Lates News

The Guangfa Strategy Research Report points out that "single peaks" are an exception in the market. The A-share broad market only experienced this in 2015, while the Dow Jones and S&P 500 have not encountered it, and the NASDAQ only experienced it in 2000. There are two scenarios in which a single peak may occur: one is an irreversible shock to the capital front (de-leveraging), and the other is a rapid reversal of the profit cycle (one-time profits or strong cycles). Currently, the A-share bull market's AI assets are not under either of these shock environments, so in the worst-case scenario, there will likely be repeated multiple peaks. In other words, after the rapid pullback in July, there is a high probability of substantial correction space to follow.