Morning Trend | China Merchants Bank's main force rises, can it break through the pressure zone to attract attention?

On December 29th, China Merchants Bank (3968.HK) performed outstandingly in the banking sector, with continuous capital inflow throughout the day, and its stock price remained above key support levels. Influenced by favorable macroeconomic news and a noticeable warming of market sentiment, the overall popularity of the banking sector has increased recently. China Merchants Bank has recently completed a digital system upgrade and initiated cross-industry collaborations, which are widely regarded in the industry as entering a "new growth engine" phase, enhancing expectations for technology-driven transformation. Throughout the day, trading volume continued to increase, with short-term funds clearly chasing the stock, bringing the price closer to the resistance level of HKD 53.70. From a technical perspective, the resonance between trading volume and price indicates a clear upward trend, but signs of high-level fluctuations are increasing, and overbought signals are gradually appearing. As the stock price approaches the pressure zone, some funds have begun to adopt a wait-and-see approach, and there have also been instances of profit-taking during the day. The market's focus is on whether it can break through this key price level with increased volume and open up a new round of upward space. From an industry perspective, the rotation speed of the banking sector has accelerated this week, with macroeconomic data exceeding expectations and no negative risk control news emerging in the sector, indicating strong confidence from major funds. The overall technical pattern is bullish, but it is still necessary to closely monitor intraday pullbacks and changes in capital dynamics. If trading volume expands, the market is likely to continue its upward trend; otherwise, it may trigger risks of high-level fluctuations. In terms of risks, attention should be paid to short-term funds taking profits, high-level corrections, and market sentiment reversals caused by the realization of favorable news. It is recommended that short-term operators remain vigilant, closely observe intraday anomalies, and make comprehensive judgments about future trends based on macro and industry levels