After the market close, foreigners bought 1.7 trillion won: What does it signal? / Record-high forced selling, Kosdaq short-selling begins

Summary

Team Leader Hwang Yu-hyeon reviews the market after a volatile session where KOSPI closed flat but KOSDAQ surged 4.7%. He explains that record forced selling created a vacuum, allowing a sharp rebound. He expects a rotation from mega-cap AI stocks like Samsung Electronics and SK hynix into overlooked KOSDAQ small/mid-caps with strong earnings. He provides a 30% drawdown rule for trend damage and highlights specific sectors and stocks to watch, including semiconductor equipment, consumer goods, entertainment, and biotech.

• KOSDAQ rebounded sharply after hitting record forced selling levels, reflecting a vacuum effect.
• Samsung Electronics and SK hynix are in a healthy consolidation, not a trend breakdown, with catalysts expected in July earnings.
• Rotation trade emerging as funds flow from large-cap AI names into KOSDAQ equipment, consumer exports, entertainment, and biotech.
• A 30% decline from a stock's high signals trend damage; additional buying should be avoided in such cases.
• Hyundai Motor is holding its 30% threshold and remains a name to monitor.
• Foreign buying of 1.7 trillion won after the close is just a derivative expiry event with no special meaning.