Rebirth of the Capital Legend

Chapter 266: Joint attack with state-owned institutions!

"Boss Su, my Investment Department 1.5440 is ready and waiting to make a killing in the pound exchange rate market." After the instant messaging was established, Meng Shengfei, the investment manager of Huayin International's Investment Department , said first, "The pound exchange rate has reached around points. Boss Su, aren't you going to fight back?
This exchange rate position threshold...

The market rumored limit of the exchange rate of 1.5500, which would cause your institution to go bankrupt, is getting closer and closer.

If you do not fight back at this time, once the pound exchange rate breaks through the 1.5500 mark, it will further cause panic among the existing short positions in the market, causing many short positions to cover their positions in panic, thus forming a stampede. "

Su Yi responded: "I would like to fight back, but unfortunately I don't have enough funds. I can only rely on Manager Meng to help me."

"Haha..." Meng Shengfei laughed and said, "Boss Su was not so modest before, but the leaders did not approve much funding for our Investment Department 2. I don't know if it is enough to guide the market trend of the pound exchange rate and whether it can withstand the strong short squeeze of the bulls at this position!"

"Mr. Meng, don't act like a fool after getting an advantage here." Kong Fansheng from Huayin International's Investment Department 1 responded after hearing what Meng Shengfei said, "The amount of funds that Mr. Zhang approved for your Department 2 is much more than our Department 1, and yet... you are still not satisfied? If you are not satisfied... how about we switch?"

After hearing what the two said, Su Yi was very curious about how much investment Zhang Yanshun had obtained from his leader.

However, he certainly couldn't ask about the specific investment amount, and could only guess that it was at least several hundred million US dollars.

After all, the amount of funds is too small and it is basically of no help in affecting market trends.

"Forget about it." Meng Shengfei responded, and the topic turned to the idea of ​​building a position. "Mr. Su, in my opinion... the 1.5500 mark of the pound exchange rate should be defended by the bears, right? Once this mark is lost... the bulls in the market will seize the opportunity to pursue the victory, and the remaining bears with heavy losses may not be able to withstand the pressure and will not last until the referendum day on June 6."

Su Yi said: "Manager Meng is right, but this barrier is not so easy to break through for the long institutions in the market."

"Oh?" Kong Fansheng responded, "Boss Su already has a strategy?"

Su Yi replied confidently: "Of course we have a strategy. We, Huayi Capital, have never been an investment institution that sits and waits for death. However, the timing is not right yet, so we have to continue to lure in a wave of bulls."

"Okay, I'll listen to you." Meng Shengfei said, "After all, this battle between bulls and bears in the pound exchange rate market was started by you, so you should be the commander-in-chief of this battle."

Regarding Su Yi's view that he was not in a hurry to build a position to block the bulls in the market.

Both Meng Shengfei and Kong Fansheng agreed very much.

As the saying goes, good steel should be used on the blade.

Since Su Yi used the existing short positions held by Huayi Capital as bait to lure the bulls to continue investing funds to force a short squeeze.

Therefore, you should not waste your funds on meaningless battles for points.

After all, compared with the major long-term institutions that are hunting down Huayi Capital, even if Huayin International enters the market, they are still at an absolute disadvantage in terms of capital volume.

Since we are at an absolute disadvantage in terms of the amount of funds.

If we want to reverse the market situation, we must rely on the influence of news and the power of existing long or short positions in the market.

"What commander-in-chief? No commander-in-chief..." Su Yi smiled and said, "If your ideas are consistent with expectations, I will just cooperate with you."

Just when Su Yi and Huayin International Investment Departments 1 and 2 established instant messaging and planned to launch a joint attack.

Other major institutions in Hong Kong.

Especially in the pound exchange rate market, huge long positions have been established, and with the 1.5500 mark just ahead, the greedy fund managers of institutions such as Mitsui Yoshitomo Investment Co., Ltd., Huifeng Global Asset Management Co., Ltd., Pacific Capital Hong Kong City Branch, Tianhe Capital, etc. have also begun to invest larger amounts of funds simultaneously, trying to push the pound exchange rate across the 1.5500 mark in one go, forcing many short-selling institutions in the market, especially Huayi Capital, the main short-selling institution, to cover their positions and stop losses, thereby destroying the main short positions in the market.

