legendary trader

Chapter 819 Chapter 820 Covering Pause
Chen Fan's guess that Enron's stock price will start to adjust sideways is not entirely based on his analysis, because Lin Hong and the research department have already believed that the market needs a correction last weekend.

After all, the stock price has rebounded a bit in a short period of time, and there are already a lot of profit taking in the short-term market, which needs to be washed away.

On the following Tuesday and Wednesday, Enron's stock price fluctuated up and down here, and the trading volume did not shrink much. However, the stock price showed signs of maintaining a slow rise, which seemed to be preparing for a further rise in the future.

On Tuesday and Wednesday, Enron's stock price closed at 33.16 yuan and 32.95 yuan. The intraday high point has reached 34.12 yuan, and the low point is gradually rising.

The trend of the past two days also made Chen Fan think that Enron's stock price might be due to the fluctuation of the platform, until it finally broke through again. Although the brightness of Enron's stock has not been seen so far, Chen Fan has already begun to consider buying Enron's stock at a low price to return to the meltdown. Bond stocks, completely withdraw from this operation.

Now what Chen Fan is holding in his hand is the analysis report of Enron Company given by the analysis department. In the report, the possible problems of Enron Company in the news reports are simulated and speculated.

According to the data, the possible changes in Enron's financial report if it enters the accounting correction are roughly estimated, and finally it is believed that the current stock price decline is enough to cover these possible negatives, and even a few analysts believe that the market decline has over-reacted the harm of these problems.

This information is also the reason why Chen Fan intends to withdraw from this transaction. After all, there are already funds in the market to enter the market to buy the bottom. If you don't withdraw, it will be troublesome if you want to buy back the stock after the stock price rises. In addition, the profits at hand will also be greatly reduced.

"You also think we should consider quitting?"

Chen Fan put down the analysis report in his hand and asked Lin Hong in front of him.

"Mr. Chen, Enron's stock price has dropped by nearly 65% ​​from its high point to the present. If calculated according to the lowest point of 24 yuan, it has fallen by more than 70 yuan. This drop is already quite severe. Although I don't know why Enron didn't Come up with more effective measures to fight against the bears, but for now, if we withdraw smoothly, there will be more than one billion profits, I think it’s better to be conservative.”

Lin Hong glanced at the report on the table and said.

Because of the smooth operation before, he had forgotten that the stock they were shorting was a blue chip stock in the rice stock market, but after receiving the report from the analysis department today, he broke out in a cold sweat.

Blue chip stocks, because of their excellent performance and stability, have always been the favorite of investment institutions, especially those large investment institutions. Most of them invest in portfolios, and the stocks in the portfolio are mainly such blue chip stocks.

Of course, there are also risk-appetizing investment products, and those funds are chasing market hotspots, but after all, there are only a few of them, and it is difficult to scale them up.

Most investment institutions still like stocks that rise steadily, and to make the stock price rise steadily, the company's development must first be stable, rather than a convulsive company that has a good performance in one year and a sharp drop in performance in the next year. A good situation broke out. Such a company will not become the target of choice for institutional investors. It is too unstable and it is not easy to keep pace.

An energy company like Enron naturally has the potential for stable growth. After all, modern society cannot do without electricity security.

Chen Fan didn't think Enron's stock price would rise sharply in the short term, otherwise he would have already planned to retreat, but he really didn't know whether the stock price would rise, fall, or go sideways in the future.

Soon, Chen Fan decided to reduce his position after weighing the pros and cons in his mind.

All the stocks that were previously planned to be sold at 35 million yuan were not sold, but they were going to continue to buy, and make up half of the 4 million shares that were previously sold in securities lending.

To buy tens of millions of shares, this job is a big project for Lin Hong, especially in the current environment, it is actually very difficult to buy a large number of stocks.

It's a pity that they were not arranged to retreat when the stock price was only more than 20 yuan before, thinking whether it would continue to fall.

Chen Fan felt a little regretful at this moment, feeling that he seemed to have missed the best opportunity to leave.

“Then start buying back shares in small amounts, being careful not to pull the price.”

After hesitating for a long time, Chen Fan gave Lin Hong this trading order. After speaking, he felt a lot more relaxed. Although there was always something wrong, maybe it was because he didn't earn enough, so he felt a little regretful.

