How to Trade the "Yaxia Hydropower" Concept? Three Methods

  • 2025-07-22


How to Trade the "Yaxia Hydropower" Concept? Three Methods

  1. Wait for the Top "One-Word Limit-Up" Stocks to Compete
    Trade the short-term premium of the winner, or hold if it continues to strengthen. Essentially, bet on the last stock standing in the leader competition.

  2. Trade the "Weak-to-Strong" Rebound of Fallen Leaders
    If a stock falls behind in the competition but shows support after its first decline, look for a reversal from weak to strong.

  3. Watch the Leaders and Front-Runners, Then Trade the Catch-Up Plays
    For example, today’s Xinyu Guoke was this type of play—if you couldn’t get into the limit-up leader, buy other strong beneficiaries. However, starting tomorrow, only the first-day limit-up catch-up plays will be viable, as funds will scout targets tonight.

This concept spans infrastructure, hydropower, civil explosives, cement, steel, electromechanical equipment, and survey design, so its sustainability likely exceeds just 2-3 days.

To judge whether a new concept will last, strength matters more than logic. Logic is subjective, but strength is visible—for example:

  • Power Construction Corp of China (中国电建) had 10 million buy orders at the limit-up.

  • Tibet Tianlu (西藏天路) had 5 million buy orders.

Such heavy buy orders usually indicate a 7-board rally, with 4-5 boards for one-word limit-ups.

Once the leader is established, trading becomes easier—just cut the weak and keep the strong.

 

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