What changed in buying activity amid the market swings?

  • On the morning of 3 November, the indices opened lower and fluctuated widely, with volatility increasing even as turnover declined. Based on the performance of broad-market ETFs, Cailian Press believes large investors may be supporting the market, while some quantitative trading funds and organic buying may be weakening.
  • Short-term sentiment was relatively stronger than the indices, but leading stocks were collectively locked at their daily upper limits throughout the session, leaving limited trading opportunities. Daye Shares and Ocean's King saw pronounced negative reactions after triggering abnormal trading alerts, and investor losses had not been effectively alleviated.

Why watch for capital returning to AI applications and robotics?

  • The AI application sector, the previous day's strongest, remained strong amid diverging performance. Huazhi Digital Media performed slightly better than Cailian Press expected, but laggards fell noticeably behind and leading stocks were mostly locked at their daily upper limits throughout the session, making follow-on trades difficult that day. Cailian Press expects capital returning after greater divergence the following day could bring opportunities.
  • The previous day, capital returned only weakly to the robotics sector, shaking its status as a leading market theme. Its performance was also lackluster that day, but Cailian Press believes expectations for a short-term capital return are strong.
  • Technology stocks remained weak, and banks also weakened. New energy briefly attracted capital, but its performance lacked momentum. Cailian Press expects selling pressure on technology stocks to be released around mid-November, while the sustainability of the new energy sector's performance remains to be seen.

How far has Changying Precision expanded its robotics business?

  • Cailian Press believes the shift in humanoid robots from small-batch customization to highly consistent mass production will drive upgrades in precision manufacturing processes. Changying Precision is expanding from components into complete-unit assembly, and its Shenzhen smart robotics industrial park entered production in December 2025, positioning it to take on subsequent large-scale production and assembly orders.
  • The company already has the production capacity to supply leading customers with more than a hundred categories of components for a single product and has supplied over 400 component categories cumulatively. Its planetary roller screw products under development are also expected to expand into modules.