Rebirth of the Capital Legend

"It seems unlikely that the main weight line and the 'big infrastructure' line will continue to attack and assist the market like yesterday." Zhao Zhiyuan said, "If these two core lines really want to exert their strength, they should have done so in the morning. They will not wait for the bullish sentiment in the main line area to fall back. After all, after the sentiment falls back, the required follow-up buying power will increase if you want to attack again, and the pressure to attack will be even greater. What's more, after the 'emerging industrial chain' line came out today, a number of concept theme sectors in the field of small and medium-sized stocks and micro-cap stocks, as well as corresponding concept stocks, have siphoned off a lot of active buying funds in the market.

Today, the market as a whole is clearly showing a trend of shrinking volume.

In this case, there are simply not so many active buying funds in the market that can continue to push up the two main lines of large infrastructure and weight in the afternoon market trend. What's more, these two main lines are those with huge market capitalization. If the market goes up, the amount of funds required will also be very large.

In general……

Based on the performance of the entire market this morning, I think it is highly likely that there will be no outstanding performance in the market this afternoon.

In the closing stage, it was able to withstand the profit-taking selling pressure in the market, as well as the historical trapped selling pressure around 3000 points.

If the market can avoid a sharp drop, stay above 3020 points, and continue to maintain an effective breakthrough trend, it will be in line with expectations.”

"I don't think so." Liang Jiucheng pondered for a while and replied with a smile, "For the two lines of large infrastructure and weight, today's shrinking and narrow fluctuations, I think it is just that the internal chips have been re-locked, and many holding funds are reluctant to sell and lock up their positions.

In fact, based on the market trends of the previous trading day.

It can be explained that in the current market, these two core main lines, namely, weighted main line and large infrastructure, are relatively speaking the most certain core main line areas.

The potential buying power of the market is very strong, and it is not the case that a lot of funds are unwilling to buy.

On the previous trading day, the market's bullish and bearish divergences were so huge that the selling pressure was extremely fierce.

Moreover, the positions of the major infrastructure main lines and the weight main lines at that time were not much different from now in terms of height space.

The concentrated selling force at that time did not bring down the market and the trends.

Instead, the potential buying power reversed the downward trend.

There is no reason why the market, with better overall sentiment and better chip structure today, would be hit by the potential selling power that has been greatly reduced.

Furthermore, the market fluctuated violently yesterday.

The newly-involved group of funds, especially those who have recently exchanged a large number of chips, and the newly-entered investors actually do not have much floating profits, and they do not have much desire to sell.

In other words, although the current index and major main lines have rebounded to the so-called short-term highs.

However, I feel that the chip structure in each major area is more stable compared to the previous period.

From the perspective of chip structure and capital game, at this position, the direction of least resistance is upward. Regardless of whether the market index is temporarily experiencing a narrow range of fluctuations with shrinking volume, or the expected shrinking and consistent large-positive breakthrough trend, it cannot change the essential situation that this round of rebound market cycle has not yet been completed.

So, at this position, under this market pattern.

When the index and the corresponding core leading stocks have not yet shown an obvious loss-making effect, or have not fallen below the upward trend line of this round of rebound.

I think holding positions and waiting is a better trading strategy.

If you reduce your position to take profits and change your trading strategy to a defensive posture, you are likely to lose your chips and miss out on the profits of the subsequent main rising market. "

"I think Lao Liang's analysis is more reasonable." Zhang Wei said, "Indeed, the certainty of this position is not strong enough, but the trends of the main lines have not shown a worse side. Whether it is the trend of the 'big infrastructure' main line, the weight main line, or the 'emerging industrial chain' main line that performed relatively well today, they are still in an obvious bullish trend. I also think that if you have profits and control the market initiative, you might as well hold the profitable positions in your hands and wait for the market to make a new direction choice. It's not too late to decide whether to buy or sell. Here... If the index continues to move upward, it will inevitably accelerate, and the trend in the acceleration stage is relatively profitable. "

"Then let's take a look at the market trends this afternoon."

Seeing that the two had huge differences with him on the long and short views, Zhao Zhiyuan did not think of forcibly persuading them, but instead responded with one final sentence.

