CSI 300: bearish under 3970

Fundamental analysis.

Friday (May 12), A shares continued to sink after lunch, the main indices are down more than 1%, CSI 300 fell 1.12%, the individual shares fell more up less, the two cities more than 3700 shares fell. The day's turnover shrunk to 848.1 billion, northward net buying of 1.326 billion yuan, the sixth consecutive trading day net buying. Looking ahead to the market, multiple concerns and the stage of funds to cash demand, market turnover shrinkage, the index ushered in the overall adjustment, the recovery cycle is established, the overall market trend for the better has not changed, the short-term appropriate wait and see, and be prepared for the overall low absorption after the index back.

CSI 300 four-hour chart

Technical analysis.

4 hours chart, CSI 300 further fall below 3950 points, the trend continues to weaken, MACD volume under the zero axis has been released, the current pressure moved down to 3970 near, the level below continue to bearish, the target 3900-3850 near.

Resistance:3970 4020

Support level: 3900 3830

Trading strategy: 3970 above bullish, the target 4020 4080

Alternative strategy: 3970 below bearish, the target 3900 3830