Rebirth of the Capital Legend

"As for the 'Huawen Online' stock, I saw that the funds from 'Rongchao Business Center' continued to increase their positions in the Dragon and Tiger List yesterday, and after the violent fluctuations yesterday, it was still able to show relatively strong resistance. I guessed that this stock would most likely rebound today." Amid Li Jinshi's laughter and sigh, Chen Guiyun responded, "However, the fact that this stock opened so quickly and rebounded to the daily limit with reduced volume in an instant is still somewhat beyond expectations. And since this stock can form such a strong rebound trend, it is likely that the trend of the 'Emerging Industrial Chain' line today will not be too bad."

"Did Mr. Chen increase his holdings of Huawen Online during the call auction?" Li Jinshi asked, "It seems that Huawen Online has become the leader of the main line of 'emerging industrial chain'. It should be considered that it has completely blocked the position of Quantong Education today, right? After all, at present... the two stocks are obviously not at the same level in terms of initiative."

"During the call auction, the price of Huawen Online recovered a lot from the lower limit, but the certainty was not high at that time." Chen Guiyun said, "For this check, the most important order was the one that took the initiative to go up at the moment the market just opened.

It was that order that clarified the direction of the funds' attack and also clarified the intention of the check to reverse.

However, it is indeed difficult to enter a position the moment the trend becomes clear.

I was also in the call auction stage, and after a brief hesitation, I saw the stock price suddenly turn red at the opening, showing a strong trend of rebounding. It was too late to place an order to increase my position, so I had no choice but to settle for the next best thing and buy the "Chinese Media" stock that followed the trend. "

"Old Chen, you need to practice your hand speed more." Li Jinshi said with a smile, "But the performance of 'Huawen Media' is not weak either. It has risen by 6 points at the moment. Looking at the volume and turnover, as well as the strength of the bulls on the market, I feel that it will still reach the daily limit."

"It's probably difficult to reach the daily limit," said Chen Guiyun. "The first push was strong, the second was weak, and the third was exhausted. The 'Huawen Media' check was on its way up, and after the bulls released their power, they failed to lock in the selling power in the market. Now that the selling power is concentrated, it is meaningless to force the limit up."

"If we only look at the trend of this stock, it's like this," Li Jinshi said, "but when we combine it with the 'film and television media' sector and the 'online education' concept sector, it's obviously a little different. If the 'online education' concept sector can form a rebound expectation under the strong momentum of 'Huawen Online', then the hype of the entire concept sector will rise, and it will be natural for 'Huawen Online' to follow the trend and close the board."

"If the 'online education' concept sector wants to attract short-term funds in the market for concentrated speculation, it may need the daily limit of the 'Quantong Education' check." Chen Guiyun said, "At present, although the 'Quantong Education' check has turned red, it is still very difficult to reach the daily limit, and the selling pressure on the market trend of this check is also greater than expected.

There is also the "big infrastructure" line, which has been briefly volatile for a few minutes at the beginning of the trading session.

There are also signs of continued strength at this moment.

If the main line of "big infrastructure" and a number of industry sectors, related industry hot stocks, and concept leading stocks continue to siphon off the market's active short-term capital groups...

So, these short-term active capital groups have just poured into the main field of "emerging industrial chain".

Will be dispersed instantly.

After the short-term capital group's speculation power is dispersed, it will be difficult for the two lines of "big infrastructure" and "emerging industrial chain" to reach corresponding high space during the trading session."

"The two main lines of 'big infrastructure' and weighting are unlikely to siphon off short-term funds in the market today." During the discussion between the two, Liao Guoxiang suddenly said, "Since the 'emerging industrial chain' line has formed an expectation of a rebound, and the bullish sentiment and money-making effect have been generated at the beginning of the session, as the market trading time goes by, under the further stimulation of the money-making effect, its intraday trend will only become stronger and stronger.

Moreover, the index stabilized above 3000 points.

Many investor groups both on and off the market have reached a consensus that the Shanghai Composite Index has officially broken through 3000 points.

Then, it is natural to gradually shift the trading thinking from the previous deterministic defense to the relatively risky flexible offense.

And when the investment risk in the market gradually increases.

