A-share closing review | A-share volume contraction repair Hard technology is still a "favorite"! Is it a continuation of the decline or a potential waiting to be released?

In terms of the peripheral market, the situation in the Strait of Hormuz remains the most core risk variable. Traders are closely monitoring the progress of negotiations throughout the day, with oil prices and the stock market fluctuating violently with each report. The recent trend in the A-share market is more pronounced in its own pace. On May 22, the market rebounded and the three major indexes opened high and continued to rise, with the ChiNext Index and the Shenzhen Component Index both rising by over 2%. By the close of trading, the Shanghai Composite Index rose by 0.87% to return to 4100 points, the Shenzhen Component Index rose by 2.3%, and the ChiNext Index rose by 2.84%. The turnover of the Shanghai and Shenzhen stock markets was 2.9 trillion, down by 578.3 billion from the previous trading day. In terms of the market, the PCB concept led the surge of hardware stocks, with a collective sharp increase in directions such as optical modules, copper cables, high-speed connections, and optical fibers. Dozens of stocks such as Baoding Technology and Avary Holding hit the limit up; the synthetic diamond concept strengthened, with Henan Huanghe Whirlwind hitting the limit up; the semiconductor industry chain surged in the afternoon, with lithography machines, advanced packaging leading the way, and Da Puwei rising by over 10% to hit a new high; the glass substrate concept continued to rise, with Boe Technology Group hitting two consecutive boards; the Siasun Robot & Automation sector rose again, with Shenzhen Das Intellitech and others hitting the limit up; the ultra-high voltage and power equipment sector rose, with Jinlihua Electric hitting the limit up; the consumer electronics sector rose, with Zhejiang Crystal-optech and others hitting the limit up. In terms of declines, the Baijiu and other consumer concepts lead the decline in the market. The oil service, coal, major financial, pharmaceutical, real estate, and special estimation sectors showed weakness. Furthermore, according to reports from Caixin, while A-shares experienced a significant pullback yesterday, South Korean investors bought multiple securities against the trend, initiating a bottom-fishing mode. The securities bought by South Korean investors with the highest net amount yesterday was the Huaxia Zhongzheng Siasun Robot & Automation ETF, with a purchase amount of $3.2111 million and no sales amount; the second-ranked security in terms of net purchase amount was the PCB sub-leader Shenzhen Fastprint Circuit Tech, with a purchase amount of $2.7576 million and a sales amount of $23,700. In addition, South Korean investors also net bought several ETFs such as the Huaxia Zhongzheng Power Equipment ETF, the Sci-Tech Innovation Composite ETF, and the Huaxia National Semiconductor Chip ETF, as well as bottom-fished in several technology stocks such as Luxshare Precision Industry, Jiangsu Zhongtian Technology, and Shenzhen Techwinsemi Technology. Looking ahead, Federal Securities believes that the current market is showing a clear divergence at the high level, with a decline in profitability, and extreme structural differentiation. Therefore, in the short term, it is advisable to avoid chasing highs, focus on buying low and selling high, and patiently wait for market sentiment to recover. Popular sectors: 1. The cultivated diamond concept is active, with Sf Diamond Co., Ltd. hitting the limit up, Henan Huanghe Whirlwind, Hengsheng Energy both hitting the limit up. 2. The PCB concept is strong, with Baoding Technology hitting three boards in five days, Zhejiang Wazam New Materials hitting two boards in three days, Avary Holding, Shandong Fiberglass Group Corp., Shenzhen Q&D Circuits, Guangzhou Fangbang Electronics, and many more hitting the limit up. 3. The Siasun Robot & Automation concept is active, with Hangzhou Hota M&e Holdings, Zhejiang Fenglong Electric both hitting two consecutive boards. 4. The quantum technology concept stocks are oscillating and rising, with Koal Software hitting the limit up, Quantumctek Co., Ltd., GuoChuang Software, Digital China Information Service Group, FORSTAR, and many others following suit. Institutional views: - China Securities Co.,Ltd.: Group investing is becoming the market norm, with the scarcity of AI computing power continuing. China Securities Co.,Ltd. research report points out that in a macro environment of high growth and scarcity, the phenomenon of group investing is evolving from temporary trading to a long-term market norm, with DRIVE shifting from style rotation to "certainty of performance growth." The research indicates that due to high technological barriers and supply-demand tension, the scarcity of AI computing power will continue, making it difficult to return to the path of oversupply in the new energy industry. However, as funds continue in a feedback cycle, the market urgently needs the influx of capital, and individual investors' fund inflows are still eagerly anticipated. Investors should focus on the degree of performance realization and the pace of capacity deployment, while also being cautious of signals indicating a peak in capital expenditures. In addition, the analysis believes that there is still ample room for improvement in the concentration of profits among A-share leading companies. This article is reprinted from "Tencent Self-selected Stocks". Editor: Li Fo.