Pre-market trend | FUYAO GLASS (3606.HK) 5/8 good volume-price matching, is there a signal of recovery in the automotive chain?

On May 8th, FUYAO GLASS showed steady performance during the day, with the MACD daily line confirming a bullish signal above the zero axis, further validating the continuation of the medium-term upward trend from a technical perspective. The trading volume was approximately HKD 313 million, maintaining at a reasonable level, indicating a high recognition of the current position by funds, with no signs of panic selling or overheated chasing. As a global leader in automotive glass, FUYAO's performance is often seen as a barometer for the prosperity of the automotive industry chain. On the news front, domestic new energy vehicle sales data for April continued to improve, with several automakers achieving record high delivery volumes. As a core component supplier, FUYAO benefits from the increasing glass area per vehicle and the rising penetration of high-value-added products such as HUD (Head-Up Display) under the trend of intelligence. Additionally, it has been reported that Xiaomi Auto will launch an independent sub-brand "XunTian," and the increase in new models means more demand for glass components. The entire automotive parts sector has gained attention from funds in the Hong Kong stock market, with expectations of industry chain prosperity supporting individual stocks. From a technical perspective, the 5-day and 10-day moving averages maintain a bullish arrangement, with the stock price running above the short-term averages and a complete support structure. If the subsequent trading volume remains stable and the stock price reaches new highs, the upward space is expected to further open up. It should be noted that stocks in the automotive chain, such as Weichai Power, experienced significant adjustments today, leading to some differentiation within the sector. The short-term trend is biased towards bullish, with a good resonance pattern between fundamentals and technicals. However, if global automotive sales data falls short of expectations or trade frictions escalate affecting export orders, the current trend may face challenges