Rebirth of the Capital Legend

However, just when countless investors in the market thought that these core hot stocks could withstand the explosive volume differences on the market and maintain a strong upward trend at the opening.

9:33, the market was open for only three minutes.

For the check of 'Oriental Yuhong', after the transaction volume exploded to 4 million, the market pattern turned to a situation dominated by short sellers. Its stock price quickly fell from the highest point of nearly 7% on the market. In just one or two minutes, the market increase was reduced to below the opening price.

This was driven by the rapid sell-off of Oriental Yuhong, the most popular core leading stock with the highest attention in both markets.

Almost instantly.

The share prices of 'Golden Land Group' and 'Huaxin Building Materials', two core hot stocks that 'Fuxing Road' bought in large quantities yesterday, also began to fall rapidly. Even the industry sector indexes in the entire 'big infrastructure' main line field, as well as other stocks such as 'Capital Group', 'Financial Street', 'Shibei Hi-Tech', 'Huaxin Cement', 'Tianshan Cement', 'Bayi Steel', etc., also fell instantly, and huge volumes exploded on the market.

Of course, after the opening increase of the entire "big infrastructure" main line was maintained for only a few minutes, it could not withstand the huge correction due to differences.

Other main areas of the market... performed even more miserably.

The relatively popular consumer electronics, security lens, and petrochemical sectors quickly fell back below the opening points. The corresponding core hot stocks, after a brief high opening, have been smashed to near the flat price by yesterday's large amount of profit-taking.

As for the main sectors where a number of small and medium-sized concept stocks such as Internet software, film and television media, and electronic information were concentrated, they mainly followed the logic of oversold rebound yesterday.

It is already underwater at this moment.

Even within these sectors, many stocks hit the daily limit or hit the daily limit yesterday.

At this moment, as liquidity is siphoned off by the core theme of "big infrastructure" and there is a lack of sustained buying, the share prices of many stocks are already in deep water, causing many retail investors who did not have time to buy yesterday and who optimistically chased the market this morning to be buried deep in it.

And at the same time...

As all the hot stocks in the market, especially those that performed outstandingly yesterday, fell back and plummeted.

It is no surprise that the main sectors of the market with defensive attributes, such as liquor, white appliances, electricity, medicine, consumption, finance, etc., have begun to siphon off active buying from the market. The risk aversion sentiment of the entire market has begun to rise again amid the general decline of most stocks in the market.

It is even the most core weight among the main sectors with safe-haven attributes.

The current market increase of the banking sector has bucked the trend and risen to nearly 1%. Among them, popular stocks like Minshang Bank have continued to set new historical highs. It is not affected by the overall market trend. On the contrary, the more pessimistic the overall market trend is, the more this stock will rise.

Along with the concentrated booking of a large number of profit-taking orders in the market, there was also a decline in active buying.

At 9:35, the three core indices, the Shanghai Composite Index, Shenzhen Composite Index and ChiNext Index, all fell back to the opening level. At the same time, the A50 Index turned upward, narrowing the gap in growth with the Shanghai Composite Index, Shenzhen Composite Index and ChiNext Index.

At 9:38, the increase of Oriental Yuhong continued to fall back to 2.5%. At the same time, the increase of Gemdale Group and Huaxin Building Materials also fell below 5%, both lower than the increase at the opening, burying all investors who followed up today.

At 9:40, affected by the trends of these three core hot stocks, in the main field of "big infrastructure", the growth rates of the real estate, building decoration, building materials, nonferrous metals, steel, and coal industry sector indexes all fell back to less than 1%. Among them, the growth rate of the coal sector index has fallen back to less than 0.5%, which seems quite weak, and the main capital group of the entire "big infrastructure" main line has shown a net outflow trend.

At 9:43, the share price of Oriental Yuhong fell to the flat line, and the number of stocks in the red and green markets in the two markets was the same.

At 9:45, the intraday turnover of Oriental Yuhong exceeded 10 billion, and a lot of profit-making funds fled the market.

At 9:48, the gains of the two stocks, Gemdale Group and Huaxin Building Materials, fell back to less than 3%, and the trading volume exceeded 15 billion.

