Movement Alert|YOFC Declines 3.12% in Regular Trading, Technical Selling Pressure Resumes After Previous Session Rebound

Market Focus07-21

On July 21, YOFC (06869.HK) fell 3.12% in regular trading, trading at HKD 137.7/share, with turnover of HKD 593 million.

The stock retreated after rebounding over 10% intraday in the previous session, which was driven by President Zhuang Dan's comments at the World Artificial Intelligence Conference predicting polarization-maintaining fiber demand would surge 10 to 20 times. Despite this bullish outlook and supportive factors including Morgan Stanley's upgrade to Overweight with a HKD 230 target price, as well as first-half net profit growth of 711%-914% year-over-year, the stock has failed to sustain gains. Since its June peak, YOFC has retreated over 50%, and after surging to HKD 188 on July 15, the stock has experienced consecutive sharp pullbacks. Persistent profit-taking from high-level holders and continued net selling by southbound capital have kept short-term selling pressure elevated, with the pattern of selling on positive news continuing to dominate price action.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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