rise. Some power stocks are still counter to the index, so please distinguish carefully.

1. Power
Smart grid sector rebounded sharply today, China Power LiaoNeng hit 7 consecutive boards, ShaoNeng Shares, Guangdong Power A and others hit the daily limit.

According to the Shanghai Securities News, Liu Liehong, Director of the National Data Bureau, said at the China Development High-Level Forum 2026 on March 23 that the next step will be to vigorously promote the computing and electricity coordination project with relevant departments, ensuring that the proportion of green electricity used in new computing power facilities at key nodes exceeds 80%, maximizing the supporting role of green power.

With AI development and the tight supply of computing power, electricity demand is also driven up. The Middle East crisis, like the Russia-Ukraine conflict, makes green electricity an indispensable part of energy substitution. Under the dual logic support, recent power sector trends are more resilient. Recently, the market has started to hype companies controlled by China Power Group, which is worth noting.

2. Fiber Optics

Fiber optic concept continued to rise in the afternoon, Long Fiber Optic and Tongding Interconnection hit the daily limit.

Fiber optic prices are going crazy! G.652.D rose from 18 yuan to 85-120 yuan per core kilometer, G657A2 fiber cores are even more out of control, reaching a seven-year high.

In the afternoon, the index rose, with fiber optics and storage chips contributing significantly. Fiber optic prices in Q1 should have multiplied several times, making this the most certain growth direction for Q1 performance. Hong Kong stocks Long Fiber Optic surged 13%, which should continue to stimulate the sector. Keep an eye on the US stock market’s optical communications sector feedback tonight.

Tomorrow’s Outlook

1. The central bank will conduct 50 billion yuan of MLF operations with a 1-year maturity.
2. Little Teflon blames Defense Minister Hegseth: you lead the statement to fight Y Lang.

After-hours, the central bank announced the launch of spicy powder, Little Teflon started to shift blame. The situation is easing, which is the general trend. Plus, yesterday’s market was already oversold, so this event’s impact has basically cleared. As mentioned earlier, the RSI oversold signal is rare, occurring only once a year. Tomorrow, we should weed out the weak and strengthen the strong, continuing to go long!

Warm reminder: The purpose of opening a real trading account is mainly to record your challenge process. It is not a basis or reason for readers to buy or sell stocks. It does not constitute investment advice. Operate at your own risk. The stock market has risks; invest cautiously!