Morning Trend | SHANDONG MOLONG experiences low-volume fluctuations at a low level, is a bottom rebound coming?
Shandong Molong's intraday fluctuations were limited yesterday, oscillating around the low range of HKD 2.60 throughout the day. Currently, the energy and chemical equipment sector continues to perform poorly, with overall trading activity declining and limited willingness for capital entry. Even when international oil prices occasionally rise, their impact on individual stocks is relatively limited. From an industry fundamental perspective, there have been no significant new announcements from oil service companies recently, and the market lacks catalysts. There is almost no latest news on overseas oilfield project progress, which exacerbates the desolate atmosphere of the sector. Investors' attention is mainly focused on mainstream popular sectors, while low-priced small-cap stocks have been marginalized in the short term. Technically, the moving average system is in a bearish arrangement across the board, with the daily MACD and momentum indicators remaining at low levels. Bottom momentum is slowly accumulating but is insufficient to support a large-scale rebound. Even if there are occasional intraday surges, the lack of volume makes it easy for gains to retreat. Short-term funds are only engaging in tentative operations with small positions, and mainstream institutions have yet to return. Market views generally believe that a 'volume-less rebound' at the bottom of the range is easily suppressed quickly, and continuous attention should be paid to policy changes in the energy and chemical industry and fluctuations in international oil prices. The bottom consolidation has not yet ended, with new lows and rebound opportunities coexisting. It is recommended that investors be cautious of the downside risks brought by blind accumulation and seek safety margins by considering volume, policy, and the movements of leading sectors
Shandong Molong's intraday fluctuations were limited yesterday, oscillating around the low range of HKD 2.60 throughout the day. Currently, the energy and chemical equipment sector continues to perform poorly, with overall trading activity declining and limited willingness for capital entry. Even when international oil prices occasionally rise, their impact on individual stocks is relatively limited.
From an industry fundamentals perspective, there have been no significant new announcements from oil service companies recently, and the market lacks catalysts. There is almost no latest news on overseas oilfield project progress, which exacerbates the desolate atmosphere of the sector. Investors' attention is mainly focused on mainstream popular tracks, while low-priced small-cap stocks have been marginalized in the short term.
On the technical front, the moving average system is in a bearish arrangement across the board, with the daily MACD and momentum indicators remaining at low levels. Bottom momentum is slowly accumulating but is insufficient to support a large-scale rebound. Even if there are occasional intraday surges, the lack of volume makes it easy for gains to retreat. Short-term funds are only engaging in tentative operations with small positions, and mainstream institutions have yet to return.
Market views generally believe that a 'volume-less rebound' at the bottom of the range is easily suppressed quickly, and it is necessary to continuously monitor policy changes in the energy and chemical industry as well as fluctuations in international oil prices. The bottom consolidation has not yet ended, with new lows and rebound opportunities coexisting. Investors are advised to be cautious of the downside risks brought by blind accumulation and to seek safety margins by considering volume, policy, and the movements of leading sectors
