legendary trader

Chapter 838 839 Big Order Smash

The trading team of the Southern Investment Group reacted very quickly. After a little hardening, they found that the short sellers were very firm. They wanted to continue to put pressure on Enron's stock price and prevent Enron's stock price from rebounding at all, so they decisively gave up.

In the past, in addition to the gold, foreign exchange or bulk futures market, if it was only in the stock market, they would still dare to fight head-to-head.

After all, the market for stocks is only that big, unlike those markets where funds can be enlarged infinitely. There are only so many stocks in the stock market. No matter whether you are long or short, there is always a limit. It is crushed, and sometimes it needs skills to supplement.

But now the Southern Investment Group's funds are stretched, and it is no longer enough to fight against the short sellers in the market.

So decisively withdraw all the buying orders above and hang them above 20 yuan, hoping to build a defense line around 20 yuan, hold this early bottom, and strive to get out of the double bottom figure.

With the rapid withdrawal of buying orders, Enron's stock price began to show a slight diving trend at 20.6 yuan, and the stock price did not start to slow down until 20.22 yuan. up.

However, the sell orders that fell down along the trend did not mean to shrink back in the slightest because of the thick buying below.

The trading volume that had just shrunk began to increase rapidly again, and a huge amount of selling orders took the initiative to hit the buy orders below, leaving no room for it, appearing aggressive.

Soon Enron's stock price was smashed through 20.2 yuan, and dropped to around 20.15 yuan.

However, at this time, the bulls' buy orders also began to counterattack, and there were multiple buy orders of 10,000+ shares that entered the market quickly, pulling Enron's stock price back to 20.19 yuan, and then it was suppressed back by the smashed selling orders.

In a very short period of time, Enron's stock price fluctuated violently up and down within the space of a few cents, and the trading volume continued to increase significantly, and the trading peak even exceeded the trading volume that exploded at the opening.

At this time, those retail investors, large investors, and institutions thinking about fishing in troubled waters have all died down, and they are closely watching the competition between the long and short sides on the Enron disk, waiting for them to decide the outcome.

Chen Fan sat in his seat, staring at the background transaction data. Up to now, they have sold more than 5 million shares in a short time after the opening of the market, and only recovered less than 2 million shares on the way down. Accumulated short selling of more than 3 million shares, such a large amount of short selling has never happened before.

But this time, the operation was carried out under Chen Fan's constant request, and Enron's stock price did not break through 20 yuan. Not only Chen Fan was a little anxious, but Lin Hong was also a little worried.

If you can't break through 20 yuan, many of the things you think about later will not be able to continue.

"Aim at 20 yuan, drop 50 shares, and place two big orders for me."

Chen Fan watched the stock price go back and forth around 20.15 yuan, and felt that he could not be soft at this time. He must break down the resistance of the bulls and let Enron's stock price continue to hit new lows as soon as possible, so as to fundamentally hit the momentum of the bulls. I plan to smash it down with a super big sale order.

A sale order of 50 shares requires 1 million yuan to undertake for one transaction. Although it may not be possible to sell 2 yuan in a row, the low point must be at the price of 20 yuan, and you can take advantage of the trend See how much is left on the order below.

"Xiao He, give me a big deal."

Lin Hong heard Chen Fan's words, then turned to the trader beside him and said.

Soon, a sell order of 2 to 50 shares appeared on the computer screen in front of Chen Fan, directly smashing Enron's stock price to 20.06 yuan, and the falsehood of the five buying prices below came out.

There is a buy order of 20 shares at 30 yuan, and the buy orders at other prices are slightly smaller, only about [-] shares.

"Continue to smash 2 pens down, and I broke 20 yuan."

Chen Fan saw that the buying orders below were not as thick as expected, and felt that the opportunity had come, so he immediately said.

After speaking, Chen Fan didn't care about the market's reaction, and leaned slightly towards Lin Hong, "After dropping Enron's stock price to 19, we will start making small orders to cover today's stocks."

Lin Hong understood what Chen Fan meant. Up to now, they have accumulatively short-sold 4 million shares. If they don't try to cover as many positions as possible during today's downtrend, there will be too many stocks to buy back in the next two days. If the bulls don't give up and continue to hold on, Enron's stock price will be pulled up again.

