Huatai Securities: Focus on thematic investment and prosperity strategies, with a priority on policy direction for themes

36Kr learned that Huatai Securities' research report indicates that the spring rally is one of the more certain calendar effects in the A-share market. This year's spring rally shows significant preemptive characteristics, and the market is concerned about whether this year's patterns will remain stable. We believe that the underlying logic of this year's calendar effect may still be valid, but it may differ from previous years: 1) The high trading volume after the holiday indicates that the foundation of ample liquidity remains, but the visibility for further risk premium breakthroughs is reduced. The upward slope of the market may slow compared to previous years, increasing the necessity to explore structural opportunities; 2) In terms of style, the question of whether the shift of funds from technology to cyclical sectors after the holiday is premature arises. We believe that the transition from small-cap to large-cap stocks still requires a turning point in remaining liquidity, a recovery trend in large-cap value stocks, and coordination of funds, with the observation window likely in March-April. In terms of allocation, we recommend focusing on thematic investments and prosperity strategies, prioritizing themes that align with policy directions, and paying attention to sectors such as communication equipment, small metals, rare metals, batteries, and building materials