Rebirth of the Capital Legend

"The strong closing at the opening opened up new opportunities for consecutive gains. The trend of 'Huawen Online' is indeed beyond expectations. If there is a fourth, there must be a fifth. I feel that there is a high probability that a large amount of funds will take over and buy this stock tomorrow." Hearing Lao Zhang's laughter, Xu Qiao responded, "Moreover, today's 'Huawen Online' stock has brought up the entire film and television media, Internet software, and Internet application sectors, and many other second and third dragon stocks have followed suit.

In other words, under the direct influence of this check...

The film and television media, Internet software, and Internet application sectors, which showed obvious divergence yesterday, have now turned to consistency again. Judging from the market performance in the first ten minutes of the session, various active short-term capital groups in the market are also continuing to flow into these three major sectors.

I would say that according to the K-line pattern trend, the market trends of these three major sectors are most likely not yet completed.

Looking at it now, it can be regarded as a verification of the original predictions and conjectures.

However, the check of 'Huawen Online' closed too quickly, and today's trading volume is actually shrinking, which shows strong consistent expectations.

This will also cause the profit-taking chips inside the check to accumulate in large quantities in an instant.

That is to say, next time, once the sentiment of the check market turns to the divergence stage, it may be difficult to take over this level of profit-taking selling pressure. "

"That's a matter for the future." Old Zhang continued with a smile, "At least according to the trend of this check at the beginning of today's trading, it is highly likely that it will be greatly overvalued tomorrow, or even continue to rise to the daily limit. As long as this is a high probability event, then those who rush to buy in at the beginning of today's trading will most likely make money.

Although I am still optimistic that the 'Chinese Online' stock will continue to perform well and continue to open up short-term upward market space.

However, in terms of the expected profit of the chips...

I would be satisfied if I could make a 10% profit.

Therefore, for the time being, there is no need to look too far ahead as to the subsequent market conditions of this check. Just take one step at a time and wait and see.

Looking at the market's monster stocks in the past, in fact, the doubling or several-fold increase in these stocks was not achieved overnight. They were all achieved through constant game of funds, constant consensus and disagreement, and finally emerged as monster stocks. In other words...only when they emerge as monster stocks, they are considered monster stocks.

How will the market develop? How high will the "Chinese Online" check go in the future?

Before it comes out, everyone is just guessing.

Everything depends on the final combined force of various short-term capital groups in the market, and what we can do is to observe the combined force.

The buying funds are strong and you have the first-mover advantage, so just hold on.

The buying force is not strong, the divergence of the market trend is amplified again, or the selling pressure of profit-taking is too great, and the upward pressure on the stock price is too heavy. Then it will be enough to stop the profit at the right time. I don’t have any idea of ​​holding this check for a long time anyway. "

"Yes, just follow the market sentiment in the short term." Lao Zhang said, "At present, the long sentiment of 'Huawen Online' has not yet entered a state of decline, but is in an accelerating trend. As long as the market sentiment is still increasing and the desire for funds to go long is still increasing, we should be actively bullish. This is not the time to consider risks. Moreover, after the market trend performance in the first ten minutes of the session, the three major sectors of film and television media, Internet software, and Internet applications seem to have the right time, place, and people."

"Brother Chen, what you mean is that... in the main line of 'big infrastructure', there are also sectors such as medicine, consumption, electricity, finance, liquor, and white goods that are currently in a state of small fluctuations and adjustments. Other active capital flows in the market, or some wait-and-see capital groups outside the market that perceive that the market's internal bullish sentiment is still accelerating, will further accelerate the flow into the film and television media, Internet software, and Internet application sectors, as well as the core hot stocks of the corresponding concept sectors?" Lao Zhang thought for a while, took over and continued, "From this direction and logic, the film and television media, Internet software, and Internet application sectors do have the right time, place, and people today. It seems that... the 'emerging industrial chain' line is likely to be strongly squeezed out today."

"From the perspective of capital flow, the sectors of film and television media, Internet software, and Internet applications are indeed showing an accelerating trend." Xu Qiao paused and said, "But the incremental off-market funds are still not obvious at present, right? The volume in the first 15 minutes of trading did not increase. The entire 'emerging industrial chain' main line area did increase in volume, but at the same time, the 'big infrastructure' main line, as well as the main lines of market consumption, medicine, electricity, and finance, have shrunk in volume. It can be said that the incremental funds in the 'emerging industrial chain' main line mainly come from the 'big infrastructure' main line and the corresponding weighted main line fund adjustments.

