The Road to Rebirth Finance

Chapter 475: The market bottom is formed.

After two consecutive trading days of decline after the New Year, the Shanghai Composite Index is only 2018% away from its lowest point of 2449 points in 0.6.

The GEM Index is stronger than the Shanghai Composite Index, but it is only 2.5% away from its previous lowest point.

Although Oriental shares have repeatedly made waves in the market, setting off climaxes and boosting popularity.

But after all, the market is not just limited to Oriental shares, most stocks are in a state of decline, and the complaints of stock investors are naturally evident.

This has also led to extremely serious emotional polarization in the current market. Investors who bought monster stocks are smiling every day.

The investors who bought normally were filled with resentment.

Friday, April 1.

Two consecutive trading days of decline have led to sluggish sentiment in the Shanghai and Shenzhen stock markets. Both markets jumped downward today, with the Shanghai Composite Index opening at 2446.02 points and the ChiNext Index at 1203.67 points.

The Shanghai Composite Index fell below the lowest point in 2018 and continued to refresh the lowest point since the 2015 stock market crash.

While the index jumped downward, the performance of individual stocks such as Ningwang, Sino-Singapore Communications, Maotai Liquor and other market benchmark stocks was very lackluster.

Maotai Liquor has risen above the 60-day line for two consecutive trading days. Although it opened slightly lower today, it still opened above the support position.

"It jumped down from a low position and created panic; it seems that the market is about to bottom out." Gu Junhao said with a smile.

If there is a downward gap at a high position, the index will run; but if there is a gap at a low position, there is no need to be afraid.

For investors with positions, the Shanghai Composite Index has reached a new low since last year, and you can definitely take a position at this time.

When the index reaches new lows, there is no need to panic.

When you are infinitely afraid, just be patient; when you are eager to pursue higher goals, just wait.

At 9:30, trading began, and the Shanghai and Shenzhen stock indexes maintained their downward trend after opening lower; at 9:33, the Shanghai Composite Index reported at 2440.91 points, down nearly 1%, and the GEM Index reported at 1201.80 points.

Both city indexes hit new lows in the past two months, and heavyweight stocks exploded at this time.

Ningwang, Dongfang Fortune, Maotai Liquor Industry and other stocks that affected the Shanghai and Shenzhen stock market indexes quickly increased by more than 1%, and their stock prices quickly turned red.

A small straight line representing the weight of the Shanghai Composite 50 Index directly pulled it to the flat position. Three minutes later, the Shanghai Composite 3 Index took the lead in turning red.

The GEM Index also rose to a flat position at this time. Compared with the Shanghai Composite Index, the GEM Index did not hit a new low this time.

If the Shanghai and Shenzhen stock markets rebound today and stabilize later, then the previous policy bottom of the GEM will be the market bottom of the GEM!

The market index is driven by weight; but sentiment still depends on the GEM and theme stocks.

There is another anomaly today, that is, Oriental Shares, which has been on the fourth consecutive board, fell sharply at the opening, closing at 13.08 yuan, a sharp drop of 6.11%.

The temporary flameout of demon stocks also represents a change in the direction of the wind to a certain extent. However, even after today's sharp decline, Oriental shares still have not broken the trend level.

Before the emergence of a large number of quantitative funds, there was a saying of wisdom in the short-term of A-shares, that is: "A strong market cannot go below the five-day line."

Regardless of whether this "banker" exists or not, the five-day line trend is very important for short-term speculation.

Once it effectively falls below the 5-day moving average trend level, there is nothing wrong with short-term reduction of positions. Since the speculation of Oriental shares, yesterday's closing price has increased by as much as 275% from the bottom range.

Earnings per share exceeded 10 yuan. After accumulating a large amount of profit taking and the market sentiment changed, the funds in Oriental Shares diverged for the first time today.

At 9:40, Oriental shares surged to 13.90 yuan in a single transaction, and the stock price turned red for the first time in the day. Then it was immediately hit by more than 3000 consecutive sell orders.

The differences are still very serious, but at this time, the GEM Index has taken the lead in turning red, and the decline of the Shanghai Composite Index has also narrowed to 0.2%.

At 9:50, the Shanghai Composite Index was closely tracking the CSI 50, and the GEM and other indices turned red within the day.

So far, all three major indexes have turned red, and most of the indexes and individual stocks have opened low and moved high!

After half an hour of shock, the three major indexes all surged again, with increases exceeding 0.5%. At this point, market sentiment gradually began to recover.

At 11 o'clock, securities firms and the Internet financial sector made a collective effort. Within half an hour of closing at noon, Dongfang Fortune and Tonghuashun both rose by more than 6%, and their stock prices rose by more than 8%.

The Shanghai Composite Index closed at 2509.39 points at noon, an increase of 1.83%, and the GEM closed at 1221.99 points at noon, an increase of 1.41%.

"Damn it! What's going on? The Shanghai Stock Exchange has increased by almost 3%. Has this really hit the bottom?"

"MD, there is a sudden riot in big finance, and some news about this designation that we retail investors don't know has been leaked in advance!"

"Damn it, you cut off the meat and ran away in the morning, are you going to chase it back this afternoon?"

"MD, just keep an eye on these hundreds of strands in my hand. If I don't cut them off, they won't pull them out."

The sudden riots before the Shanghai and Shenzhen stock markets closed at noon left some uninformed investors at a loss, but Gu Junhao did know a little bit.

"It should be related to the news of the RRR cut, which is probably beyond market expectations."

