4.8 Preview, Tongda Shares, Fuxiang Pharmaceutical, Pingtan Development

Given the current Shanghai Composite Index’s high-level trend around 3,890 points, tomorrow’s market is likely to present an optimistic pattern of “high-range consolidation with sector rotation.” [Taoguba]

1. Index pacing: After the index absorbs supply and overhead pressure near the 3,890-point mark, it still has room to test the 3,920–3,950 point range to the upside. The overall bull trend remains unchanged, and there’s no need to worry too much about a short-term pullback.

2. Main storyline directions: Healthcare & medical/pharmaceutical (policy support + earnings certainty), power equipment (grid investment ramp-up), semiconductor memory (an industry price-increase cycle), and other areas. Capital has strong follow-through capability, and these could become the main long positions in a choppy market, driving a rebound in overall market sentiment.

Watchlist;

1. Demingli (001309)

The storage-chip industry’s price-increase cycle is ongoing. The company’s earnings have high upside leverage. If tomorrow it pulls back and stabilizes at a key support level, that would be an excellent opportunity to buy the dip. Going forward, it’s expected to accelerate along with the technology sector.

2. Fuxiang Pharmaceutical (300497)

The trend of rising prices for pharmaceutical raw materials is clear. The expansion of its CDMO business brings a new growth engine. Tomorrow, the medical/pharmaceutical sector is likely to continue its strong performance; this stock could also rise with the sector and kick off a new round of an upward trend.

Stocks currently held;

ZhenDe Medical (603301)

The core business of medical consumables has solid fundamentals. As a defensive-type target, it has a resilience advantage during periods when the broader market is consolidating. Tomorrow, there’s a high probability of a rising trend while moving within a range supported by the moving-average system; the trend looks good, so it can be held patiently.

Hangdian Shares (603618)

The catalysts for the ultra-high-voltage power grid + superconductivity concepts are clear. Even though it has risen in the short term, industry conditions remain favorable. Tomorrow, after consolidating at a high level, it’s expected to continue strong momentum, so its trend persistence is worth monitoring.

Shida Shenghua (603026)

The lithium battery materials industry is gradually moving out of the bottom range. If tomorrow it can stabilize and rebound, it’s likely to follow the sector in repairing and present an opportunity to move higher. Clear signals of a trend turning point are evident.

Pingtan Development (000592)

Forestry + photovoltaic are both layered concepts. Recently, the market’s sentiment toward thematic stocks has warmed up. This stock has active trading behavior and an expectation of improving fundamentals. Tomorrow’s optimistic view: relying on 12 yuan as support, it’s likely to consolidate and move upward; it could continue to show strength, becoming a “relative-strength / lag-beater” highlight within the sector. The bull trend is expected to continue.

Tongda Shares (002560)

The ultra-high-voltage power grid + military/cable concepts align with the current main storyline. Tomorrow, the probability of it rising alongside the sector is high. The pressure level near 13 yuan could be broken, initiating a new round of upward pacing.