Rebirth of the investment era

"Awesome, the securities sector and the Internet financial sector are two major branches of the market that cannot be stopped at all?"

At 9:17, in the main fund trading room of Zexi Investment Company in Shanghai, Zhou Kan, who was observing the market, saw that the securities sector and Internet financial sector indexes once again opened sharply higher with an increase of more than 5%, and the two major sectors The internal core component stocks opened sharply higher. Active buying surged on the market, and they continued to bid up their stock prices. There was a look of surprise in his eyes, and he said with emotion: "The trend of these two major sectors. , is it too strong? It feels like all the active funds in the entire market are converging on these two sectors.”

"Shouldn't we all converge on these two sectors?" Xu Xiang smiled and said, "When the market has reached this point, the entire investor group inside and outside the market is still skeptical about the market's 'bull market' pattern. There shouldn’t be many left, right?

Now that the vast majority of investors have begun to agree with the bull market pattern of the market.

Well, in the past historical performance of the market, the 'securities' sector has always been driven by the historical trend of leading the bull market as the pioneer sector.

A large number of active capital groups inside and outside the market are pouring into the securities sector.

This logic is very easy to understand.

As for the market trend of the "Internet Finance" sector, why is it stronger than the securities sector? The competition for chips in individual stocks is also more intense.

Mainly at the forefront of the explosion of ‘mobile Internet’.

It is obvious that online trading platform software companies such as Flush, Great Wisdom, and Oriental Fortune, which have the concept of "Internet securities companies", have more convenient customer acquisition channels than traditional securities companies, and have huge advantages in gathering user groups. Their future prospects The revenue scale explosion potential, and the corresponding performance explosion potential, are much greater than traditional securities companies.

This is the fundamental logic behind the trend of the ‘Internet Finance’ sector, which has always been far stronger than that of the securities sector.

Plus overall.

The concept stocks and growth stocks of these "Internet brokerages" are far smaller than traditional securities stocks in terms of market value and circulation, which is conducive to concentrated speculation by the main capital groups.

Therefore, its related chips have become more scarce than traditional securities stocks.

Natural market trends and market elasticity are higher and larger than those of traditional securities sectors. "

After hearing Xu Xiang's words, Zhou Kan responded with a smile: "I don't doubt that in the bull market, the expectations are becoming more and more certain and intense. There are even expectations of the central bank cutting interest rates and reserve requirement ratios, and the overall macro-capital level is expected to change." Under the favorable factors, the market trend of the core main line of 'big finance' will continue.

I just think that the market’s continuous short squeeze is a bit overdrafting the market’s long power.

Mr. Xu, didn’t you say that before...

Is the range between 3,000 and 3,500 points on the Shanghai Stock Index the index range with the heaviest accumulation of hold-up orders in the entire market history?

Such a heavy historical hold on the index range area.

If in this form, we continue to hold high and hit breakthroughs.

It is feared that the market sentiment is slightly exhausted, and many market benefits that everyone fully expected have not been fully realized, or the realization is somewhat lower than expected, the entire market will add a large number of unwinding solutions in the short term. Under the combined pressure of large orders and a large accumulation of short-term profit orders.

I'm afraid the intensity and depth of the adjustment won't be low, right?

In other words, such an extreme and sustained surge will also bring about subsequent and sustained in-depth adjustments. Will this rapid rise and fall really contribute to the continued fermentation of the overall bull market and the continued development of the bull market? I think...it shouldn't be possible, right?

in market transactions.

Technical analysis may not be useful, but the laws of market sentiment reversion and mean reversion still exist objectively, right?

Once the short- and medium-term expectations of the two core main lines of 'big finance' and 'big infrastructure' fall back slightly, profit-taking and arbitrage for short-term substantial profits will come out in droves, and the major indexes have deviated from the bottom. The moving average support is too far away. Once adjusted, it is very likely to be an avalanche effect like last Monday.

The dramatic avalanche adjustment effect will still have a huge impact on the market's bullish sentiment. "

While listening to Zhou Kan's analysis of the market, Xu Xiang continued to observe the market with squinted eyes, and responded with a smile: "Your analysis is not wrong, but since the market shape has become like this, it has formed this continuous Continuous short squeeze situation, then all we can do is follow the market trend.