At 9:50, after 20 minutes of trading at the beginning of the session, it can be seen that the bullish sentiment of the entire market has fallen quite seriously, the performance of related hot stocks has been seriously below expectations, and the market's risk aversion sentiment has risen rapidly, causing the banking sector index to gradually climb from the leading decline position at the opening to the leading industry sector in the two cities.

At 9:53, Oriental Yuhong, which had hit the flat line, began to receive a large amount of bargain-hunting funds buying, and its stock price began to rise rapidly from the flat line.

At 9:54, driven by the rapid rise of 'Oriental Yuhong', a market bellwether hot stock, 'Golden Land Group' and 'Huaxin Building Materials' also rebounded higher. A large number of low-level buying orders emerged, and the trading volume of several core hot stocks increased again.

At 9:55, due to the continuous siphoning of active funds from other main market sectors by the "big infrastructure" theme, sectors such as consumer electronics, security lenses, petrochemicals, film and television media, Internet software, electronic information, etc., which performed strongly yesterday, continued to weaken, and both sectors and individual stocks fell into an adjustment trend.

At 9:56, the share price of Oriental Yuhong surged to a 4% increase.

At 10 a.m., after half an hour of fierce trading in the market, the active capital groups in the market and the money-making effect further concentrated on the "big infrastructure" main line, as well as defensive main line sectors such as liquor, white appliances, electricity, medicine, consumption, and finance.

At 10:05, Oriental Yuhong's share price surged by about 5%, and the intraday trading volume reached about 14 billion.

At 10:10, the gains of the industry sector indices of the main line of "big infrastructure" generally returned to the opening position after a sharp divergence in volume.

"I thought today's market trend, especially the 'big infrastructure' line, would continue yesterday's strong attitude and form a relatively shrinking high opening and high closing trend. As a result..." Seeing that the trend of the entire market, as well as the trends of the core main line sectors and the hot leading stocks, are still quite divergent, the long and short confrontation is very fierce. At this moment in Shanghai, in the trading room of the main fund product 'Hua Rui Performance Growth No. 1' of Hua Rui Fund Management Company, the trading team leader Jia Yongxiang sighed and said, "I didn't expect... the market divergence is still so big, and the selling pressure of profit-taking is still so heavy. It seems that there are still some problems with the time and space for adjustment at this position. Such strong expectations and emotions cannot effectively lock the chips and form an effective breakthrough trend."

Hearing Jia Yongxiang's words, Song Shaopu, the main fund product manager of "Hua Rui Excellent Growth No. 1", responded: "Yesterday's long-term rise in volume accumulated too many profit-taking orders. These profit-taking orders were sold at early trading, which led to some divergence in the market trend. This is also normal. I think the divergence at the beginning of the trading is not a bad thing. After the profit-taking orders are sold, the chip structure in the market will be further consolidated.

Look at 'Oriental Yuhong', 'Gemdale Group', 'Huaxin Building Materials'... these popular core stocks.

There are also popular concept stocks such as 'Shenhuo Co., Ltd.', 'Pingmei Energy', 'Tianshan Cement', 'Beijiang Communications Construction', 'Capital Group', 'Yu Development', 'Bayi Steel', 'Linggang Co., Ltd.'...

After the divergence at the beginning of the trading session, has the trading volume shrunk a lot and the upward pressure also been much lighter?

I think there shouldn't be much suspense if this position continues to break upward.

It’s actually okay if the market trend is more volatile.

The 'big infrastructure' line involves so many industry sectors, related stocks, and related concept themes, and the scope is so wide.

At this position, there are still a lot of trapped shares in the market, as well as recent profit-taking shares that have poured in.

There cannot be no disagreement in the market trend.

As a whole, a number of active capital flows in the market, especially large capital groups, are still continuing to increase their positions in the "big infrastructure" line, showing a trend of sustained net inflows.

As long as everyone's attention and emotions in the venue are still focused on the line of "big infrastructure".

Then, the market trend of this line will continue to deepen.

At this position, we don’t need to be afraid of adjustments. As long as there is a sharp drop, we should be bold enough to buy in. "

"Well, that's true." Jia Yongxiang stared at the market, pondered for a moment, and responded, "In the 'big infrastructure' line, many stocks have shown signs of continuing to improve after the drastic divergence at the beginning of the trading session. In addition, the 'big infrastructure' line continues to siphon liquidity from other main lines of the market, which is also a real phenomenon."

