Economic Observation Network Chenming Paper (01812. HK)'s current KDJ indicator shows extreme oversold. To determine whether it can stabilize in the future, attention can be paid to two core signals.

Key points for observing the stabilization of stock prices:
One is the third quarter report on October 30th - if the non loss deduction period narrows compared to the second quarter and the operating cash flow remains positive, it indicates that the resumption of production dividend is being realized; The second is the progress of litigation. If the 78 pieces of executed information and 2.4 billion yuan of executed amount continue to increase, the debt risk will not be resolved by exemption Technically speaking, KDJ's J value of -6.76 is extremely oversold, but oversold does not mean stopping the decline. The liquidity discount of ST stocks and the rebuilding of market confidence require time.

The above content is based on publicly available information and does not constitute investment advice.