Rebirth of the Capital Legend

The moment when "Beijiang Communications Construction" changed hands in large quantities and re-closed the daily limit.

In the market, the trend of individual stocks related to the entire "big infrastructure" main line began to show a positive side again. Leading stocks quickly repaired the decline in the morning before noon, while non-popular core leading concept stocks also stabilized and continued to show a divergent pattern of large volume and stagflation.

At the same time, when the market trend diverged in the main line of "big infrastructure" and there was a volatile decline, it rebounded quickly from the bottom. Obviously, there was attention from funds that were doing "high-low switching" and guiding the market's main line of "technology", such as "Storm Technology", "LeTV", "Netspeed Technology" and other stocks. At this time, the rapid rebound trend before the midday closing turned into a downward trend.

"Fuck, is the 'big infrastructure' line so hard? It didn't even break? The high and low switching actually failed."

When the main line of the market's 'big infrastructure' once again repaired its trend and stabilized the divergent emotions, He Zhong, a hot money of the 'Gusu system' main hot money, who was guiding the 'high and low switching' of the market, said in great surprise, "After three divergences, it can still continue to push up. I didn't expect it."

"The combined force of funds in the market is indeed quite fierce." Zheng Jinming from 'Gusu Renmin Road' in the group responded, "Under the extreme money-making effect, without new market news stimulation, it is probably difficult to form a 'high-low switching' market trend relying solely on the guidance of a small part of funds."

"The key is this position. There is still so much money following the trend and buying in. There is still so much money to take over the market. It is somewhat unexpected." He Zhong continued, "Three divergences turned into consensus. This should have never happened in the market trend in the past six months, right?"

"No." Lao Qian from 'Yuhang Cultural Road' in the group responded, "In the previous market trends, there were two divergences that turned into consensus, which was considered a very strong market trend. However, this time, the main line of 'big infrastructure' market, the emotional atmosphere at the start-up stage, the stimulation of various subsequent favorable news, the concentrated bullish sentiment of many industry institutions, and the follow-up of positions and other factors... The resulting follow-up buying is also obviously stronger than the previous major main line speculation in the market in the past six months."

"Old He, you are being a little too smart, aren't you?" Zhang Xinlei, from 'Magic City Jinling Road', who is also a core figure of the 'Gusu system' main hot money, laughed, "The sentiment of the 'big infrastructure' main line has not completely collapsed, but you have already guided the market to 'high-low switching' in advance. I'm afraid your action is a bit too early.

The market trend of this round of "big infrastructure" main line...

The fact that the market can turn from divergence to consensus more than twice proves that the strength and sustainability of the market are both quite strong.

In this kind of major main line market, with various funds involved so deeply in the market and so much funds siphoned in to participate, it will not collapse so easily, and it is highly likely that an A-killing pattern will not appear.

So, there is no need to rush to make the switch.

When many core hot stocks of the "big infrastructure" main line begin to experience large-scale stagflation in batches, and the K-line patterns have risen and fallen, and no longer continue to create new rebound highs within three trading days, it will not be too late to retreat and do "high-low switching". I estimate that even if the market sentiment of the "big infrastructure" main line gradually recedes and the trend falls into adjustment, it is highly likely that it will not fall back to the previous platform position.

It is very likely that an oscillation platform will be formed at the current divergence position, and the chips will be re-exchanged to settle the chip structure.

After all, as of now...

Many large institutional capital groups in the industry have not yet completed their position building targets on this core line.

Moreover, there is an institution called "Huayi Capital" that guides the trend of this core theme and maintains the investment enthusiasm of this core theme.

The large group of retail investors who have not been able to keep up with the main rising trend of "big infrastructure" before.

When the share prices of its corresponding core stocks and popular concept stocks fall back, they will definitely continue to be bought in order to seek a second wave of growth after the adjustment.

In short, the core theme is 'big infrastructure'.

Its huge capital capacity and continued emotional heat mean that this major main line is destined to give short-term speculation capital groups more time to leave.

We don't need to be too anxious.