"That's it." Song Shaopu smiled and said, "Although the current market liquidity cannot support the general upward breakthrough of all main stocks in the entire market, it is still possible to focus on the 'big infrastructure' line and support the 'big infrastructure' line to continue to oscillate and break upward. In terms of sentiment and expectations, there are slight differences, but the general direction is still continuing to improve.

Moreover, the current external conditions are also quite good.

The continued new highs of the U.S. stock market will also passively increase the market's investment risk appetite, allowing more incremental funds to flow in from the off-market.

Although there are many liquid fund groups off-site now.

When it comes to investing in the stock market or investing in the real estate market, most people prefer investing in the real estate market.

But it is a good thing after all if we can attract some off-market funds. No matter how much off-market funds are attracted, it is an increase, right?

And the line of 'big infrastructure'.

At the current position, the incremental capital group needed and the buying power needed do not actually require a lot of strength.

Of course, necessary risk management and risk control are still necessary.

Just keep an eye on the three core hot stocks, 'Oriental Yuhong', 'Golden Land Group' and 'Huaxin Building Materials', as well as the trends of defensive main sector indexes such as liquor, white appliances, medicine, consumption, electricity and finance.

Once the three core hot stocks, 'Oriental Yuhong', 'Golden Land Group' and 'Huaxin Building Materials', show a large loss effect on the market, and at the same time, the white goods, liquor, electricity, consumption, medicine and financial sectors show an unexplained rise, you should be cautious.

But at the moment...it has definitely not reached this point.

Today should be the first divergence of "Oriental Yuhong" after the trend bottomed out and rebounded.

Generally speaking, for leading core stocks like this, the first divergence will not lead to serious loss points, and the second and third serious divergences will cause more serious loss effects.

After all, emotions won't recede all at once; they will only gradually weaken before forming a large-scale ebb.

Therefore, I think today's market trend may be more volatile, but there will definitely not be a large loss effect, nor a large-scale and continuous sell-off trend.

Even if there is a sell-off during the session, it should gradually recover the lost ground with the continued support of low-level buying.”

"But..." After listening to Song Shaopu's analysis, Jia Yongxiang thought for a moment and said, "From a trading strategy perspective, there is still no buying point in this trend, right?"

Song Shaopu nodded slightly and said, "The buying point for increasing positions is indeed unclear. In terms of the overall trend, there is still the possibility of a pullback, but there are points for intraday trading. Today's big shock trend is suitable for investors with a bottom position. Those who did not have a bottom position in the early stage, or who sold at the bottom and want to cover their positions now, are naturally more passive."

"Yeah, I think so too." Jia Yongxiang laughed.

Afterwards, the relevant trading strategies discussed by the two were conveyed to all the traders in the trading room.

Indeed, during the volatile phase, we must maintain sufficient patience. If there is no buying point today, we cannot blindly chase high prices and increase our holdings just because we see the stock price rise rapidly.

During their brief discussion...

The market trading time at this time has entered around 10:30 in the morning.

After an hour of trading, the hot spots of the entire market and the areas where funds are concentrated have been completely concentrated in the main field of "big infrastructure", as well as a number of weighted main sector areas such as liquor, white appliances, medicine, consumption, electricity, and finance.

On related stocks other than the main line.

Popular stocks are seriously siphoning market liquidity, while other non-popular stocks are in a state of returning to where they came from.

Among them, 'Oriental Yuhong' has recovered its lost ground, with its market gain stabilizing between 5% and 7%, while the two stocks of 'Golden Land Group' and 'Huaxin Building Materials' have also seen their market gains stabilizing between 5% and 7%. As for non-popular main line areas, some oversold rebound stocks that performed strongly yesterday include stocks in the Internet software sector such as 'Baofeng Technology', 'Quantong Education', 'Ren Zixing', and ''.

At this moment, the market is already in deep water, with the market falling by more than 5%, and there is no sign of any sustained money-making effect.

And because the market once again saw a group of major funds concentrating on large-cap blue-chip stocks.

There is also a situation where stocks with core concepts related to "big infrastructure" are being hyped up.

It also led to divergence in the trends of major core indexes.

At this time, the Shanghai Composite Index has basically recovered its lost ground and returned to around 1%. However, the Shenzhen Composite Index and the ChiNext Index have not only given up their initial gains, but also continued to fall, showing a green market trend.