I think that until the overall market volume reaches 6000 billion, it cannot be called an incremental market.

Judging from the market trends and the involvement of major funds in the main line of "emerging industrial chain", the enthusiasm and strength of related industry sectors.

I believe that the current overall market situation is still one of main line rotation.

Since the market is still in the main rotation pattern, our expectations for the trends of corresponding stocks and related sectors cannot be too high. "

"I agree with Xiao Xu's point of view." Old Wu, who had been thinking for a while, took over the conversation and said, "In the overall environment where the market has not yet gotten rid of the stock game, expectations cannot be too high. In fact, looking at the market trend, the weak adjustment of the main line of "big infrastructure" and the failure of the main weighted sectors such as liquor, white appliances, medicine, consumption, electricity, and finance to further break through have still had a significant impact on the market.

Moreover, looking at the flow of funds on the market, there are still not many main funds that actually flow into the small and medium-sized and micro-cap stocks. At present, most of the funds that are truly focused on the main sectors such as film and television media, Internet software, Internet applications, consumer electronics, and new energy industry chains are just for short-term speculation by taking advantage of the market's short-term bullish sentiment.

Different expectations and different nature of capital participation will naturally determine different market trends.

In my opinion, the sustainability and high potential of the current market hotspots such as Internet applications, Internet software, film and television media, etc., which tend to be small and medium-sized and micro-cap concept stocks, and their related hot stocks, are still questionable.

Moreover, the Internet software, Internet applications, and film and television media sectors performed so strongly at the beginning of the trading session today, all thanks to the unexpected market conditions created by the "Huawen Online" check, that is, all thanks to the short-term speculation sentiment of the market, and not supported by any other rigid logic.

In a market like this that is purely supported by emotions, there is often a lot of uncertainty.

It is possible that a piece of news that is biased towards being unfavorable will destroy the entire main market trend.

During this period, these major sectors have been so entangled in the oversold rebound trend, with an unsmooth movement, large fluctuations and differences, which is also due to the lack of real underlying logic and the lack of core main funds to lock up positions.

Also... the 'big infrastructure' line is actually a weather vane for the entire market trend.

Since this core main line has stopped at the current position for adjustment, how can other main lines break away from this main line and continue to rise?

Of course, there may be fluctuations in the overall market trend.

However, in terms of individual stock market, it is normal for one or two stocks to rise consecutively, and at present, the check of 'Huawen Online' does have the potential to become a monster stock."

"The overall market trend will definitely fluctuate," said Lao Zhang, "but considering the K-line trends of the ChiNext, CSI 500 Index, and the All-China Securities 1000 Index, which are biased towards small and medium-sized stocks, it seems a bit inappropriate to be bearish.

Generally speaking, at this position, it is not advisable to hold a heavy position, but it is not advisable to hold a light position either. It is best to maintain a half position.

And short-term trading...

In the current market, apart from Oriental Yuhong, the core leading stock of the "big infrastructure" main line that the Su brothers have heavily invested in, there should be no other hot stock with a trend certainty that is as strong as the "Huawen Online" check, right? So, in the short-term trading mode, if you don't buy the "Huawen Online" check, what should you buy? "

"Old Wu's worries are not without reason." Brother Chen took over and said, "It's just that the market sentiment is hot at the moment. According to the inertia of the hype trend, the sentiment will definitely not subside so quickly. We can follow the inertia of the development of the trend and do it accordingly. It's completely possible."

As the group continued to talk and discuss...

The market trading time has already passed 10 o'clock in the morning, and after the fierce trading in the first half hour.

On the market, the film and television media, Internet software, and Internet application sectors have firmly occupied the top three places in the growth list of the two cities' industry sectors, up 2.89%, 2.81%, and 2.73% respectively. The real estate, building decoration, building materials, nonferrous metals, steel, and coal sectors related to the "big infrastructure" main line, as well as the liquor, white goods, pharmaceuticals, consumption, electricity, finance and other sectors in the weighted main line areas, as well as the consumer electronics and new energy industry chain main line sectors that were strong yesterday but weak in the early trading, basically all underperformed the overall market index, and either showed a small red trend, or had opened high and dived into the green.

