$BABA-W(09988.HK)$Hang Seng TECH Index(STECH.HK)$PDD(PDD.US)$Trip.com(TCOM.US)$XIAOMI-W(01810.HK)

Recently, some people happened to be in the right place at the right time, so they made money. Others were unlucky not to be in the hot sector, so they didn't make a profit or even lost money. However, for retail investors, predicting the next hot trend is impossible, which is also why I've always disagreed with trend-related theories. So what can be done? Only by looking at valuations and believing in cycles can one avoid chasing trends and taking excessive risks. The method is straightforward in theory, but not easy to implement. The reason it's difficult isn't so much human weakness, but rather, I think, just seeing too much. Every day, you see how much other sectors are making, you see people in the hot sectors flaunting their gains, and you see others mocking the industry you're heavily invested in. If people could just stop looking, I believe the number of those who cut losses at low valuations, sell out, and chase highs would at least halve. Many people in the hot sectors emphasize the importance of industry research or even single-stock research, ultimately to hold on during volatility. But this obsession can also lead people into a trap, making them think, 'I've done so much research, how can I end up with nothing?' It's a backlash from being overly critical and trusting of oneself. So I choose not to do industry research at all, partly for the reasons above, and partly because I think there are already plenty of institutions and individuals doing industry research in the market; there's no need to compete with them for that slice of the pie. On the contrary, I believe there are relatively few people in the market who can ignore everything, disregard all noise, and simply hold firm to the principle of buying low and selling high. I think this is the more likely direction for me to achieve alpha.

To sum it up, currently, the constituents of the Hang Seng Tech Index are relatively undervalued. You could cut your losses, but it's not necessary. That's all. Let's encourage each other.