According to the source, Gu Junhao must know more in advance than retail investors or even small institutions.However, Gu Junhao rarely uses this kind of news to build positions.

After the completion of the position building in 2018, even though it was known that the market correction would be severe throughout December, Junshi did not reduce its position.

With tens of billions of funds, it is a bit troublesome to open a position. Anyway, the retracement will not fall below the cost price of opening the position, so it doesn't matter.

There is no need to be too dedicated to get management fees, not to mention that the company is preparing to move in December.

News of the RRR cut have circulated for a while during the holidays. Looking at today's riot pattern, it is highly likely that it has already been decided.

It is in line with Big A's habits to complete the second market bottom-building process of the entire market with the help of positive changes before and after.

It is a cliché that there is no need to be afraid no matter how it falls now, not to mention that at the speed of the Science and Technology Innovation Board, it is urgent to go online quickly.

The China Securities Regulatory Commission has held several meetings, and the first batch of listed stocks have entered the IPO guidance stage.

If there are any large stock IPOs in the market, the index will be raised for a few days to protect it, let alone the launch of such a large sector.

How could such a strategic sector be launched below 2500 points?

Many times, if the general trend is understood correctly, there is actually no need to be afraid anymore.

In the afternoon, the three major indexes of the Shanghai and Shenzhen Stock Exchanges continued to rise. The Shanghai Composite Index closed at 2514.87 points, up 2.05%, and the ChiNext Index closed at 1245.16 points, up 2.52%.

Compared with the bottom day of October 2018, 10, the trends of the two city indexes are almost exactly the same.

After 54 trading days, the Shanghai and Shenzhen stock markets completed the second bottom of the market before the first weekend of 2019.

晚上06:30钟，央行发行降准信息，将分别于今年的1月15日还有1月25日，分别下调调0.5个百分点。

This RRR cut will release about 1.5 trillion yuan of funds, and the net release of long-term funds is about 8000 billion yuan, which greatly exceeds market expectations ~
This may be one of the reasons for today's surge.

The benefit of the unexpected reduction in reserve requirements over the weekend did not bring about the sharp rise in trading in the second week like that on October 10 last year.

The market changed his style, following the small positive trend, and slowly moved upward. During the five days of trading a week, the Shanghai Composite Index had three positives and two negatives.

In the second week of 2019, the Shanghai Composite Index closed in the red for the second consecutive week. It rose 1.55% this week, and the index returned to the weekly five-day line.

During this week, the central bank reiterated its decision to maintain the steady development of the stock market, bond market and foreign exchange market, and also announced that it will reduce unnecessary intervention in the trading process in the future.

But it was also reiterated that reducing intervention does not mean no more supervision; a big positive line opened low and moved high, and the weekly index and individual stocks showed stable trends.

At this point, the Shanghai and Shenzhen stock markets have officially determined the “market bottom” after the 2018 stock market disaster relief.

The market bottom of the Shanghai Composite Index is slightly lower than the policy bottom, while the ChiNext Index has double bottoms integrated into one.

In addition, Maotai Liquor Industry continued its upward trend this week after rising 2.03% to stabilize at 600 yuan last week, raising its stock price to 5.63 yuan with a weekly increase of 635.88%.

After rising for three consecutive weeks, Maotai Liquor Industry broke through the 20-day line on a weekly basis, and the stock price returned to the upward trend again.

In the future, there will be no buying opportunities below 600 yuan for Maotai stock price.

As of the close of trading on January 1, Junshi Capital held a total of 11 million shares of Maotai Liquor Industry, with a total cost of approximately 1826.84 billion yuan.

The holding cost is more than 550 yuan. Based on Maotai's total share capital, Junshi's current shareholding ratio is about 1.45%.

In the future, this 1.45% Maotai Liquor Industry will create countless benefits for Junshi Capital, whether it is a rise in stock prices or dividends.

Whether it is now in 2019 or in the future, Gu Junhao has completed all the layout the company can do in the A-share secondary market.

In the absence of extreme variables, Maotai Liquor and other first- and second-tier liquor brands that have opened positions this time have been able to protect the company's profits.

Next, what Gu Junhao has to do is, in addition to continuing to build positions in rice stocks, is to wait patiently for technology stocks to take off again before the Science and Technology Innovation Board goes online.

In the next two weeks, the Shanghai and Shenzhen stock markets still maintained a steady upward trend. The Shanghai Composite Index broke out of the weekly four-yang line for the first time since 2018.

As of January 2019, 1, the Shanghai Composite Index closed at 31 points with an increase of 3.64%. The highest point of the month reached 2584.57 points, once again testing 2630 points.

As the weighted market returned in the second half of the month, the GEM Index was obviously weaker than the Shanghai Composite Index. The GEM Index fell 1.80% that month to 1277.99 points.

而属于2018年狗年的交易日，只剩下2月1日一天，农历除夕将于2月4日到来。

February 2019, 2, Friday, the last trading day before the Spring Festival,

The Shanghai Composite Index closed up 1.30% that day, reporting at 2618.23 points, and the ChiNext Index rose 3.52%, reporting at 1271.27 points.

Before the Lunar New Year's Eve and the Spring Festival, the new village chief took office with the Science and Technology Innovation Board, canceled the 130% liquidation line for two-way financing, and encouraged brokerage firms to buy A-shares.

At the same time, the Shanghai and Shenzhen stock markets also welcomed the arrival of the new village chief with a sharp rise. The new generation is better than the old~

　Chapter 2
　　
　
(End of this chapter)