However, the order has already been issued, so Chen Fan didn't want to continue entangled, and turned to Zhang Quan and said, "Continue to pay attention to the news of Enron Company, especially don't relax about the matters mentioned on the phone, try to see if you can learn from Andersen. side to understand the situation.”

"Okay, Mr. Chen."

Zhang Quan nodded and agreed. He also knew in his heart that the company's short position on Enron is a bit large, and it cannot be liquidated in a short period of time. Of course, it is necessary to pay attention to the follow-up market news until the position of 4 million shares is completely covered. Only then can you relax, and this is when the operation is completely over.

Although Chen Fan has let go and asked Lin Hong to buy back the stock, the process is too long. If there is any news in the market at this time, it may have a huge impact on the transaction. Zhang Quan is aware of this, so he has no intention of ending it here. Tracking of Enron.

Although what Chen Fan is talking about is buying a small amount of stocks now, once the liquidation operation starts, it will only speed up later, because the direction has been reversed, from short selling to liquidation, which is a fundamental change.

At this time, Lin Hong had already gone to arrange a deal with other traders after the market opened for a while. What he didn't say was to buy stocks. Although Chen Fan said it was a small amount of buying, it was a signal.

Zhang Quan had already left the trading room, and now there were still about ten minutes before he left the market. Chen Fan was drinking tea and smoking a cigarette to pass the time. Although he was calm on the surface, Chen Fan was restless and irritable, and he couldn't calm down.

For the first time, Chen Fan felt confused. He was temporarily unable to tell where the market was headed.

But it’s no wonder, I used to look at the brightness to buy up, and although I was short this time, the information I got at the time all showed that there was a possibility of Enron’s financial fraud. Under the influence of various unfavorable news, the stock price must be high It was about to fall, so when shorting at that time, Chen Fan felt that he had a lot of confidence, and he could operate calmly and calmly.

But today's analysis report broke his long-standing judgment. Yes, Enron's stock price has fallen sharply, and there is very little room for it to continue to fall. If it continues to suppress, it may make someone a wedding dress.

The information I learned from Zhang Quan is that Knicks United Fund, the largest short-selling institution in the United States, has already entered the market to short Enron stock, but this is useless. According to Zhang Quan's information, the number of short-selling there is far less than that of his own. Note more.

The only good news may be that Southern Investment Group seems to be planning to increase its position in Enron, but now it seems that this good news seems to be discounted. If Enron's stock price stops falling and rebounds, it seems that not only will it not retaliate against its opponents, but it will also give them a low position. Opportunity to buy.

Chen Fan let out a long breath of smoke, and shook his head boredly.

"Mr. Chen, Enron's stock price opened higher by 33.18 yuan."

At this time, Lin Hong's voice came over, and the rice stock market opened.

"Got it, let's do it."

Although Chen Fan responded with his mouth, he still put out the butt of the cigarette that was about to burn out, got up and quickly returned to his seat to sit down.

At this time, rice stocks have already started trading, and Enron's stock price has been rising all the way since the opening.

Not knowing where the purchase order came from, Enron's stock price was continuously pushed up all the way. Chen Fan frowned slightly when he saw this trend, and turned his head to look at Lin Hong.

At this time, Lin Hong was also watching the stock price trend. He turned his head and looked at Chen Fan inadvertently. He saw something in Chen Fan's eyes, and hurriedly denied it: "Mr. Chen, we didn't pay the bill."

After listening to Lin Hong's explanation, Chen Fan didn't say anything. When he first saw the stock price rising, his first reaction was that Lin Hong had entered the market too much and pushed up the stock price. However, he understood in an instant, I may be wrong in my judgment, they are not that stupid, and they are pulling up and attracting money.

Slightly nodding his head, Chen Fan turned back to look at the computer screen. At this time, Enron's stock price had once again surged to around 33.6 yuan, and the rising momentum still had no intention of stopping. Buy orders continued to enter the market, pushing up the stock price. Although there are also sell orders, but the difference between buying and selling is huge, and there are not many selling orders at the selling price above, which cannot stop the stock price from continuing to rise at all.

Feeling that today's market is a little too strong, Chen Fan thought for a while and said: "Today's trading plan is cancelled, let's see how the market goes."