“This market trend is really cool!”

As the bulls continued to squeeze out the shorts, Gu Chijiang from the trading department of Tianhe Capital said excitedly.

Thanks to the joint short squeeze by the long institutions in the market, his long position on the pound exchange rate has made a floating profit of more than 4000 million US dollars.

"Mr. Gu, judging from the situation, there should be no suspense that the pound exchange rate will break through the 1.5500 mark." Xie Hongxing, manager of the trading team, said, "It seems that Huayi Capital will not be able to escape the fate of having its positions blown up. Once the pound exchange rate quickly breaks through the 1.5500 mark, the confidence of the main short-selling institutions in the market will collapse completely."

"That's beyond doubt." Gu Chijiang nodded with a smile, "Old Xie, continue to increase your long positions. If you don't pursue the victory now, when will you pursue it?"

Xie Hongxing nodded and asked, "How much long position should be added?"

Gu Chijiang responded with a smile: "You can increase your position with all the floating profits. The downward path of the pound exchange rate has basically been blocked. As the market trading time goes by, the survival space of the shorts in the market will only become more and more difficult. Moreover... at this time, the longs have an obvious crushing advantage. Is there anyone who dares to short on a large scale?"

"I don't think there is such a fool." Xie Hongxing said with a smile.

Immediately after Gu Chijiang finished his instructions, Xie Hongxing turned around and issued corresponding instructions to all the traders in the trading room to continue increasing their positions and going long.

And at the same time...

The hedge fund "Huifeng Global No. 1" headed by Godfrey also continued to increase its long positions in a big way.

"Mr. Godfrey, more and more short-sellers in the market are starting to close their positions and exit." When the pound exchange rate continued to rise and quickly broke through the 1.5450 level, core trader Gerald reported to Godfrey at around 2 p.m., "The total amount of open short positions in the market is decreasing sharply."

When Godfrey heard this, the smile on his face became more and more intense. He smiled and said, "This shows that many short sellers in the market can't stand the pressure and are stopping losses. It also shows that the market has been squeezed to such an extent that the short sellers in the market will trample on each other and a number of major short sellers will be liquidated. It's not far away."

"Yeah." Gerald nodded in response, "I guess the 1.5500 point is the last psychological barrier for the bears in the market."

"I think so too," Godfrey replied. "Then let's work harder. Our fund still has plenty of reserve funds. We can take advantage of this opportunity to invest more money. As long as we can destroy the short positions in the market, the funds we invest can reap very rich profits."

It seems that we are only one step away from defeating the main short-sellers in the market.

Godfrey couldn't suppress his greed. It wasn't just him...

At this time, a number of major long institutions in the market, including 'Pilot Capital', 'Pacific Capital', 'Mitsui Yoshitomo Investment Company', 'Barclays Foreign Exchange Trading Center', 'Hashimoto Capital', etc., have also seen the sharp decline in existing short positions, and have realized that the short sentiment in the market is collapsing. They have also begun to increase their capital investment, frantically forcing shorts, and investing more long positions to push up the pound exchange rate.

Under this situation where the bulls are chasing with all their might and huge amounts of funds are forcing the market to short sell.

At 4:30 p.m., just as the trading time entered the European session, the pound exchange rate accelerated its rise to around 1.5470 points, just one step away from the 1.5500 psychological collapse point for the bears.

At this time, the existing short positions in the market had rapidly dropped to less than 100 million lots.

On the contrary, the existing long positions are as high as more than 210 million lots, and the net long positions are as high as one million lots.

"It's time..."

Faced with the market's overall tilt toward bulls, bears were already in danger. The entire pound exchange rate market was about to see bears trample on each other, and an extremely volatile market trend was about to occur. Su Yi stared at the pound exchange rate trend intently, murmured, and then said to Meng Shengfei and Kong Fansheng who had been waiting for a long time: "Manager Meng, Manager Kong, be generous and establish a large number of short orders at this position to curb the sharply reduced number of short positions. It's time for us to start a head-on battle with these greedy bull main institutions in the market."

Meng Shengfei and Kong Fansheng responded quickly and quickly instructed the traders to invest funds and establish short positions.