Anyway, I am still in the lock-up state, and it won’t be too late to sell and switch when a clearer selling point appears. ”

"What Lao Zhang said makes sense." Lao Qian responded, "The more the market moves out of the trend and forms a complete breakthrough in the main market trend, the less likely it is to be killed, and the more time it will give people to exit and take profits. As long as you don't be too greedy at this stage when emotions are loose, there will always be a suitable selling point to exit.

Moreover, at this time, the low-level main line, whether it is film and television media, Internet software, or electronic information, 5G, semiconductors and other "technology" sectors, there is no crazy news at all, and the main capital groups of each major sector are still continuing to flow out and converge into the "big infrastructure" main line field.

In this case, it is still difficult to guide the market to switch between highs and lows.

Its speculative profit and loss ratio is not as good as following the market trend and continuing to speculate on the core leaders around the main line of "big infrastructure."

"However, after this round of emotional divergence, there is not much room for these stocks, such as Shenhuo Shares, Pingmei Energy, Tianshan Cement, Beijiang Communications Construction, Shouchuang Group, Yu Development, Bayi Steel, Linggang Shares, etc. to move upward, right?" Although Zheng Jinming did not quite agree with He Zhong's "high-low switching" operation at this time, he did not think that the core theme of "big infrastructure" could continue to move upward after three divergences, and continued, "Film and television media, Internet software, electronic information, new energy industry chain... These low-level main lines that have been adjusted for a long time, the internal main capital groups have seen large-scale net outflows for several consecutive days.

In other words, the core theme of "big infrastructure" can siphon funds from other market sectors.

Judging from the current market situation, it is likely to have come to an end.

Once the core theme of "big infrastructure" can no longer siphon the participation of capital groups from other market themes.

Then, the amount of funds on the market and the number of retail investors who follow the trend and go long will inevitably decrease gradually. At the same time, due to the further increase in profit-taking, there will be increasing selling pressure from profit-taking.

In other words, from this point in time onwards...

In the short term, the amount of funds to undertake buying in the core area of ​​​​"big infrastructure" will definitely show a weakening trend.

Coupled with the high stock price, there is increasing selling pressure from profit-taking.

I estimate that in the short term, the share prices of many core hot stocks and concept leading stocks in this main field will be difficult to continue to rise.

Of course, just as Lao Qian and Lao Zhang analyzed.

Even though it may be difficult for the stock price to move upward at this stage, there is not much possibility of an A-kill adjustment.

There is a high probability that the market will enter a period of violent sideways fluctuations in the future.

And I think that since we have identified the core theme of "big infrastructure", the stock will most likely enter a sideways fluctuation mode, and it will be difficult for the stock price to continue to expand upward.

Then, gradually transfer the holdings in your hands to the low-level main sectors.

It is predicted that under the adjustment of the main line of "big infrastructure", it is reasonable for the mainstream active capital groups in the market to perform "high-low switching" operations.

It’s just that Lao He’s operation was a little bit ahead of time.

There is nothing wrong with the overall operation concept.”

"Haha, Lao Zheng's analysis is still clear." He Zhong laughed and said, "As the main line of 'big infrastructure' gradually loses momentum and it is difficult to expand upward, I dare to conclude that a large number of funds withdrawing from the main line of big infrastructure will definitely make a 'high-low switch'."

"Even if that's the case, it doesn't have to be the main lines of 'Internet software', 'film and television media', etc." Lao Qian said, "From the perspective of the investment preferences of large funds in the market and the linkage, the liquor, white goods, and pharmaceutical sectors can also carry this part of the funds. Moreover, the main line of 'big infrastructure' has entered an adjustment trend, and the trend of the market index is unlikely to be unaffected. It is also difficult for other stocks not to adjust accordingly. At this time, if funds choose to hold defensive risk-averse sectors together, it is logically possible."

"Institutional funds will most likely turn to holding core leading stocks in defensive sectors such as liquor, white appliances, medicine, and consumption when the main line of 'big infrastructure' is adjusted." He Zhong said, "But the active hot money in the market is definitely not willing to carry the sedan chair for the institutions. Therefore, the 'Internet software', 'film and television media', 'electronic information' and other sectors that are not crowded with structures have basically been cleared out by a large number of institutional funds. The oversold low-level sectors where the latent funds have almost all been sold off are very likely to become the direction of subsequent speculation by many hot money in the market."

