After the first day of significant gains following a long holiday, the A-share market experienced a pullback today. It is reassuring that even during the decline, trading volume remained active, which kept the short-term adjustment market competitive, with neither bears nor bulls gaining an advantage, and the bulls managed to cool down the risk of this market downturn.

Additionally, today's intraday adjustment marked the first accelerated decline in the Shanghai Composite Index since it rose above 2700 points. The market saw many profit-taking scenarios, indirectly reflecting that short-term investors may be actively exiting due to recent significant gains, increasing the pressure on A-shares to rise.

In other words, while the market has experienced an accelerated decline, investor sentiment has not been dominated by bears. Is the stock market about to undergo a major shift?

Everyone should be mentally prepared, as various signs indicate that A-shares could be on the verge of a significant shift at any time!

There are several indications that the stock market may be poised for a major short-term shift. The reasons are twofold:

News 1: Nearly 40 listed companies announced plans to reduce their holdings yesterday, bringing the total number of companies planning to do so since the market surge on September 24 to over 100. It is clear that if the market continues to rise significantly, the number of companies reducing their holdings could reach 100 in a single day.

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This shows that during periods of significant market gains, the pace of share reduction by listed companies will accelerate, putting pressure on stock prices to rise. Some companies are even engaging in "liquidation-style" reductions, indicating that they do not believe the stock price has value, which affects the confidence of institutional investors to participate, leading to divergence in A-shares.

News 2: Today marks the entry of new investors into the market, which can increase the influx of new capital.

However, the influx of many new investors may lead to the sale of shares by those who have already profited. The reason is that institutional investors have sold over 250 billion yuan in the past two days, perhaps because they believe there is pressure at the 3700-point level.Additionally, this round of significant surge has seen financing funds reach an all-time high. Many short-term speculative funds are more active in entering the market as stock prices soar, amplifying the significant fluctuations in short-term trends. This leads to a pattern where a substantial rise is followed by a sharp decline, but after a sharp decline, there is also a significant rebound.

Everyone should be mentally prepared, as various signs indicate that the A-share market could experience a significant shift at any time, with an accelerated adjustment. Will the stock market's upward trend end after the adjustment?

According to analysis, the upward trend in the stock market is not over. In a bull market, there are often sharp declines. Short-term drops do not signify the end of the upward trend; they are a release of risk. As risks are rapidly consumed, new funds are entering the market, leading to a situation where the three major stock indices experience small declines followed by significant rises, and even after a substantial decline, the market will still rise.

More importantly, if it is a bull market trend, there are no instances of just a few days of bull market followed by a few days of significant rises and then a continuous decline; that would merely be a rebound trend. However, the current surge in positive news, coupled with the market being in a period of significantly increased investor confidence, shows no signs of ending the bull market.

In summary, the three major stock indices' trends have been affected by bearish news, causing changes in the upward movement. However, short-term minor declines represent significant opportunities, and even accelerated declines do not pose significant risks. If the stock market is in a large-scale uptrend, each decline is a prelude to brewing a larger trend later on.

The current trend still leans towards a continuation of the upward trend. At present, the bulls are not stronger than the bears, but the declines are not significant, and the stock market will not conclude this round of trends.