The subsequent possible expected recession and the resulting drastic market adjustment.

From an objective analysis, it is indeed very likely to happen.

But from the perspective of time, it is completely uncertain. We don’t know when the extreme market adjustment you analyzed will come or how it will come.

And before that, how far can the market reach in the continuous short squeeze situation?

Reach that index point range.

No one can accurately predict the vast investor base in the market.

What if the index continues to surge sharply amid various positive factors such as market turnover, incremental capital groups, and short- and medium-term bullish sentiment expectations, and directly breaks through 4,000 points in one fell swoop before ushering in an adjustment?

Is it because of the inevitable extreme adjustment in the market that we have to change our trading strategy here and miss the 600-point upward market space?

Moreover, in the extreme short squeeze market trend.

The growth rate of individual stocks is also extremely exaggerated, and chips corresponding to core stocks will become increasingly scarce.

If we do not follow the general trend of the market, we will most likely completely lose our core stock chips that still have a certain cost advantage.

In other words, in market transactions, profits and losses often come from the same source.

If we want to perfectly avoid the decline, it is very likely that we will also perfectly avoid the continued sharp rise of the market.

If the entire A-share market is a huge casino, only if you have chips in your hands can you be qualified to gamble here and obtain excess returns.

What’s more, the market turnover has continued to expand to more than 800 billion.

Any unilateral market movement of the main funds can no longer shake the objective trend of the market. Whether it is the legendary main funds of the 'Yu Hang Group' or us, we can only respect the market trends and agree with and follow the market trends. Trend is the correct trading method that truly fits the development of the current market conditions.

Furthermore, in a bull market, even if there are any extreme adjustments.

As long as the market's investment confidence and investment risk appetite remain in a radical state, and the continued money-making effect has not disappeared, then no matter how drastic the adjustment situation is, there is a high probability that it can be quickly repaired in the short to medium term.

In general, at this stage, maintain an aggressive position position and trading strategy.

It is far more appropriate to maintain a conservative position position and trading strategy. "

"Okay!" Zhou Kan saw that Xu Xiang's investment views on the market were very firm in his words, so he couldn't help but nodded, and once again suppressed the urge in his heart that he wanted to reduce his position and stop his profits at this stage, and settle down. thought, and said, "Then according to Mr. Xu's idea, let's take a look..."

After saying that, he turned his attention back to the trading boards of the two cities.

At this time, the market trading time has reached 9:20.

After just five minutes of initial call auction time, after a large number of false orders were canceled before 9:20, the market layout of the two cities was truly presented. Compared with the initial stage of call auction, its layering became more obvious. It has increased a bit, and the amount of transaction orders planned to be matched on the market of major popular stocks has been reduced.

Through overall disk performance...

It can be seen that the two major sectors of securities and Internet finance still maintain the trend of leading the industry sectors and concept sectors of the two cities.

However, the increase in the indexes of these two major sectors is compared with that at 9:15.

It has fallen back somewhat.

From the initial 50% of collective bidding, it has fallen back to between 20% and 30%.

Among them, 'Flush, Great Wisdom, and Oriental Fortune', three popular stocks that have attracted a lot of attention from market investors, still opened higher by more than 5%, and 'Great Wisdom' opened significantly higher due to the logical need to make up for the increase. At the position of 22%, the amount of funds for the main buyers who followed the trend on the market has not only not decreased compared with the time of 9:15, but has also increased sharply.

As for the securities sector...

The high opening range of the stock price of 'Huaxin Securities', a weighted core stock, has basically fallen back to around the 1% increase mark; other stocks that also have the logic of low-level compensatory gains are 'Huaxin Securities, Pacific Securities, Southwest Securities, and Xiangcai Securities' Securities...' and other component stocks still opened higher with an increase of more than 2%.

In addition to the two popular sectors of securities and Internet finance.