Sticking to his point of view, he turned his attention back to the trading screen of the two markets.

There are also major stock investment exchange platforms on the entire network.

And as he watched and observed, many retail investors on major stock investment exchange platforms across the Internet were still relatively optimistic about the market trends in the afternoon.

"The market trend this morning showed a much smaller volume than last Friday. It should be regaining momentum, right?"

"Of course, just wait and see. This afternoon, the price of Oriental Yuhong's check will most likely hit the daily limit."

"I also feel that the 'big infrastructure' line will continue to gain momentum this afternoon, but today the main target of capital speculation seems to be concentrated on the 'emerging industrial chain' line. Film and television media, Internet software, Internet applications, electronic information... several major core sector indexes have all reversed."

"It's good for small and medium-sized stocks to rise. Aren't everyone's holdings in the market concentrated on small and medium-sized stocks?"

"Yes, I hate it most that the banks, power, liquor and pharmaceutical stocks led the gains."

"I think the current trend is pretty good. It would be best if the index fluctuates sideways and small-cap stocks explode, but the broader market must not rise too fast."

"Haha, I think so too. The Shanghai Composite Index must not rise too much. It just needs to be stable at 3000 points."

"Yes, as long as the index stabilizes at 3000 points and the overall market sentiment is not too bad, it seems that the hot money in the market will actively go long."

"Yes, as long as the index stabilizes above 3000 points, the market will continue to have local market outbreaks."

"As long as the price of 'Huawen Online' is capped at the daily limit, the market of 'emerging industrial chain' in the afternoon, and the entire small and medium-sized stocks, should be strengthened."

"It's such a pity for the check from 'Chinese Online', why the hell... did it sell out?"

"There's still time to buy the check for 'Quantong Education' this afternoon."

"I feel that the strength of the cheque from 'QuanTong Education' is completely weak. Has it been abandoned by market funds?"

"It's obvious that Huawen Online has already taken the place of Quantong Education. As the saying goes, a faded leader is worse than a dog. Since it has been taken, why buy it?" "Yes, it's better to buy LeTV than Quantong Education."

"Isn't LeTV's plate too big?"

"The size of the plate is not a problem. Look at the check for Oriental Yuhong. The plate is not small, right? And the previous Gemdale Group has an even bigger plate. Wasn't it also hyped up as the main line leader?"

"That's different. I feel the 'big infrastructure' line is more logical."

"Why is it different? These days, who invests in stocks based on performance?"

"I don't think so. For the market to be sustainable, performance and fundamentals are still very important. Looking at the stocks that have really gone out of the upward trend in the past six months, they are really supported by fundamentals and performance. For small and medium-sized stocks and micro-cap concept stocks, funds are all hyped for a while and then withdrawn."

"Yes, in terms of sustainability, I also think that the line of 'emerging industrial chains' is far inferior to the main line of 'big infrastructure'."

"Just focus on the present, as long as the stock price rises today or tomorrow, that's fine. We are not in the long term."

"It's still more stimulating to invest in the short term. Besides, isn't it stupid to invest in the long term in a bear market?"

"Yes, in the bear market phase, you have to take a bite and withdraw."

"Look at the stocks. For a leading stock like Oriental Yuhong, if you take a bite and then withdraw, wouldn't you lose a lot? Look at the recent trend of this stock. It rarely hits the daily limit, but it keeps rising. No matter how big the intraday fluctuations are, it can often rebound the next day. For this stock, those who trade according to the so-called short-term logic and continuous limit logic are likely to be harvested in this wave, right?"

"Isn't this exactly me? I sold at the lowest point last Friday, and chased higher at the end of the trading day. I won't sell today no matter what."

"The reason why Oriental Yuhong is so strong is that it has the continuous support of Mr. Su's Fuxing Road seat. But how many stocks like Oriental Yuhong are there in the entire market? Exceptions cannot be regarded as general cases. I think as long as you make money and leave, it is correct to sell or not."

"Well, as long as you make money, it's the right trade."

