The market opened in a panic on October 23, but closed with a small pleasant surprise, as the ChiNext index swung from a drop of more than 3% to a gain of more than 4%, with an intraday amplitude of nearly 8%.
Looking back, such reversals have appeared many times before, and the moves that followed ranged from major turnarounds to renewed corrections. In late October, with the market oversold in the short term, this kind of rally is once again sending a different signal. But the rapid intraday reversal on October 23 also caused far too many people to "miss the rhythm." One moment, some were saying "I've cleared everything out, I accept my losses," and the next moment, the major indices and popular leaders such as Unitree Robotics, CATL, Changxin Technology, and Zhongji Innolight were all surging together... Behind this, in fact, was the forward-looking "ambush" by major funds. So, will a bigger rally come? How can one better catch the market's rhythm? How can one track the entry signals of major funds? The video within the article explains this in detail.
Rebounds always come, late but they arrive
On October 23, among the ranks of rising and falling stocks, advancers overwhelmed decliners by a crushing margin. That day, 4,526 stocks rose and 909 fell. In addition, the number of limit-up stocks surged, increasing from fewer than 60 on the preceding days to 84, while the number of limit-down stocks fell to fewer than 10 (see Table 1).
Now for the indices. Among the major indices, ChiNext had the larger fluctuation range and greater elasticity. On October 23, it opened lower, probed the bottom, then rallied, closing with a bullish candle carrying a lower shadow. This kind of move in ChiNext is not common, but it has appeared before, such as on June 9, June 15, and July 21. At those times, ChiNext also showed large amplitudes; for example, on July 21 it dipped 2% intraday but closed up 7%, with an intraday amplitude of more than 9%.
The market's major intraday counterattack on October 23 was to a large extent driven by the oversold repair in heavyweight stocks, especially ChiNext names. Among the ChiNext 50 constituents, Everwin Precision, Hithink RoyalFlush, Lead Intelligent, and Wangsu Science & Technology all rose more than 10%. CATL, which had fallen more than 20% from October 13 to October 22, surged nearly 8%, while optical communications names such as Zhongji Innolight also posted strong gains. In addition, from a technical perspective, this rebound in the index has some similarities with the July market. Take ChiNext again as an example: from July 1 to July 30, ChiNext fell 25%, and then from July 31 to August 17 it staged a 15% technical repair. Before the October 23 rebound, ChiNext had suffered a 24% decline from September 23 to October 22, comparable in magnitude to the July correction (see Figure 1).
Every cycle of rotational market action has similarities, namely that when the index undergoes a continuous sharp correction, a host of individual stocks will rebound ahead of the index. Some people "always wait for the index to stabilize before acting on individual stocks," but for some stocks, by the time you notice them, they have already completed their strongest wave of gains. Unitree Robotics, Haitian Ruian, Fantuo Digital, Leyard, and Orbbec are all examples. In the October 22 content, the case of a hundred-million-yuan block order adding to Leyard was mentioned. After a "20cm" limit-up on October 21, it sealed another limit-up on October 23. The company has concepts including AI and humanoid robots, and its share price rose for five consecutive sessions from October 19 to October 23, gaining more than 60% during that period (see Figure 2).
From October 19 to October 23, Haitian Ruian also rose for five consecutive sessions, with gains of as much as 80% during the period (see Figure 3). On October 23, it broke through further with a "20cm" limit-up. It likewise has concepts including AI and humanoid robots, and multiple ten-million-level block orders entered to add positions that day. The key point going forward is not whether stocks like Leyard and Haitian Ruian can rise further, but how to discover the "next move" of major funds and how to prospectively find the next "Leyard" and "Haitian Ruian." Looking further, one finds that many stocks already show obvious abnormalities in price and volume before major funds forcefully drive them up. They are hard to spot at a glance, but behind them are certain similar patterns and characteristics.
Dan Bin's latest third-quarter holdings revealed, adding to SanDisk, Micron Technology, and others
A-shares suddenly surged, and while repairing market confidence, some people moved toward new disagreements. The core focus is whether this is yet another bull trap or whether the opportunity for a reversal has arrived. Turning to U.S. stocks, the latest position adjustments of some typical investors show "actively bullish" views, such as Dan Bin. On October 22, the U.S. Securities and Exchange Commission (SEC) disclosed the U.S. stock holdings as of the end of the third quarter of 2026 for Dan Bin's Oriental Harbor overseas fund, Oriental Harbor Investment Fund. Overall, as of the end of the quarter, the fund held 13 U.S. stock targets, with a total market value of more than $1.4 billion. Looking further, Dan Bin adjusted positions in several of the 13 targets, such as newly buying Apple and SpaceX, and adding to Meta, Nvidia, Micron Technology, SanDisk, and TSMC (see Table 2).
For hotly discussed targets with large share price fluctuations, such as those related to optical communications and computing power, Dan Bin made contrarian allocations in the third quarter. For example, for Micron Technology, he increased the position by 3,306 shares in the third quarter to 150,893 shares. As of the end of the quarter, the position had a market value of $160 million, making it the fifth-largest heavyweight holding. Looking back, shares of memory chip giant Micron Technology weakened and corrected after hitting a historic high at the end of June. From June 26 to July 29, they fell nearly 40% at one point, but from July 30 to October 1 they returned to gains, rising nearly 50% during that period (see Figure 4). Then, in mid-to-late October, the company's share price accelerated downward.
On September 30, Micron Technology released a bright report. The financials showed that Micron Technology's fourth fiscal quarter revenue reached $54.23 billion, up 379% year over year, with gross margin rising to 87%. For the full fiscal year, Micron Technology's total revenue reached $133.19 billion, 3.5 times the record level of the previous fiscal year, with DRAM full-year revenue exceeding $100 billion for the first time. Regarding the phenomenon of Micron Technology's earnings surging while its share price fell, some analysts believe that its high earnings growth was within expectations, and combined with a resonance of multiple bearish factors from external macro conditions and the industrial chain, it ultimately triggered "selling on the news" after continuous outperformance. Micron Technology is a typical case. Back in A-shares, too many targets are also playing out Micron Technology's "market logic." At a window when sentiment and capital are receding, a "good story" clearly can no longer be the sole driver of share price gains. So, what will the next "story" be?
Comments