The banking and insurance sector indexes, which are both at the core of 'big finance', have also declined somewhat compared to the beginning of the call auction, and the indexes of 'China Commercial Bank, China National Bank, Huanong Bank, Huajian Bank, China Commercial Bank, Minsheng Bank' , Ping An Bank, Shanghai Pudong Development Bank, Industrial Bank, China Pacific Insurance, Xinhua Insurance, Ping An Insurance...' and other popular heavyweight stocks in the sector, the proposed matching transaction orders on the market also significantly increased when the gains fell. increase.

As for ‘big infrastructure’, ‘technological growth’, ‘mobile Internet’, ‘military industry’ and other core main areas that performed equally well in the initial collective bidding stage.

Corresponding industry sectors, concept sectors, as well as many component stocks and popular leading stocks.

The overall increase at this time has also declined.

There are also relatively low main line areas such as 'consumption, medicine, non-ferrous metals, coal, petrochemicals...', and their growth rates have also declined.

In general, after the time enters 9:20.

The overall market pattern, that is, the market performance of each main line, has not changed significantly. However, the extreme bullish sentiment gathered before the market has subsided. On the market of each stock, there is a group of buying funds that actively pursue and undertake high positions. , has decreased, while the number of active selling groups has increased, causing the stock prices of many stocks to begin to come under pressure during the call auction stage.

However, even the share prices of many stocks have come under pressure.

The overall high opening situation of the entire market has not changed much.

There are still more than 1,500 stocks in the two cities that remain in the red market, and the call auction market increase of the check "Huake Shuguang", the leading stock in the core speculation concept of the 'sub-new stocks' sector, still maintains an increase of more than 7% at this moment, and still has a It continues to seal the daily limit and continues to set a record for the market.

It is amid such changes in collective bidding emotions and interpretation of market conditions.

After a while, 9:25 arrived, and the collective bidding in the two cities ended.

After the last few minutes of real call bidding, the Shanghai Stock Exchange Index finally settled at a 37% increase at the end of the call auction, while the Shenzhen Stock Exchange Index and ChiNext Index opened higher by 34% and 29% respectively. Among them, The A50 index opened 51% higher, and the small and medium-sized board index opened 25% higher.

Judging from the high opening range of several core main lines in the market.

The market style of the entire market is still biased towards the direction of the main board and the A50 index constituent stocks. The stocks in the "technological growth" and "conceptual growth" fields dominated by the small and medium-sized board and the GEM board, the market performance, and the follow-up effect of the main buying funds , obviously still worse.

Faced with such an opening situation...

The broad investor base inside and outside the market is somewhat disappointed.

After all, the external market continued to rise last night, and the Nasdaq Composite Index also hit a record high, and there are many potential benefits in various news. In the early trading period, the performance of other markets in the entire Asia-Pacific stock market was also Very positive ones have opened the situation higher.

Under this factor, stimulated by so many positive factors.

The major market indexes did not even open higher by 1%. Naturally, everyone felt that it was lower than expected.

Fortunately, all the core indexes in the market still maintain a high opening trend, and the proportion of red stocks in the entire market is not bad. There are still more than 1,500 stocks maintaining a high opening trend. Therefore, although everyone is slightly concerned about this opening trend, Disappointed, but acceptable.

"This opening is slightly lower than expected. I thought the Shanghai Stock Index should be able to surpass yesterday's intraday high at the opening."

At 9:26, after the collective bidding in the two cities ended and before the official opening of trading, during the brief five-minute suspension period, within the Yuhang Minghui Capital Group, in the main fund trading room, the fund manager He Hong frowned slightly. He frowned and said: "Looking at the call auction trend of the market, although the sentiment of bulls is still very high, and the main direction of undertaking and following the trend of various financial groups is also mainly concentrated in 'big finance' and 'big infrastructure' Main line area.

But when the trends in these two core main line areas deviate too far from the moving average.

There are still many financial groups who are hesitant.

Moreover, it can be seen that as the price goes up, the competition for profit taking and the competition for unwinding arbitrage becomes more and more serious.

I'm thinking that if the transaction volume of the two cities and the trend of incremental capital groups entering the market to rush for funds are slightly weakened, the two core main lines of 'big finance' and 'big infrastructure' will be very difficult. If it continues to go up like it did before with continuous short squeezes and big gains, it must be subject to shock adjustments, right? "