On February 12, the capital market experienced a significant correction, with the major indices all closing lower and trading volume shrinking furtherThis trend has added an air of caution to the marketFrom a technical analysis standpoint, the nearly three consecutive days of increasing volume and rising prices naturally led to some pullback and correctionIn the realm of stock trading, price movements do not merely rise or fall in a straight line; they instead exhibit a wave-like progressionFollowing a considerable upward trend, it’s common for the market to undergo adjustments to digest previous gains and profit-taking positionsAs long as we do not witness a catastrophic decline, such as a sharp gap breaking through crucial support levels or a drastic increase in volume coinciding with a significant index drop, the market structure can still be perceived as a series of oscillating upward movements.

This oscillating upward trajectory indicates that within an overall upward trend, the market will experience short-term fluctuations and correctionsInvestors must exhibit patience to seize the low-buying opportunities that arise during market pullbacks.

In the afternoon session yesterday, the stocks connected to the DeepSeek concept displayed heightened divergence, seizing the market’s attentionStocks such as Daily Interaction, Capital Online, and Yikede saw significant spikes followed by sharp retracements, leaving investors closely monitoring the unpredictable market dynamicsIn stock trading, when a hot sector attracts considerable attention and capital inflow, it often leads to a rapid rise in stock prices within that sectorHowever, a constant change in market sentiment and profit-taking requirements can lead to divergences among individual stocks in the sectorDespite some stocks experiencing high volatility, a majority of the standout stocks within the DeepSeek concept maintained strong positionsThis suggests that interest in the DeepSeek concept is not entirely waning

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However, without additional capital to sustain momentum, ongoing divergence within the DeepSeek stocks is likely to persistThe aftermath of thematic divergence can actually provide a better environment to identify leading stocks based on distinct identificationDuring such divergences, the stocks with genuine competitive advantages and market recognition will differentiate themselves, displaying stronger resilience against declines and superior upward momentumIf the sector continues to rise indiscriminately, it will inevitably exacerbate the process of elimination, resulting in more stocks sharply falling after rapid gains, thereby increasing investor riskThus, short-term divergence and consolidation do not signify the end of the market rally; rather, they can represent the accumulation of energy for the next upward movementThroughout this process, the market will undergo a regrouping and repricing of the stocks within the sector, laying the groundwork for the forthcoming rise.

Analyzing market speculative styles reveals that different phases show varying investor preferencesTypically, when a theme is in a continuing main rise phase, investors chase performance, favoring stocks with a 20% or 30% price limit for increased efficiency; these stocks tend to offer larger upside potential in the short term and deliver higher returnsHowever, as a theme enters a period of divergence and consolidation, funds gradually become more conservativeAt that time, stocks with a 10% price limit became more prominentOn the one hand, the stocks with a 20% limit may have already surged extraordinarily, presenting a limited upsideConversely, the 10% limited stocks, having smaller price increases, are subject to logical follow-up demandsFurthermore, during a phase of market divergence, funds become more risk-averse and demand stability, making 10% limit stocks less volatile, thus lower in riskTherefore, going forward, investors should closely monitor the relatively robust stocks amid the divergence; these stocks often have stronger market competitiveness and capacity to withstand risks

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Alternatively, it may be prudent to wait for a low-buying opportunity in trending stocks, which typically have stable performance support and favorable growth prospects, making market corrections propitious for investment allocations.

With the divergence surrounding the DeepSeek concept in full swing, the focus of market rotation is becoming increasingly diversified, though anticipated to remain centered around AI technologiesAccording to tech news outlet The Information, sources have reported that Apple Inc. is collaborating with Alibaba Group to develop and launch AI solutions specifically for iPhone users in ChinaThis news has undoubtedly caused a stir in capital markets, prompting predictions that shares linked to Apple and Alibaba’s value chain may benefit significantly from this partnershipAs globally recognized tech giants, the collaboration between Apple and Alibaba is bound to have a substantial demonstration effect and market impactCompanies within the related value chain, whether they supply hardware components to Apple or provide technical support services to Alibaba, are likely to seize more business opportunities and market share as a result of this partnershipFurthermore, investors should remain alert to potential extensions into edge-side speculation, such as developments in AI chips and smart device sectors.

Likewise, as one of AI's core downstream applications, the robotics sector merits close attentionIn recent years, the robotics industry has experienced rapid growth, and with the ongoing advancements in AI technologies, robots are becoming smarter and finding applications in an increasingly broad range of scenariosAlthough the robotics direction has also faced a continuous series of divergences, the end of yesterday’s trading session witnessed a slight resurgence in demandNonetheless, with the prevailing market narrative still heavily influenced by the DeepSeek concept, reproducing previous continuous main rises will pose significant challenges for the robotics sector, even if capital flows back into it

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