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12.11 My View (Exclusive to Xinyi)

The double explosive market is coming back quickly, brothers.
The big pie has been continuously receiving needles, which means that the struggle between bulls and bears below is still very intense. Let's be a bit more cautious and set our stop losses, waiting for both sides to determine the winner before considering entering the market.

Currently, for the big pie to rebound, it must recover this one-hour gap from the midnight pullback by standing above 978; otherwise, it will be a false breakout. In the 4-hour K chart, we can see many lower shadows that have not received a response. Given the strong buying power, the rebound strength is surprisingly weak, and it all chooses to crash after 4 a.m. when liquidity is relatively poor. Why is this? It's either because institutions are manipulating or the big players are clearing positions. Regardless of the authenticity of the bullish or bearish sentiments, we will operate according to the system; there's no need to overthink it. Time will provide you the answer.

Let's take a look at the market. The daily line's highest is 983, the lowest is 940, and the opening price is far below the closing price, indicating a strong bearish sentiment. The KDJ three lines are high and heading down, currently in the middle-down area, with no signs of hitting the bottom. This indicates a larger space for downward movement. After the MACD's volume declines, emotions gradually stabilize, and the price has currently fallen below the middle track of the Bollinger Bands. The buying power is still increasing, and the price is slowly rebounding, showing a downward needle form.
I believe we should wait for the big pie to rebound above the middle track of the Bollinger Bands (973-978) before considering a continuation of the rebound for long positions.

On the smaller time frames, long upper shadows continue to appear, and the big pie is likely to keep receiving needles. It is essential to set a stop loss if entering now; otherwise, it's better to stay on the sidelines as another downward needle may still occur. The overall trend is primarily adjusting around the range.

Currently, the resistance levels for the big pie are 973-978, 985, 998-1000. Support levels to watch are 957, 940-936, 917, 908, 900.

Referencing the big pie standing above 973, we will think about going long near 957, aiming first for 985.
If the big pie cannot rebound above 973, then we should short at 978, looking for a drop to 957-940 while holding half a position, and continue to look downward. The same logic applies.

For the aggressive: Regardless of whether it can stand up, I will place a small position near the resistance or support, as small losses with big gains are always better than a loss.