3.26 Midday Review: Sentiment Continues to Lead, Huadian's Liaoning Energy Achieves 9-Day Rally

3.25 Review [Taogu Ba]

Hello everyone, I am Cycle Weiyang. Trading only uses strategic cycles.

Every month, the market has stocks that double in price within 10 days. The qualities of these doubling stocks: relentless self-improvement and great virtue.

Please see the opening two sentences:

Market fluctuations and the rise and fall of the行情 form a cyclical pattern.

Within this cycle stage, there are main actors and supporting roles, all gathering in the top 10-day gain list.

Recognizable stocks are the main characters, with the main protagonists being designated as No. 1, No. 2, No. 3, and the absolute male lead is the chosen one—each month, a stock that gains 100% or more in 10 days.

Such stocks must possess the qualities of relentless self-improvement and great virtue. Self-improvement means they can rise regardless of market news; great virtue means they not only rise but also give ample time and opportunity for everyone to participate in their growth. Looking back, all emotional leaders share this trait.

Emotional leaders are not just about numbers; their emergence depends on timing, geography, and people. Such stocks are rare in a cycle; they are the brightest and most talked about.

Identification:

1. They appear among the top in the 10-day gain ranking.

2. When they appear, their gain should be around 50-60%. Because smaller gains are less noticeable and growth can easily be cut short or overwhelmed.

3. They do not act alone or selfishly; they can drive sentiment and lift others along with them. When one succeeds, everyone benefits.

Holding:

So, once identified and recognized, how to hold and avoid being prematurely shaken off?

1. My understanding is that since they are absolute emotional leaders, to stay with them throughout their entire cycle, you must have a broad vision and a strong heart. That’s the first point. Without a big mindset, fearing gains or losses, wanting to eat the meat but afraid of risks, is not suitable. Virtue must match position.

2. Ignore all seemingly clever analyses. Many people like to watch bidding prices, minute charts, various calculations, volume, share reduction, inquiry letters, etc. These are of little importance. True emotional leaders do not pay attention to these; their influence is minimal because they are the market’s consensus short-term sentiment benchmark, built by collective effort. The only reason for a decline is that they have risen too much and need to correct.

3. Do not look at minute charts. I don’t know about other stocks with consecutive limit-ups, but true emotional leaders should not be watched on minute charts. Because rapid fluctuations can easily affect your mindset. The only way to break the pattern is if the daily K-line does not close with a large bearish candle; if it does, reduce your position. Two consecutive days of closing with a bearish candle are enough. Even if there is more meat later, don’t eat it—leave some for others. Such sentiment benchmarks rarely produce a second wave. It’s very simple, no special skills needed.

This year’s first opening shares, such as Hefei China, are like this (no need to argue about Hefei’s second wave; such K-lines are not for ordinary investors. Those who caught the initial surge are already fortunate).

Back to this cycle:

1. First, I looked at Huadian Liaoning on 3.19, with a 4-limit position, identifying it as a rebound in the power sector during the YuNeng cycle.

2. Second, I viewed Huadian Liaoning on 3.23, believing it must break through 7 limit-ups to pass the tribulation; otherwise, it’s just a rebound.

3. Third, I analyzed Huadian Liaoning on 3.24, thinking it might team up with Zhongfu and Xuelang to break through successfully.

4. Fourth, I observed Huadian Liaoning on 3.25. Yesterday, it became a 10-day double, the cycle’s flagship, the one that broke the deadlock.

From 4 limit-ups to 6, it kept overcoming obstacles, growing from divergence to today’s 9 limit-ups. Is it relentless? Every day, it rose through turnover. Is it virtuous? It drove the market recovery, led the power sector’s subsequent rebounds, and dispersed gains. Does it have influence?

Yesterday’s market outlook:

Starting from the day before yesterday, I talked about teaming up, then Zhongfu, Shen Ying, Xuelang Environment—review yesterday’s analysis and their recent movements.

Finally, look at Huadian Liaoning:

Yesterday, I clearly said it would be a big divergence today. Whether the divergence comes from Huadian Liaoning or others, the back end will have divergence, so the market dropped sharply today.

All sentiment depends on it. Early in the morning, Huadian Liaoning opened high and accelerated but quickly sold off, then recovered sharply.

This indicates that the divergence and profit-taking early on caused the decline. The recovery shows that funds know only it can carry the maximum sentiment. No need to worry about the power sector’s decline or lack of support—those are irrelevant. The sentiment carrier’s leader is king. If there is support, that’s good; if not, it can still turn the tide. It’s about others watching it, not it watching others. Don’t get it reversed.

Today, Huadian Liaoning at high levels is the emotional leader; Hunan Development at low levels is the rebound. Whether Hunan can succeed depends on luck.

This post mainly offers small insights into participation and holding of sentiment nodes and sentiment breakers to maximize profits.

Personal picks:

s Xuelang, b Hunan, hold Huadian.

If you find this article helpful, please leave your footprint, like, support, or tip. Your support is my motivation for long-term output. Wishing you a bright future in 2026.