Weiwei nodded, and Lin Hong immediately got up and prepared to arrange the trader's transaction.

But at this moment, follow-up big sell orders came one after another, and the buying orders on Enron's stock price of 20 yuan were wiped out in an instant, and then Enron's stock price began to decline rapidly.

At this time, the important support level fell below, and investors who tentatively bought Enron stock before knew that the general trend was over.

The key support level is broken, and Enron's stock price will definitely fall for a while, so they didn't wait until the bulls came in to rescue them. Reliable.

Follow-up selling orders began to pour in when Enron's stock price broke through 20 yuan, and the buying orders on the market disappeared almost instantly.

There may still be top-notch investors buying, but their little buying orders have been submerged in front of the tide of selling orders, and basically no buying orders can be seen in the transaction details.

Enron didn't have many buy orders below 20 yuan, so the market's trading volume could not be enlarged. Even if Enron's stock price plummeted, the trading volume still began to shrink.

However, after Enron's share price quickly fell below 19.4 yuan, the trading volume in the market began to recover slightly.

Seemingly bottoming out in the short term, Enron's stock price seems to be about to rebound. Enron's stock price began to rise from the low point, but it was suppressed again after the stock price rose to 19.6 yuan, and then continued to sell orders and began to enter the market. The rebound trend soon It's over, and it starts to fluctuate lower.

At this time, in Oaktree Capital’s trading room, some traders were placing sell orders to suppress the rebound of Enron’s stock price. Although they did not take the initiative to suppress the price, in many cases, as long as 10,000+ shares were placed there, the sell orders would be attracted. The stock price fell by two or three prices.

On the other hand, another group of traders began to place scattered small buy orders on the buy orders below and began to cover their positions.Covering up while suppressing the market is to prevent Enron's stock price from continuing to rise.

In the trading room of Guangdong City Southern Investment Group, Mr. Mu had a very bad face.

Before investing more than 1 million yuan to enter the market to protect the market, it failed. The short sellers in the market were too strong and domineering, and directly smashed through the defense with large orders. Now Enron's technical graphics have been destroyed. Bottom graphics have failed.

"Continue to raise funds and enter the market at low positions to cover up positions. It is difficult for us to find channels to obtain funds in a short period of time, unless money from insurance companies is embezzled."

Mr. Mu said to Xu Fei, to be honest, he was very disappointed with Xu Fei's performance. He spent a lot of money to hire him, and his performance was pretty good before, but this operation of Enron stock didn't make him feel at ease. Up to now, it is even more heavily covered, and more than one billion rice yuan has been hung up like this.

The young man who looked at the glasses lowered his head and said nothing, and Mr. Mu asked again: "Tell me, why do short sellers continue to put pressure on a stock like Enron, and continue to hit the market when it reaches this price?"

This time Xu Fei moved his lowered head a little, but he still didn't give an answer quickly. Mr. Mu seemed to be a little impatient before he raised his head and said: "Either Enron's problems are serious, and they think Enron's stock price should be It is lower, or they want to accumulate at a lower price, and our resistance prevents them from buying chips at a lower price."

"Do you think the former is more likely or the latter?"

Mr. Mu frowned and continued to ask.

"The latter, for a power company like Enron, even if it cheats on its finances, it probably won't be a big problem. According to the previous analysis, even if Enron is only at the average level of the same industry in the United States, that is, its profits are a little less, it will not suffer losses. of."

Xu Fei adjusted his glasses before speaking.

"Boss, the selling orders on the market have decreased a lot now, should we stop selling?"

A trader over there suddenly asked.

"There should be room to fall, right?"

Before Xu Fei could answer, Mr. Mu suddenly interrupted and asked.

"There should still be room to fall. If it's just to smash Enron's stock price below 20 yuan, it's not worth investing so many selling orders into the market."

Xu Fei replied.

"Then continue with the previous order and cash out a little stock first. There are too few funds in the trading account now."

President Mu asked tentatively.

"There is too little money in the account, no matter how I operate later, I need funds. I still think to cash out, at least get rid of the stocks I bought in the last two days."

Xu Fei replied decisively this time.

"Do as you want, first ensure the safety of the account funds."