Compared with the current major infrastructure stocks and weighted stocks, small and micro stocks with more flexibility can easily attract concentrated speculation from short-term funds in the market, and are also easier to get out of. "

"Right." Li Jinshi nodded and said, "The market consensus is very important, and at this moment, it is obvious that the market's consensus on long positions has been concentrated on the 'emerging industrial chain' line. Although the underlying logic and fundamental logic of the 'emerging industrial chain' line are not as good as the 'big infrastructure' main line and the weighted main line, the position of the 'emerging industrial chain' line is low. Compared with the rebound height of the 'big infrastructure' main line, there has not been much rebound recently. With the spatial height of the 'big infrastructure' main line as a comparison, isn't the expectation of the rebound height space coming out?

In addition, the Shanghai Composite Index has moved out of the previous shock platform and formed a substantial breakthrough trend.

The overall market investment sentiment and confidence have undergone fundamental changes.

Then, the ChiNext Index, which is also at a low level and oversold, should also have a violent recovery trend.

If the ChiNext Index wants to continue to rebound, then the entry point and the focus of long positions of funds should be concentrated on the 'emerging industrial chain', right?

In terms of the current transaction cost-effectiveness, it is the short-term profit and loss ratio.

The 'big infrastructure' line, at a relatively high position, is definitely not as good as the 'emerging industrial chain' line, which has just exploded and formed a bottom rebound trend. "

Although this is the logic, we can't be too optimistic, right? "Chen Guiyun thought for a while and said, "I think the recovery of the overall market sentiment and investment confidence will help the market's speculative sentiment to rise and elastic stocks to move out of the trend, but the inertia of the market trend force is sometimes still very strong.

The previous overall market trend has always been centered around the "big infrastructure" main line and the weight main line.

Moreover, these two main lines are considered based on the logic of future fundamental expectations.

Although the share prices of the corresponding core stocks and industry leading stocks in these two main lines have risen a lot, there is no so-called valuation bubble. In fact, due to the continued growth in performance, the valuations of a number of leading stocks in the weighted main line areas are still at historical lows.

In other words, these stocks have not shown any signals that would allow the institutional groups that have been holding on to them to take profits and exit the market.

And as long as the internal chips of these main line core leading stocks do not loosen.

Well, with the continued grouping of these institutional main funds, I feel that the trend will continue.

At present, although the 'emerging industrial chain' line has a strong trend today and has attracted a lot of long positions from the on-site fund groups, the actual entry of institutional main funds, judging from the Dragon and Tiger List of the two markets yesterday, is still not much, and there are no main institutions to help lock the positions.

Then, the line of "emerging industrial chain" will most likely follow the logic of emotional game.

However, emotional games are often not sustainable and the market trend will be extremely volatile.

My opinion...

I think the market is essentially still in a state of oscillating upward, while the main lines are constantly rotating. Maybe today the main line of 'emerging industrial chain' rises well, but tomorrow this line starts to adjust again, and the active long funds in the market will turn back to speculate on the main line of 'big infrastructure', or hold the main line of weight. "

"What Lao Chen said does make some sense." Liao Guoxiang said, "If the 'emerging industrial chain' line wants to truly reverse and move towards the main line of 'big infrastructure', it still needs to confirm the trend. Today's rebound trend of this line... Indeed, expectations cannot be too high. It is better to treat it as a rebound. Once expectations are set too high, when bad signals appear in the market trend, people are often not sensitive enough and miss the opportunity to adjust positions immediately or adjust trading strategies."

"Whether it's a rebound or a reversal..." Li Jinshi said, "At least the trend of the 'emerging industrial chain' line today won't be too bad. Investors who take over the popular stocks in the main line of the 'emerging industrial chain' at a low price today will most likely get a premium tomorrow. I bought the 'Chinese Online' check, and I didn't think about how long I would hold the chips in my hand. I would be satisfied if I could earn a good premium the next day and have a profit margin of 5% to 10%."

"With the profit margin of 5% to 10% and the trend of 'Huawen Online' today, there is no problem at all." Liao Guoxiang said, "If we consider it from the perspective of ultra-short-term, today's 'Huawen Online' is indeed the first to take the initiative in the main line of 'emerging industrial chain', and it has also driven the core main line of 'emerging industrial chain'. Tomorrow's cheque should have a premium.