In such a short period of time, Enron's stock price has already jumped to 33.7 yuan, and the stock price has continued to rise.

Hearing Chen Fan's words, Lin Hong just sighed slightly in his heart, and hastily passed the message to other traders, "Suspend the plan to buy Enron stock."

In a luxuriously decorated trading room in Guangdong City in the south, there was also a gentle-looking young man with glasses talking on the phone.

"Yes, we immediately entered the market to buy. The analysis team and we all believe that Enron's stock price has completed the bottom construction, but we can enter the market to buy the bottom. Okay, I understand."

Putting down the phone in his hand, the young man said to a few traders who were staring at him, "Start buying stocks as planned."

"We should have entered the market a few days ago. At that time, it was only more than 20 yuan, and the cheap price was taken by others."

The next trader said casually.

"It doesn't take time for the higher-ups to raise funds. It's a fart with the little money we had at the time."

Someone next to him responded.

Hearing the discussions among the traders below, although they didn't stop their movements, the young man with glasses still frowned slightly, "Okay, stop talking, the money is already in place, let's focus on trading. "

As more and more funds began to enter the market to buy Enron stock, after the rice stock market opened today, Enron’s stock price was like a wild horse.

Although it was attacked by several consecutive large selling orders here, the stock price did not retreat sharply, and a large number of buying orders continued to pile up at the lower buying price to continue these selling orders.

Enron's stock price has continued to rebound since bottoming out last week. The smell of the bottom is already very strong. What is missing now are these bearish selling orders. As long as the trading volume increases and a change of hands is completed here, the stock price will turn from falling to rising. .

So at this time, not only are they not afraid of these selling orders when they enter the market to buy orders, but they think there are too few of them, because the current trading volume can no longer satisfy their appetite.

After all, it is a blue-chip stock, and the rising speed may not be as fast as those small-cap stocks, but as long as the trend is formed, the profits brought by the continuous rise and rise are also very considerable, especially such stocks can accommodate a large amount of funds, not those small-cap stocks at all. Stocks can be compared.

Enron's stock price was hit by a large number of selling orders above 34 yuan, and it could not continue to rise in the short term. The stock price began to fluctuate sideways. In fact, it is different from most stocks. The current sideways Enron is the most terrifying. Not only is the stock price at a relatively low level, which can attract funds, but also because of the eye-catching second quarter report.

Although many analysts have noticed that there are many problems in Enron's two consecutive quarterly reports this year, Enron has always given the market a very good impression. Until now, although Enron's stock price has plummeted, in the eyes of most investors and institutions, Enron Maybe it's disdain to answer those rumors and questions.

Jeffrey, the CEO of Enron, said on many different occasions, "Enron only creates profits for shareholders, and doesn't care much about others."

There is nothing to doubt about this kind of company and executives who are steadfastly working for the benefit of shareholders.

For the current stock price of Enron, analysts from most institutions have given higher ratings, thinking that it can be bought and the stock is expected to rise.

In actual operation, some institutions did enter the market and bought Enron stock, but because the rumors were not completely denied, the amount of funds entering the market was somewhat limited.

As for whether Enron has financial problems, most institutions are well aware of them. There are too few fully compliant listed companies, and most companies have more or less problems. It just depends on the size and whether they have been exposed. That layer of window paper.

Although Enron is being targeted, judging from the current stock price trend, the decline some time ago has already digested this possible negative. What else can prevent the stock price from resuming its upward trend.

"Today's trading volume is a bit large."

At this time, Chen Fan stared at the stock price fluctuating violently around 34 yuan and said, today's Enron's trading volume has greatly increased, far several times that of today's previous day.

"The sideways trading for two consecutive days may have made the off-market funds unable to hold back."

Lin Hong replied, "At this time, the increase in volume is the best catalyst. These concerned funds will quickly enter the market to grab funds, because as long as the bearish ones sell their stocks and complete the change of hands, the stock price trend can be reversed." .”

"Well, the appeal of blue chips is estimated to increase in a while."

At this time, Chen Fan already knew in his heart that Enron's stock price would break through 35 yuan today and tomorrow. Thinking of this, Chen Fan put his left hand on the computer table again, rubbing his forehead and looking at the computer screen.

(End of this chapter)