Pre-market strategy for April 7

Personal trading notes: (In 2025, I got lucky and doubled; the fans who watched my daily recaps in 2025 should be making more than I did! In 2026, we’ll keep moving forward!)

Huadian Energy : On 3/13, I’m watching after a board; on 3/16, I took +6% and cut the follow
Risecunda : On 3/19, I’m watching for a low buy near the 5-day line; on 3/20, it hit the daily limit and I took profit and unfollowed
Huadian Liaoning Energy : On 3/23, I’m watching after a board; on 3/24, it hit the daily limit and I entered into unusual activity selection with a strategic mindset; on 3/25, it continued to hit the daily limit and I challenged the unusual-activity pattern; on 3/26, it hit the daily limit again and broke the board, so I took profit and unfollowed
Shao Neng Co., Ltd. : On 3/25, I’m watching after a board; on 3/26, it ended with a loss of -4%, so I took profit and unfollowed
Shenjian Co., Ltd. : On 3/31, I’m watching after a board; on 4/1, I took profit after +5% and unfollowed
Tongda Co., Ltd.: On 4/2, I’m watching after a board; on 4/3, I took profit after +7% and unfollowed

Next, I’m going to give the brothers some real takeaways—keep reading below. If you think what I write is good, and it helps improve your trading awareness, or your account has been fruitful thanks to my recaps, feel free to tip the author and support with some encouragement. Your support is the motivation for me to keep updating!

I. First, set the tone: This isn’t panic—this is the ice-point moment when the cards are about to be played!

The Shanghai index fell 1%, slipping below 3900. Across the whole market, 4700 individual stocks are waiting to rise. Nearly 50 stocks hit the limit-down. Trading volume shrank to 1.66 trillion (a new low for the year).

Brothers, what do we call the ice point? This is what an ice point is!
After two straight days of declines above 4000, the upgrade rate is only 16.67%, and the 3/4/5-board levels are all disconnected (cut off)… The last time this kind of data appeared was three months ago.
For those still fighting inside the market today, either you’re really stubborn, or you truly understand the cycle.

II. Consecutive-limit ladder: the space is broken, but the core doesn’t die

Right now, the consecutive-limit stocks’ ceiling is visible at a glance:

· 6 boards: Jin Yao Pharmaceutical (innovative drugs) —— the market’s only space leader
· 2 boards: Huiyuan Communications (optical communication), Xinneng Taishan (optical fiber/power grid), Chongyao Holding (pharma)
· Everything else is completely cut off; 3/4/5 boards disappear

When the ladder breaks this cleanly, it shows that all the mid-cycle “relay” capital has basically gone flat.
But that also means—once sentiment recovers, funds can only find a breakthrough from the highest-limit board and the strongest themes.

III. Sector main line: Optical communication > Pharma; everything else is just miscellaneous

Today, the only two directions with continuing strength in both markets are:

Optical communication (compute hardware) —— institutions + swing traders resonate together; the main-line vibe is maxed out

· Space marker: Xinneng Taishan 9 days, 7 boards (but Foshan-related group exited 254 million—be careful)
· Consecutive-limit core: Huiyuan Communications 2 boards; swing traders + quant-board buying synergy
· Middle-cap leaders in trend: Hengtong Optic-Electric, Yangtze Optical Fibre have reached historical highs; the “Yi Zhong Tian” three brothers (Incom, New Yisheng, Tianfu) all have deals exceeding 10 billion
· 20cm upside elasticity: DekoLi and Yitian Shares both hit the daily limit
· Catalysts: Nvidia’s $2 billion move into silicon photonics + the Ministry of Industry and Information Technology pushing for all-optical switching

In one sentence: Optical communication is the only current main line that has institutional backing, consecutive-limit height, and support from mid-cap leaders.

Innovative drugs/Pharma —— only the leaders are huddling together

· Jin Yao Pharmaceutical 6 consecutive boards, but the back row is seriously lagging
· Chongyao Holding 2 boards; China Medical hit its first board; the sector’s overall willingness to take over is weak

Conclusion: In pharma, only look at Jin Yao Pharmaceutical; ignore the rest.

IV. Strategy

We’re currently in a strong ice-point window, so position sizing must be controlled, but the core targets must be watched closely.

Strategy 1 (high risk, high elasticity): buy on dip with divergence in the space leader

Target: Jin Yao Pharmaceutical (600488)

· Logic: The market’s only 6-board consecutive winner; a sentiment repair won’t get around this stock
· Entry: Only buy on low absorption during divergence; don’t chase a gap-up opening
· Exit: If it breaks the board, leave immediately—no holding patterns

Strategy 2 (relatively more steady): main-line strongest 2-to-3 progression

Target: Huiyuan Communications (000586)

· Logic: Optical communication’s only 2-board; the sector’s mid-cap leader provides a bottoming cushion
· Entry: After turnover is sufficient, wait for a weak-to-strong rebound and then close back on the board; don’t fight an opening print at one-price limit
· Exit: If it doesn’t hit the board again the next day, take profit

Strategy 3 (go big on the first, small on the rest): first-board arbitrage

If Huiyuan Communications advances to a 3-board, you can watch first boards in the same attribute as optical communication:

· Tongyu Communications (002792): swing traders + institutions share buying power
· Sega Technology (002796): institutions + the Lasa team hold positions

Remember: At the ice point, only do the 1–2 stocks with the highest recognizability. Never go chasing miscellaneous followers!

Thanks to the following brothers and sisters for the tips—wishing you a full-position daily limit-up! Also, for questions in the comments section, I’ll think them through seriously and answer to help you improve your trading awareness!
@Kaizhou Shanshongruoshui@Hunan Chaoshen@Xiangwei@Qianshiao520@Yilutong@008feng@Chizhongshui@Liu Xiaofeng@Green Cloak@Desert Camel2020