The market trend this week has plummeted from full confidence to a low point. During the long holiday break, the Hong Kong stock market continued to soar, with many investors eagerly awaiting the opening of the A-share market. However, it only opened high on the first day of Tuesday, and then experienced a pullback for the next three days, causing the previously restored confidence to cool down again.

Especially on Friday, the decline was a situation where the bearish energy continued to expand, causing both the Shanghai Composite Index and the ChiNext Index to hit new lows. This indicates that some of the selling pressure in the stock market is still increasing, and there is no sign of a decrease in selling funds. It also led to a reduction in transaction volume from the initial 3 trillion yuan to the current 1.5 trillion yuan.

From this perspective, regardless of whether there is a bull market or not, the short-term market has already changed the previous bullish trend. The trend of the three major stock indices' pullback is likely to be in a situation where the bears have a slight advantage. So, will the stock market rise next week?

Everyone needs to be prepared. If there are no accidents, next week is likely to usher in a larger-scale increase.

There are three signs coming. If the stock market has fallen this week and the risks have been exhausted, it is likely to usher in a large-scale increase next week.

Sign one, the Hong Kong stock market was soaring on Thursday, but the A-share market was falling on Thursday. On Friday, the A-share market continued to close broadly lower, indicating that the stock market is still adjusting due to short-term selling pressure.

Fortunately, the Hong Kong stock market stabilized the decline ahead of the A-share market, and the Chinese concept stocks also closed higher on Friday night. The current transaction volume has also shrunk back to 157.2 billion yuan, which is the behavior of many funds buying high and selling low.

If the short-term speculative funds have sold out almost, and the Chinese concept stocks continue to rebound on Friday night, it will also give the A-share market next week the opportunity to maintain the upward trend.

Sign two, this time the A-share market rise is a strong trend where many positive news have surged. The stock market has real money and silver, and after ending the decline of the previous few years, the three major stock indices will not immediately end the bullish fluctuations.The reason is that over the course of 4 days this week, the A-share market's total transaction volume exceeded 10 trillion yuan, marking the highest weekly transaction volume in history. Should the A-share market conclude its significant rise and fall back below 3,000 points, it is likely that a substantial period of time will be required to regain confidence for the market to break through 3,600 points and attract more funds. However, the stock market does not rise without cause; as long as there are still favorable news that have not fully materialized, there remains the opportunity for the market to rise.

Yesterday, two securities firms, including CICC, have already submitted a swap facilitation plan with an approximate quota of 10 billion yuan. Once other securities firms receive favorable news, the market will continue to see an influx of funds.

The swap facilitation plan can enhance the liquidity of the stock market and stabilize market sentiment, leading Peony to believe that the decline of the three major stock indices is not the end of the previous trend but rather a potential adjustment during an upward movement.

Sign three, technically speaking, the Shanghai Composite Index closed with a medium bearish candle on Friday, and the transaction volume has been shrinking for three consecutive days, indicating that the index might fall back to fill the gap at the 3,100 point level. This is only a possibility, and it is also quite likely that the market will start to rise without falling back to 3,100 points.

Since the first trading day after the long holiday, the ChiNext board has initiated a four-day consecutive decline, revealing that the decline in the ChiNext board is more significant than that of the Shanghai Composite Index.

It can be understood that, technically, the short-term trends of the three major stock indices still carry risks, but the stock market, after experiencing a significant rise, has only fallen back by 30% of its gains. Accompanying this is the technical shift from bearish to bullish, indicating that this adjustment is a correction of the overbought market conditions.

It is anticipated that everyone should be prepared, as barring any unexpected events, next week may see a larger-scale increase. The reason is that the market may be transitioning from a fast bull to a slow bull trend.

Currently, the Hong Kong stock market has not continued to decline, which is a sign of strength, and the securities sector has favorable news. Two securities firms that have resumed trading are also at the limit up, giving hope that the securities sector could lead the upward trend of the stock market.

In other words, at its current position, the A-share market may still have short-term bears selling, but the three major stock indices are merely adjusting after a rise. If a significant increase can be initiated at 3,200 points or 3,100 points, the short-term risks of the A-share market will also come to an end.

In summary, it is predicted here that next week's stock market is expected to experience a fluctuation that starts with a decline and ends with an increase. If there are no unexpected events, the A-share market is at a time when it is transitioning from a fast bull to a slow bull, and next week will likely see a significant increase.If the significant rise next week is postponed, the overall trend of the stock market will still be in a recovery phase, not just a one-off rally. The second wave of the rise is still brewing.