Rebirth 76: Industrial Internet Empire

Friday, April 4.

Affected by the sharp drop in Motorola's profit forecast, the Nasdaq plunged 9.7% to close at 3321.29.

Looking back at the high of 5129 a month ago, it seems like a lifetime ago that the Nasdaq fell by 39% in just one month.

Whether investors admit it or not, the era of high premiums for technology and Internet stocks is over. No matter how good the story is, if there is no hope of profit and no successor, capital will still give up!

The next few months almost became a slaughterhouse for small and medium-sized investors by securities firms. The Nasdaq fluctuated back and forth between 3000 and 4300 points, killing people up and down. Regardless of whether you are long or short, as long as you dare to add sufficient financial leverage, you can win. Let you die without a burial place...

Lin Xi followed Yang Mo's instructions and ambushed a large number of short chips above 4000 points, blocking the channel for bulls to use the rebound to close their positions!

…………

In early May, Zhiyuan Group and Qianhai Capital Company’s second-quarter shareholding reduction applications were finally approved by the Federal Securities and Exchange Commission!

Yang Mo knew that the approval of the shareholding reduction application had been delayed for so long, just to wait for the acquisition target they had selected in advance in Zhiyuan Group to complete the layout and to get a piece of the pie!

These Western politicians who are full of lies talk about all kinds of rules and contract spirit, but in fact they are full of male thieves and female prostitutes!

However, what makes Yasuda Kaga feel strange is that after Zhiyuan Group and Qianhai Asset Management received approval to reduce their holdings, they did not use them to smash the market, but methodically reduced their positions on rallies.

Yasuda Kaga felt so aggrieved! The opponent is reducing its holdings, but you are still trying your best to hold the position, who can you argue with?

But if Qianhai Asset Management ignores the market crash, Furong Bank's losses will be even greater...

On May 5, the Federal Reserve raised interest rates for the sixth time in half a year, with the benchmark deposit and loan interest rates rising to 16%.

The Nasdaq was in trouble, and the market once broke through 3000 points. All parties tried their best to stabilize the situation with the cooperation of brokers.

………………

Monday, May 6.

Zhiyuan Investment Headquarters.

Yang Mo stared at the board without saying a word...

There are only five trading days left before the delivery date of the Nasdaq futures 06 contract, and the Nasdaq opened at 3228 points.

The game between the long and short parties has entered a fever pitch. Yang Mo stood up and looked at Li Heping and said: "Let's get started! The rest is all up to you. I don't care what method you use, as long as it is within the scope of the federal securities laws, today's Nasdaq I don’t want to see the closing price still beginning with 3!”

"Qian Ning, please ask someone to calculate the comprehensive position cost of Furong Group's Nasdaq futures 06 orders..."

"Lin Xi, in the last five trading days, continue to lock the position closing channel and don't let the bulls close their positions and leave!"

The most brutal long-short battle in the history of Nasdaq has begun!

Worried about hitting the limit of holding reduction, Li Heping did not use the reduction to hit the market at first. Instead, he borrowed stocks from brokers or directly short-sold the stocks of major Internet companies through Zongheng Investment and affiliated company accounts, avoiding the Federal Securities and Exchange Commission's regulations. Price increase trading rules consume as many funds as possible!

Intel, Qualcomm, Microsoft, IBM, Motorola, Texas Instruments, Dell, AOL and other Nasdaq constituent stocks that do not have capital investment from Zhiyuan Qianhai Group will bear the brunt of the impact!

Due to the restrictions on price increase trading rules, short parties cannot borrow securities or sell naked short in the falling stock price channel. Li Heping can only choose to continue to expand the battlefield. Regardless of whether it is a Nasdaq component stock or not, as long as the stock is in the rising channel, all stocks will be short-sold!

Throughout the early trading, bulls just felt that funds were being consumed like running water, and did not notice too much pressure. The Nasdaq stubbornly held on to 3100 points...

The long and short sides continued to struggle around 3100 points at midday. Until half an hour before the market closed, countless selling orders suddenly surged out, catching Yasuda Kaga off guard. The situation took a turn for the worse. The 3000 point that had been held for two months was broken by the short side. It closed at 2978 points at noon!

Zhiyuan Investment Headquarters.

"Mr. Yang, there are still four days until the delivery date, and today's consumption is still a bit high! According to this trend, our reduction limit will soon reach the top..." Li Heping said with concern.

After Yang Mo pondered for a long time, he said: "Our advantage lies in sufficient funds. The advantage of Yasuda Kaga, an old devil, lies in the short-selling rules that protect many parties. Your trading technique today is good, which has created a general decline situation, which is both consumption and It has destroyed the reserve funds of the Furong Group and further undermined the confidence of ordinary investors!”

"Are we going to continue doing this tomorrow?" Li Heping asked.

"Tomorrow's morning trading will still be on the defensive by short selling, and we will block it step by step within the limits allowed by the rules. The focus will be on the Nasdaq constituent stocks. Try not to let them break through 3000-3050 points. Wait until the end of the day to launch a counterattack and use the stocks that have been reduced. Smash the plate!" Yang Mo continued to instruct.

.........

Friday, April 6.

After three days of decisive battle, the short side headed by Yasuda Kaga was exhausted and still failed to hold on to 3000 points.

Throughout June, more and more Wall Street capital companies have joined the short side camp. This is their usual tactic, like carrion-eating vultures, coming out to grab food at the last moment...

Yasuda Kaga slumped down on the chair with his eyes blank, and saw the 2882 points frozen on the screen!

"Mr. President! You have to cheer up. We still have a lot of long positions in the Nasdaq 012 contract. The fiasco of the 06 contract is not your fault alone!" Yasuda Yumi comforted softly.

Yasuda Kaga sighed and said: "Yumiko, there is no chance! The headquarters will not let me serve as the president of the Chicago branch of Furong Bank, and no financial institution will hire me..."

"No, Kaga-kun! This is not your fault alone. You cannot be allowed to take the blame alone. Your plan was approved by the group headquarters..." Yasuda Yumi said.

"Yumiko, facing these two lunatics Yang Mo and Li Heping, I made an unforgivable mistake!" Yasuda Kaga said with a bitter smile.

"An unforgivable mistake?" Yasuda Yumi asked in confusion.

"When I was lobbying the group headquarters, I firmly believed that Zhiyuan Group and Qianhai Asset Management could not go all out to play a life-and-death game with us in the Nasdaq futures!" Yasuda Kaga continued.

"why?"

"Because strictly speaking, Zhiyuan Group and Qianhai Asset Management are the largest bulls on Nasdaq. They are the major shareholders of several Internet companies with a market value of more than [-] billion US dollars, such as Cisco, Apple, Sun, and Amazon. They can do whatever they want. After reducing their holdings, they still hold hundreds of billions of dollars in non-tradable shares, but these two lunatics, who were completely capable of joining us to protect the market, chose to die with us..." Yasuda Kaga said with a long sigh.