Moreover, if the main line of "emerging industrial chain" continues to maintain its strength today, or sets off a daily limit surge, it is also possible that the check of "Huawen Online" will open at the daily limit tomorrow."

"Brother Liao, did you also buy the check for 'Chinese Online' today?" Chen Guiyun asked with a smile.

Liao Guoxiang responded: "No, my main position is still in the stock 'Oriental Yuhong'. The stock moved too quickly at the beginning of the trading session, so I didn't have time to increase my position. At the same time, the 'emerging industrial chain' line was not particularly strong at the opening, so even if I saw some changes in the stock 'Huawen Online' during the call auction, I didn't intervene in time."

"Brother Liao, won't you reduce your position to take profits on this Oriental Yuhong check?" Li Jinshi took a look at the trend of this Oriental Yuhong check and continued, "Looking at the performance of this check, it's not very strong today."

Liao Guoxiang said: "Although the intraday trend of 'Oriental Yuhong' is not strong today, the bulls are still relatively good, and the volume performance is also very good. After yesterday's large volume and huge fluctuations, it opened slightly higher and then stabilized today, showing a trend of obvious shrinking volume, which shows that the chips in the market are locked. As long as it can maintain shrinking volume and sideways fluctuations today, and wait for the 5-day line and 10-day line to catch up, I feel that the trend of this stock will continue to accelerate."

"Yeah, I agree." Chen Guiyun said, "Regarding the Oriental Yuhong check, I have the same idea as Brother Liao. It feels like the trend of this check is far from over. Moreover, the chip structure of this check is really good, and the follow-up is really strong. It has been rising all the way... It seems that more and more funds are locked up."

"So much money is locked up in the Oriental Yuhong check. Is it mainly because of the influence of the Fuxing Road funds?" Li Jinshi said, "I think the market depends on when Fuxing Road leaves the market. As long as Fuxing Road shows signs of leaving the market, the market of this check will end in an instant."

"That's not the case," Chen Guiyun responded. "Apart from the impact of Fuxing Road's funds on the performance of Oriental Yuhong, if we only look at the fundamentals of this stock, the expectations of future performance explosion, and the valuation, this stock still has strong investment value and gaming cost-effectiveness."

"No matter how good the fundamentals are and how strong the future expectations are, if the market has not escaped the bear market pattern, stocks that have almost doubled in the short term cannot be said to have a high gaming cost-effectiveness, right?" Li Jinshi did not quite agree with Chen Guiyun's statement and continued, "On the contrary, when everyone is relatively optimistic and starts to pay attention to fundamentals and future expectations, I think it is just when risks are gradually approaching. Anyway... the 'big infrastructure' line continues to rise to this position. If there is no obvious correction and consolidation trend in the future, I will not intervene heavily. At the current stage, when the Shanghai Composite Index remains stable and actually breaks through 3000 points, I still think that the core hot concept stocks in the main line of the 'emerging industrial chain' that are at a relatively low level are more cost-effective for gaming."

After saying this, without waiting for Chen Guiyun to respond, he turned his attention back to the trading screens of the two markets.

I saw several people talking continuously and discussing the market trends.

The current market trading time has entered 10 o'clock in the morning. After half an hour of continuous trading at the beginning of the trading session, the trends of the main lines on the market are now much clearer than in the first fifteen minutes of the trading session.

'Big infrastructure' and the weight main line, the two core main lines that performed strongly during yesterday's trading, their related industry sectors, concept sectors, and a number of related industry leading stocks, are now maintaining a sideways trend, and showing an obvious shrinking volume, fluctuating in a narrow stock price range.

However, the performance in the call auction stage was relatively weak, and the opening was generally low. The main line of the "emerging industrial chain" also showed a relatively obvious loss effect during yesterday's trading, especially a number of small and medium-sized caps and micro-cap concept stocks belonging to the ChiNext Index, CSI 500 Index and ZSE 1000 Index.

The overall market investment risk appetite has rebounded and short-term speculation sentiment continues to pick up.

It has attracted most of the active short-term capital groups in the market, and has basically completed the reversal of yesterday's market with the form of continuous fluctuating upward.