"From the perspective of the chip structure, what Lao He said makes some sense." Zhang Xinlei continued, paused, and said, "But it is obvious that although the main sectors of 'film and television media', 'Internet software', and 'electronic information' are currently oversold, there is no good news to stimulate them, and there is no expectation in the long-term logic. If they are to be concentrated on speculation... relying solely on the advantages of the chip structure, I am afraid that in a short period of time, it will be difficult to form a consensus among the active capital flows in the market and create a sector effect.

However, if there is no unanimous consensus from the majority of active capital groups in the market, the sector effect cannot be formed.

Then, the spatial height of a single stock is very questionable.

Moreover, without market synergy, even if the stock price is pushed up by relying on financial advantages, there will be a lack of follow-up orders, and it will be impossible to exit safely at a high point.

Therefore, I believe that the main line of "big infrastructure" will enter a stage of adjustment in the future.

Even if the funds need to switch high or low.

It is estimated that the oversold sectors such as "film and television media", "internet software", and "electronic information" that lack obvious positive support and long-term logic will not become the target of concentrated attacks by active short-term speculation funds. It is very likely that the vast majority of stocks in these sectors will still be half-dead when the main line of "big infrastructure" is adjusted. "

"Then, Old Zhang...if the funds are going to switch between high and low, which sector do you think will have a greater chance?" He Zhong asked, "Petrochemical? Securities, insurance? Breeding, animal husbandry? Or..."

"Is there any opportunity in the new energy sector?" Lao Qian interjected at this time.

"Eh... it's very possible." Zheng Jinming thought for a moment after hearing what Lao Qian said, and responded, "The underlying logic of the main line of 'new energy industry chain' has not changed. The recent continuous decline has formed a trend that is obviously opposite to the main line of 'big infrastructure'.

On the one hand, this is due to market rumors that national policy subsidies will decline next year.

On the other hand, it is due to the large-scale profit-taking and reduction of positions by the institution "Huayi Capital" and the influence of the capital following the trend, as well as the decline in sentiment.

Under the influence of these two aspects...

In the past half month, the "new energy industry chain" has fallen sharply and has indeed hit a big hole, with the characteristics of oversold in the medium and short term.

At the same time, there are also drastic adjustments due to the collapse of major funds.

The current chip structure in the main field of "new energy industry chain" has basically returned to the hands of retail investors, and there is at least 30% room from the high point of more than half a month ago.

In other words, at this position, if short-term funds can form a joint force to go long.

In fact, the disk should be very light.

Furthermore, the vast majority of retail investors in the market still have a certain degree of filter for the main line of "new energy industry chain", and the main line of capital pulling is also likely to cause retail investors to follow suit.

What's more, the rumors about the decline in policy subsidies next year have basically been confirmed to be rumors.

The negatives are eliminated, the positives continue, and the chip structure is good...

Under these factors, if the market is going to switch between high and low when the main line of "big infrastructure" is adjusted, the core main line of "new energy industry chain" is likely to have a short-term rebound, and the space is likely to be large. After all, the performance of some leading stocks in this sector has been improved this year, and it is also clear that there is still a high growth expectation next year."

"Hearing what you said, Old Zheng..." Zhang Xinlei's eyes lit up and he responded, "I also feel that compared to the 'Internet software', 'film and television media', 'electronic information' and other sectors that funds have obviously abandoned, the 'new energy industry chain' main line does seem to have more opportunities."

"It seems to make sense." He Zhong pondered for a while and responded, "It seems necessary to arrange some positions in this main direction."

He is firmly optimistic about the market in the future, which will undergo a "high-low switching" trend.

Therefore, since he has already reduced his holdings of the core stocks of the "big infrastructure" main line, it is impossible for him to chase the rise again. He can only stick to his own ideas and make low-level layouts.

"Since everyone agrees with this logic, it proves that my analysis is correct." Zheng Jinming said, "Everyone has the same idea, which means that other smart active funds in the market will most likely think and act in the same way. In this case... it is necessary to try a small position."

As he spoke, he also followed up with a portion of his capital positions in the direction of the 'new energy industry chain' main line.

We bought several popular stocks in this core area that were oversold and had high market recognition, and then waited for subsequent market trends to give clearer signals.