After Mr. Mu finished speaking, he had no intention of staying here any longer. Tonight, he had hoped to successfully protect the bottom and let Enron stock go out of the double-bottom pattern, but after seeing the sharp selling orders after the market opened, he felt uncomfortable It's a wonderful feeling, after seeing that the funds in the account were quickly consumed because of the protection of the market, he had already conceded defeat, and the short position was too powerful.

After Enron's stock price was smashed by 20 yuan by a large order, Xu Fei asked traders to stop buying and sell stocks to cash out. He didn't stop him. Now it's time to consider stopping losses.

Mr. Mu, who walked out of the trading room, stopped before going too far. Before, he only considered the serious book losses, but forgot the advantage of the low price for attracting funds.

They have accumulated as much as 16 billion yuan of funds invested in the market, and their holdings of Enron stock have reached more than 4 million shares, which has exceeded the 5% limit.

Of course, they have enabled multiple accounts for trading, but it doesn’t matter, they can collect the stocks into one account when needed, and transfer them to the securities account opened by Southern Investment Group overseas. It seems that in addition to the loss on the investment book, It seems that their original goal has been achieved.

It's just that Xu Fei has been misled recently because Xu Fei is not optimistic about this investment, only thinking about making money, and forgetting their original goal.

Thinking about Enron’s stock price of 5 or 60 yuan before, they have already formulated a plan to slowly increase their holdings of Enron’s stock. Although the drop in Enron’s stock price has caused them heavy losses on their investment books, it has also accelerated their plan to increase their holdings virtually. , and spent a lot less money.

Thinking of this, Mr. Mu suddenly felt that this investment seemed to be a loss, but whether it was a profit or a loss is really hard to say.

The key to success or failure now is whether he can find more funds and continue to buy Enron's stocks at low prices.

Enron's largest shareholder, Kenneth, seems to hold only 16% of Enron's shares, which is about 1.1 million shares. If he can raise 20 billion yuan in funds, even if he can't control Enron, he can at least gain control from the board of directors. More seats are not only for the right to speak, but also to fight for part of the rights in the company.

Of course, Mr. Mu knows the piss of the Americans. Even if the Southern Investment Group controls more shares, it will be very difficult for them to obtain the control of Enron. Those institutional investors will join hands to overthrow him unless there are more Funds, to win 51% of the shares, can truly control Enron.

But that's impossible. If you continue to buy shares, you have to get them from the organization. Those negotiations are very troublesome. They are all vampires who eat meat but don't spit out their bones.

When Mr. Mu thought of this, his depressed mood suddenly eased a lot. As long as it is something that can be settled with money, it is really not difficult.

It is true that Southern Investment Group has no money, and there is no way to obtain more financing for the time being, but they have it at home.

As long as the old man agrees to let Xiangjiang Industrial enter the market to attract funds, whether the shares are in the hands of Southern Investment Group or Xiangjiang Industrial, they are actually in their own hands.

Thinking of this, Mr. Mu originally wanted to vent his depression in this place, but now he knew it was impossible, so he had to go home quickly to see if the old man was asleep, and had a good talk at home, and it would be best to convince the old man once.

Boss Mu quickly left the company and went home by car. In the car, he couldn't wait to call the old servant at home to find out about the situation of the old man.

"Enron's stock price was controlled to close around 19 yuan, so don't press too hard."

At this time, Chen Fan looked at the trend line of Enron's stock price fluctuating and falling with a relaxed expression.

However, he did not intend to continue chasing down the long funds, but asked Lin Hong to cover up the short positions in an orderly manner.

At this time, he felt that it was necessary to be more careful. The current price of Enron's stock price was too low. If he could attract really powerful buyers to enter the market.

The reason why he dared to ask the trader to place large orders in a row at 20 yuan was because the retreat of the main force protecting the market before the opening price made him convinced of his judgment. The main force may be the Southern Investment Group.

Zhang Quan's information was given in a timely manner. If the news was a day late, maybe the current situation would not be like this.

However, Chen Fan still felt that he should not get carried away. After all, he was a blue-chip stock in the United States, although he had made him feel very embarrassed now.

"The main thing in the future is to be stable. Just hold down the stock price steadily, and don't ask for it to fall too sharply."

Chen Fan said to Lin Hong, and of course Lin Hong couldn't stop nodding.

(End of this chapter)