Rebirth of the Capital Legend

Chapter 39 The inescapable shadow of 'stocks falling to the limit'!

After deciding on the next investment direction and selecting the transaction target.

Su Yi clicked on the K-line chart of the stock 'Teli A' and took a closer look. He found that this check had hit three consecutive daily limit-downs recently under the harsh environment of the market's continuous 'thousand-share limit-down' trend. , the internal chip structure can be described as fragmented, with basically no profit plates, only meat-cutting plates and stop-loss plates.

Moreover, due to the collapse of its stock price, the turnover rate is insufficient.

The internal bargaining chip of this check, the main price range where it gathers, is actually still far away from the bull market peak that is double the current stock price.

This also means that this stock, in the middle of the continuous lower limit, has a complete vacuum of chips.

In addition, this check does not belong to the market's two financing targets, and there is no institutional position. The market value is only more than 30 billion, and the circulating supply is only about 20 billion.

Naturally, it is a very suitable target for speculation.

Su Yi felt that as long as the market's liquidity crisis could be lifted, the market's trend could stabilize slightly, and the long market sentiment could also recover, then he would use his funds to eat the meat of the check at the bottom and stop the loss. After the market opened, the stock price went up and continued to go long, igniting the market's hype for this check. Basically, there will be no excessive market pressure in the short term.

Before his rebirth, he spent ten years in his trading career.

He has also conducted in-depth research on the trading ideas of major top hot money players in the market.

Therefore, how to use the funds in hand to arouse the emotions of retail investors, to guide other funds to form a unified force, to block the leading position, to create a leading position... He also has his own understanding and perception.

The advantage of sufficient capital to control the market, as well as the necessary understanding of trading ideas.

Plus the original memory blessing.

Su Yi didn't believe that he would not make any money by speculating on the stock 'Teli A'.

However, even though he has a sufficient trading plan in mind and a trading strategy for speculating on the 'Special A' check, he will not rush to build a position at the bottom until the market liquidity crisis is completely resolved.

A qualified investor and a mature trader.

In addition to looking for opportunities.

The most important thing is to learn to wait.

The stock god Buffett can wait patiently for a full twenty years in order to build a position in the right position to buy his favorite 'Coca-Cola' stock.

Although Su Yi may not have the patience of a stock god.

But when the market liquidity crisis is completely resolved, when the panic of leveraged funds and financing is released, and when bulls begin to cover on a large scale and on a large scale, we can still persevere.

Just as he formulated the follow-up trading strategy in detail.

When you plan to completely give up shorting stock index futures and switch to long stocks.

Over the past two days over the weekend, amidst the bombardment of positive news released by regulators, the bullish sentiment that had been suppressed to the extreme began to rebound violently and fermented crazily.

Those investors who held heavy positions were all smiling and excited.

Investors who had been extremely desperate and on the verge of liquidation breathed a sigh of relief and praised the regulators.

Those investors who liquidated their positions, cut their losses, and had no choice but to cut their profits on Friday are now crying and regretful.

Those investors who held short orders in stock index futures and thought they had the upper hand in the market are now anxious. Instead, they are afraid that the stock index futures will open too high on Monday and their positions will be liquidated.

Those investors who were originally short positions are now regretting it, wondering why they did not buy the bottom and go long when the market changed on Friday.

Anyway...

Unprecedented concentrated benefits are released.

Although the market has not yet opened for trading, bulls have fully anticipated it and are in a carnival.

In fact, many people's thoughts have already reached the daily limit.

However, when the day of actual opening of trading came, everything was not as beautiful as everyone imagined.

The market reopened for trading on Monday, July 7.

Spurred by the massive positive news over the weekend, the Shanghai Stock Exchange Index, Shenzhen Stock Exchange Index, and ChiNext Index all opened higher at an increase of more than 6%. The two cities opened with more than 700 stocks hitting their daily limits.

Moreover, the main contract products of several major stock index futures, which are subject to naked short trading restrictions and restrictions on the opening of individual investor accounts, have even experienced collective price limits, which directly drove countless new short-selling investors last Friday and forced them to stop. Loss, or forced to liquidate the position directly.

But this kind of extreme counterattack phenomenon by bulls is a tough short squeeze.

The majority of investors were happy for less than 5 minutes before suddenly collapsing.

At 9:35, the Shanghai Stock Exchange Index opened higher and moved lower, falling back to around a 3% increase, while the Shenzhen Stock Exchange Index and ChiNext Index had lost 4 points of gains.

At 10:02, the Shanghai Stock Exchange Index fell back to around 1.5%, while the ChiNext Index had swallowed up all the room for gains during the day.

At 10:45, the Shanghai Stock Exchange Index fell back to a flat position, while the ChiNext Index had already reached a 2.33% drop below the water level. At the same time, the 'China Securities 500 Index Futures Main Contract' had continued to dive from the daily limit position at the opening, killing It has reached an underwater 3% drop position.

At this point, the market liquidity crisis reappeared.

At the opening, the bulls, who were full of confidence and excited, were once again overwhelmed by leveraged funds and on-site financing.

Fortunately, I saw that the market situation was not right.

Over the weekend, at the request of regulators, 1200 brokerage institutions, which made commitments and announced a joint investment of 21 billion, began to invest funds to support the market by increasing their holdings of blue-chip ETFs.

So, starting at 11 am.

Blue-chip heavyweight stocks in the two cities began to receive a large amount of funds to increase their holdings and gradually restore their intraday gains that had fallen back.

However, the concentrated movements of blue-chip stocks can only support the Shanghai Stock Exchange Index from falling into the abyss, but cannot save the comprehensive collapse of the ChiNext Index, the Small and Medium Enterprises Index, and the China Securities Exchange 500 Index.

So, when market trading hours arrive in the afternoon.

The trend of the Shanghai Stock Exchange Index began to deviate seriously from that of the ChiNext Index, the Small and Medium Enterprises Index, and the China Securities 500 Index.

And as the trading time goes by, the differentiation between the two is getting bigger and bigger.

At 1:40 p.m., the Shanghai Stock Index continued to fluctuate and rise due to a number of blue-chip stocks, especially driven by the four major banks and two barrels of oil that were close to the daily limit. The Shanghai Stock Exchange Index and the China Securities Exchange 500 Index have plummeted to a 7% decline.

At 2:05 pm, driven by the continued rise of blue-chip stocks, the Shanghai Stock Exchange Index returned to around 1%. At this moment, the main contract of the China Securities 500 Index Futures has gone from the daily limit at the morning opening to the lower limit.

Finally, when 3 o'clock in the afternoon came, the two markets closed.

The Shanghai Composite Index successfully closed with a 2.42% increase.

However, the ChiNext Index and China Securities 500 Index, which did not have a steady inflow of funds from brokerage institutions to protect the market, still closed with a very tragic drop of more than 6%.

Even more peculiar...

This is when the Shanghai Stock Index maintains its sharp rise in the red market.

The two cities still have not been able to get rid of the shadow of 'thousand-share limit-down'.

Countless ordinary investors are even more desperate to find that even if the Shanghai Stock Exchange Index rises sharply, their stock accounts are still at the limit across the board, with continuous losses.

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