"I feel that you still need some faith in leading stocks. Without faith in leading stocks, you simply cannot hold on to them. Just like the 'Huawen Online' stock, which hit the floor for five consecutive days last week, there must have been many people who sold their stocks at the floor, or sold their stocks at a big drop this morning. If you don't have faith in leading stocks, can you hold on to them? It's impossible."

"The main force behind the 'Chinese Online' check is indeed powerful."

"The key is to make sure that the stocks you hold are the real leaders of the market. If you buy a fake leader, like Quantong Education and Shouchuang Group, then... If you don't sell after chasing high, you will only be trapped deeper and deeper. I think it is very important to resolutely stop losses when necessary."

"Everyone has their own trading model and trading logic, so there is no need to force them to do anything."

"It depends on the mood. If the mood is good, the tolerance rate is high."

“Is the market sentiment good today?”

"It's definitely good, but the volume has shrunk a bit too much. It seems that there is still no off-market fund group willing to enter the market to do long."

"Today should be a short rest after the chips settle. It seems that the index is unlikely to rise or fall sharply today. The most critical trend... will have to wait until tomorrow. We have to wait for the market to increase volume and choose a direction again to determine whether this round of rebound can continue to move upward and whether it can continue to break through."

"However, although there are some problems with the performance of market volume today, the overall trend of individual stocks is still biased towards the bullish direction."

"Well, it is true that the entire market is still clearly biased towards the long side in terms of the long and short directions."

"There really aren't many surprises in the market this morning. Let's see what happens in the afternoon. In the previous two trading days, the market experienced extreme fluctuations in the afternoon. I wonder if the market will show the same trend as in the previous two days this afternoon."

"That shouldn't happen, right? Every day there are sudden kills and extreme reversals at the end of the trading day. It's really unbearable for my heart."

"Anyway, no matter what the index is like, I just need to hold on to Oriental Yuhong, the leading stock. As long as Mr. Su doesn't sell off Fuxing Road on a large scale, I won't worry at all. If it plummets, I can continue to increase my holdings."

"You are awesome! You dare to increase your position at this level!"

"There is no limit to the leader. Besides, how much has Oriental Yuhong increased so far? I don't believe that such a strong core leader will only increase this much. Look at the leading stocks in various markets created by President Su's Fuxing Road. The room for increase is no less than 3 times."

"The overall trend of 'big infrastructure' is still very stable."

"Indeed, looking at the trends of leading stocks in core industries such as Conch Cement, Poly Real Estate, and Kewan Real Estate, I think as long as these leading stocks in core industries can continue to stabilize, the entire main line, as well as the trend of Oriental Yuhong, will not have any problems in the short term. If there is a drastic adjustment... there is really nothing wrong with increasing holdings."

This is accompanied by heated discussions among many retail investor groups on major stock investment exchange platforms across the Internet.

The one and a half hour break at noon passed in a flash.

Soon, under everyone's attention, 1 o'clock in the afternoon arrived.

As the clock hands passed 1 p.m., the stagnant stock markets in the two cities began to move rapidly again.

After an hour and a half of emotional brewing at noon, with the further fermentation of bullish sentiment, the market just started to beat again. Some core hot concept stocks that have attracted the attention of many investors, as well as a number of leading stocks in hot main line areas, were instantly attacked by the bullish capital group.

So, in the blink of an eye...

Stocks with high market recognition, such as 'Quantong Education', 'LeTV', 'Huawen Media', 'Guangdong Media', 'Oriental Yuhong', 'Capital Group', 'Huaxin Cement', 'Huaxin Building Materials', 'Beijiang Communications Construction', etc., which were hotly discussed at lunch, and have strong retail investors and hot money following suit, have all shown a rapid increase in volume and their share prices have risen in an instant.

However, it is still limited by volume.

This midday emotional feedback lasted only a few minutes before it began to wane again.

At 1:05, a number of core concept stocks that had briefly risen, as well as the corresponding leading stocks, began to slowly fluctuate and fall after the bullish force of followers at the beginning of the session was exhausted.

In the end, except for a few one or two stocks that maintained their upward trend, they stabilized at relatively high levels during the trading session.

The rest of the stocks all experienced pulse-like market fluctuations. (End of this chapter)