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The performance of FIL during this period is worth paying attention to. After experiencing a deep correction, there was a significant surge in the recent daily candle, directly breaking through multiple key moving averages that had been under pressure for a long time. Market sentiment has shifted from pessimism to optimism, but what is the driving force behind this change?
From the perspective of volume and price relationship, the most characteristic feature of this rally is "breakout on doubled volume." The trading volume has clearly increased compared to the previous trading day, and this price breakthrough was achieved under the support of this increased volume, which is completely different from a volume-contraction rebound. There is a pattern that many people tend to overlook: the longer the accumulation phase at the bottom, the more room there is for subsequent explosive moves once volume increases. From a technical logic standpoint, long-term sideways consolidation is like storing energy, and the timing of release naturally depends on volume support.
Looking at the behavior of capital, it is obvious that large funds are positioning behind this rise. Many traders only focus on price movements but ignore a more critical issue: how to judge whether it is genuine entry or a false move? A simple method is to observe the match between volume and price. The characteristic of this FIL move is "volume and price rising in sync," with trading volume rapidly declining during pullbacks, indicating that bottom chips have been locked in and that the main force is not distributing but accumulating. Comparing with previous rebounds, either the volume was insufficient with poor sustainability, or increased volume during declines created traps. This time, the capital logic belongs to the typical pattern of "accumulating at low levels and then breaking upward."
Regarding subsequent operations, do not blindly chase high or be overly pessimistic and hesitant. From a technical perspective, a pullback to the support level around 1.5 is already a relatively safe zone.