And just when the two of them were attacking with all their strength.

Frederick, the main hedge fund manager of Aberdeen Asset Management Evolution No. 1, who had been working with Su Yi for a long time, also called and said, "Boss Su, it's time to close your strategy of inducing long positions. The short position in the market has begun to collapse. If you don't close your net, it will be completely torn apart by the main long positions in the market who are continuously forcing short positions. By then... not only you, but also the main fund of our institution will be liquidated in an instant."

"We are already closing the net." Su Yi replied, "But I need Mr. Frederick to help hold the 1.5500 mark. At the same time, I will have people release sufficient news to the market to stimulate the market. Mr. Frederick, the many media organizations controlled by your 'Aberdeen Asset Management' can also take action."

"I have informed the group's board of directors and asked them to help," Frederick said. "Institutions like Bank of New York Mellon and Citibank should have noticed the Bank of England's real purpose."

"Then let's wait for the market news to ferment." Su Yi said with a smile.

Then, he asked the company's technical department, with Frederick's consent, to establish an instant network connection with the other institution's trading department, to facilitate the institutions to work together to fight against the bullish forces that were forcing a short squeeze on the market.

At the same time, Su Yi hurriedly gave instructions to Wang Huaijin.

Let him use the greatest publicity power to clarify the rumors he had previously spread deliberately, and disclose to the market the current holdings data of "Huayi Capital" and its still very abundant capital reserves.

When you're done with this...

Su Yi used his online social account again.

He continued to publish a detailed analysis article that was bearish on the pound exchange rate, pointing out the fundamentals of the EU's economic recession and the fundamental reason why the Bank of England quickly took action to stabilize the market exchange rate, which was because there was a high possibility of changes in the Brexit referendum. He also pointed out that the referendum results unanimously expected by major global investment institutions were obviously biased.

Also, after publishing a bearish analysis article.

Su Yi once again published an article in English on an external investor communication platform, declaring war on global investment institutions and long-term institutions in various markets.

This means that the historical era in which foreign institutions could arbitrarily reap the benefits of Chinese institutions is completely over.

And firmly stated that the pound exchange rate market at this time will bury all investors who dare to go long at this stage.

After he had done all this...

Before all the news could ferment thoroughly.

Media organizations in various countries controlled by the global asset management giant Aberdeen Asset Management also simultaneously released various sampling data on the Brexit referendum in the UK that Frederick had recently collected, as well as public opinions from street interviews. Of course, Su Yi's statement that the Bank of England had to sell foreign exchange to stabilize the exchange rate was also clearly pointed out by Frederick through the media.

Up to this point, for a consecutive month in the previous period, the core short-selling institutions in the market deliberately showed weakness and acted as if they were unable to fight back.

Finally, under the leadership of Su Yi, they showed their ferocious fangs.

Moreover, at a time when negative news is spreading to the market through the global network.

As a Chinese-funded institution with extremely strong financial strength, Huayin International, which is responsible for domestic and foreign channel transactions of Chinese currency and holds trillions of capital, has also made a public statement, stating that it has officially intervened in the pound exchange rate market, and is strongly bearish on the pound exchange rate. It also stated that if Huayi Capital needs new financing, their institution can provide corresponding credit.

Accompanied by the continued spread and fermentation of various news.

Including "Huayi Capital", "Aberdeen Asset Management", "Huayin International"... a number of major short-selling institutions launched a fierce counterattack in an instant.

In an instant, many of the main long institutions in the market who thought they had already won and were investing all their funds to break the last psychological line of defense of the main short sellers were stunned.

Moreover, these long institutions that have already invested huge amounts of money and are deeply involved in the market have not yet had time to react.

The short positions in the market, which had originally been sharply reduced, began to increase rapidly again.

At the same time, many speculative retail investors and hot money in the market who realized that something was wrong began to take immediate profits and cover their long positions.

So, the news continued to ferment.

In less than half an hour, the pound exchange rate plunged from around 1.5470.

The price plummeted rapidly, crossing a space of nearly 70 points and falling back to the vicinity of 1.5400 points, causing all the new long positions that were concentrated during the day to fall into a temporary loss state.

(End of this chapter)