In terms of concept sectors, 'online education' driven by 'Huawen Online' maintained its leading trend, with the entire concept sector index rising by 3.67%. Among them, the related core hot concept stocks, except for 'Huawen Online' which continued to hit the daily limit.

The stocks of 'QuanTong Education', 'Ciwen Media', 'LeTV', etc., all rose by more than 5%.

Of course, in addition to these main sectors or hot stock areas that have received much attention from market investors, there are also other sectors and concept stock areas.

Today, the restructuring concept and the 'oversold rebound' related concept sectors also performed very well.

And in the continued trend of market conditions...

The overall style of the two markets is that the Shanghai Composite Index and the A50 Index remain flat and volatile, or decline slightly with reduced volume, while the ChiNext Index, the CSI 500 Index and the CSI 1000 Index continue to strengthen and rise.

"It feels like the main line of weight and the main line of large infrastructure have been weak in upward attack and have fallen into a shrinking adjustment. The main hot spot rotation direction of the market has been concentrated on the field of small and medium-sized stocks and micro-cap stocks." At 10:10 in the morning, feeling that the market trend is still centered around the speculation of small and medium-sized stocks, Zhao Qiang, who is in the main hot money group of "Yuhang Group", pondered for a while and couldn't help asking in the group, "Is it true that the overall investment style of the market is really starting to change? This is the first few days that the trend of small and medium-sized stocks, micro-cap stocks, and the trend of the ChiNext Index have been generally stronger than the Shanghai Composite Index, right? And today, the check of "Huawen Online" has such a strong momentum that it directly hit the height of four consecutive boards within one minute at the beginning of the trading. It feels like a big signal of a style shift!"

"Looking at the performance of the various industry sector indices and the performance of individual stocks in the market, it seems to be the case." Lao Qian in the group took over and said, "The recent rise of the Shanghai Composite Index is indeed a bit weak, but the ChiNext Index, Shenzhen Composite Index, China Securities 500 Index, and All Securities 1000 Index are very resilient."

"It's still the logic of 'oversold rebound'." Sun Chengyu pondered for a while and took over the conversation, "I feel that the market is still speculating on the logic of 'oversold rebound', but before that, the small and medium-sized stocks and micro-cap stocks did fall too sharply, so once the overall market sentiment generally warms up and shows sustainability, the rebound space and elasticity space of these stocks will soon be played out."

"Is it still the logic of 'oversold rebound'?" Zhao Qiang was a little skeptical. He paused and said, "The sustainability of 'oversold rebound' doesn't seem to be that strong, right?"

"In addition to this logic, based on the current fundamentals of the film and television media, Internet software, and Internet applications sectors, are there any other underlying logical explanations?" Sun Chengyu said, "Moreover, except for a few core leading stocks in the consumer electronics field, there are no major institutional funds participating in the entire 'emerging industrial chain' main line. If there is an underlying logic drive, will these institutions with information channel advantages not make any moves? I think it is okay to participate appropriately in the oversold rebound stocks of small and medium-sized stocks, as long as you don't get too excited."

"Looking at the market trend, the 'Huawen Online' check has come out. Didn't Brother Sun make any arrangements?" Zhao Qiang asked, "It feels like this check is going crazy, and it has driven a large number of other stocks today. In the first few minutes of the trading session, especially during the call auction stage, the performance of the film and television media, Internet software, and Internet application sector indexes, as well as the performance of the corresponding hot stocks and industry leading stocks, were actually not very good. As a result, after the 'Huawen Online' check hit the daily limit at the beginning of the trading session, all of them were driven up. From this aspect... the 'Huawen Online' check should still have a premium."

"I don't have any position on this check at all." Sun Chengyu responded, "One should not be too greedy. I am more optimistic about the check of 'Oriental Yuhong', the entire 'big infrastructure' main line, and the check of 'Oriental Yuhong'. Although it is a little slower, the underlying logic is obviously more stable and the certainty is higher. I think that when the overall market volume has not improved significantly, the enthusiasm for short-term speculation has not been fully played out, and there is no large-scale entry of off-site funds, it is better to embrace the core main line and find certainty. At this time, I personally think that it is not appropriate to abandon certainty and choose flexibility." (End of this chapter)