$XTALPI(02228.HK) A purely trading perspective: First the conclusion, I think the position in 02228 is not heavy. Don't just look at valuation. From the perspective of A-shares, there are many more outrageous valuations than this.

Jingtai's trading volume increased significantly starting from November 14 last year, when the price was around 6.5～6.8. Today's price has returned to 6.8. Considering the extremely low trading volume of trapped positions, although it once reached 15, I believe the amount of truly trapped capital is not much. During the process, those who needed to cut losses would have already done so. They wouldn't wait until today. So currently, there are only profitable positions, not many trapped positions. As for profitable positions, they can easily be shaken off with some volatility...

The increase in trading volume since November 14, according to Stock Connect data, clearly shows that mainland mutual funds and large private funds (hot money) have been continuously buying. So we need to consider: What is their cost? If they want to make money from trading, at what level would they distribute their chips under what circumstances?

I can't give simple answers to these questions. After all, investing is a process of calling each other idiots. But personally, from a purely trading perspective, there is still some safety at this point. So I chose to add more positions today.