Technology market is expected to continue its strong trend, focus on the ChiNext artificial intelligence ETF Hua Bao layout opportunities.

On July 22, the ChiNext artificial intelligence ETF from Huabao closed down by 0.67%, with a turnover of 205 million yuan. The component stocks saw mixed movements, with Shenfeng Technology leading the gains, followed by Tianfu Communications. On the downside, Beijing Junzheng led the losses, followed by Runze Technology. Huaxun Securities stated that looking ahead, policies are expected to further support the market, especially with high-level implementation of anti-internal competition policies, bottoming out the real estate market and stimulating domestic consumption policies expected to be introduced. This will further boost market sentiment, and it is expected that the market will continue to fluctuate upwards. In terms of allocation, the technology sector is expected to remain strong. When the growth technology market reaches a temporary peak, usually there are five warning signs: valuation percentile, maximum increase and time during the rise, the number of times high-level stocks dive at the market peak, the phenomenon of the main trend spreading to other directions, and trading overcrowding and overheating. These five warning factors have occurred at the past four AI-induced market peaks. Looking at the current situation, among these five factors, warnings have been issued for valuation percentile and the timing of increase, but the conditions for warning signs such as diving frequency, main trend spreading, and overheating trading are not fully met. Therefore, as of now, it is estimated that the growth technology market has not yet ended.