Rebirth of the Capital Legend

And this was all under the intense scrutiny of countless investors both inside and outside the market.

In the final ten minutes of trading, the "emerging industrial chain" sector, along with related industry sectors, concept stocks, and leading stocks in those sectors, not only failed to rebound but instead accelerated their decline. Meanwhile, the "major infrastructure" sector, along with related concept stocks and industry leaders, showed increasing strength, highlighting a growing market divergence.

At 2:51 PM, Huace Film & TV hit its daily limit down.

At 2:52 PM, the share price of 'Huawen Media' fell by 9%, approaching the daily limit down. At the same time, the share prices of 'LeTV,' 'Quantong Education,' and 'Wanda Films' also fell further to 7%. Furthermore, the share price of 'Huawen Online' fell from its intraday high of the daily limit up to near the flat line.

At 2:53 PM, 'Huawen Media' hit its daily limit down, experiencing a drastic "sky-to-earth" reversal. At the same moment, the indices for film and television media, internet software, and internet applications also rapidly expanded their losses to 3.35%.

At 2:54 PM, the stock price of 'Huawen Online' further plummeted to a 2% drop, falling nearly 13 points from its intraday high, continuing to wipe out all the bullish funds that had been buying the stock that day.

At 2:55 PM, more than 10 stocks in the "major infrastructure" sector hit their daily limit, including several previously popular stocks such as Huaxin Cement, Shougang Group, Tianshan Cement, Beijiang Jiaojian, and Shenhuo Shares.

At 2:56 PM, Oriental Yuhong, a core leading stock in the "major infrastructure" theme, began a concentrated surge in trading volume and a violent price increase, jumping from nearly 4% to 7%. At the same time, the real estate development sector, construction decoration sector, and building materials sector all saw intraday gains exceeding 2%, taking the lead among a wide range of sectors in the two markets.

At 2:57 PM, in the final moments before the Shenzhen Stock Exchange's individual stocks entered the pre-market auction, 'Huawen Media' completely hit its daily limit down, while 'Huawen Online' also fell further to 4.23%. Similarly, at the same time, 'Oriental Yuhong' quickly surged to a gain of 8.11%.

Finally, at 3 p.m., the two stock exchanges came to a close.

The Shanghai Composite Index closed down 0.32%, the Shenzhen Component Index closed down 0.62%, while the ChiNext Index fell sharply by 2.11%.

In addition to the three core indices.

The A50 index barely closed in positive territory, ending with a gain of 0.09%.

The Huazheng 500 Index and the All-China 1000 Index both stopped down around 2%.

In terms of the closing situation, small and mid-cap stocks in both markets suffered heavy losses today, with extremely large intraday fluctuations, while heavyweight stocks had smaller fluctuations and more stable trends.

In particular, the trends of the two main themes are "major infrastructure" and "emerging industrial chains".

The divergence between the two can be described as extremely severe.

Sectors related to the "major infrastructure" theme, including real estate development, construction and decoration, building materials, non-ferrous metals, steel, and coal, all closed in positive territory, with gains ranging from 0.5% to 2.5%. Meanwhile, sectors related to the "emerging industrial chains" theme, such as film and television media, internet software, internet applications, electronic information, mobile phone industry chain, and new energy industry chain, all closed lower, with declines ranging from 0.89% to 3.25%.

Besides the index, there's also the performance of related themes...

The performance of popular stocks in the market has also shown a serious divergence.

In the "emerging industrial chain" sector, many popular concept stocks that were previously highly active in speculative trading and followed the trend by short-term investors have experienced significant losses today. Among them, stocks such as "Huawen Online," "Huawen Media," "Yue Media," "Huace Film & Television," and "Quantong Education" all saw intraday price fluctuations exceeding 10%. If any funds that followed the trend entered at the intraday high, their intraday losses have already exceeded 10%.

Meanwhile, in the "major infrastructure" sector, some popular concept stocks that had been undergoing continuous adjustments in the previous days, which had received high market attention and recognition, have regained favor from many short-term speculative funds today, and have rebounded sharply.

Among them, stocks such as 'Huaxin Cement', 'Shougang Group', and 'Beijiang Jiaojian' also experienced intraday fluctuations of over 10%. If funds bought in at the intraday lows of these stocks during this trend, the intraday profit would have exceeded 10%.

In summary, based on the closing results of the two stock exchanges.

It can be seen that although the core indices did not fall significantly, especially the Shanghai Composite Index, the overall market losses were not low.

In the final closing of the two markets, out of nearly 3000 stocks, only about 500 closed in positive territory, while the remaining 2300 stocks all declined. Moreover, the number of stocks with a decline of more than 2% exceeded 1800.

In other words, the average decline in individual stocks in both markets was actually greater than 2%.

This is somewhat different from the performance of the Shanghai Composite Index.

"Oh dear, this closing situation is really terrible. The index didn't fall much, but my losses on my positions are huge."

The moment the market officially settled, amidst the attention of countless people, among the numerous retail investors gathered on various online stock investment exchange platforms, someone sighed helplessly.

"The 'emerging industrial chain' line has completely exploded. I really didn't expect that 'Huawen Media' stock would end up with a limit-up to limit-down move. Is it really that ruthless? Damn it, I even bought in near the limit-up price in the morning. What am I going to do? I lost 20% in one day."

"I also bought 'Huawen Online' at the morning high. Although it didn't hit the daily limit down at the close, its price movement is practically the same as hitting the limit down from the ceiling. I think 'Huawen Online' and 'Huawen Media' will most likely open at the daily limit down tomorrow, right?"

"Yeah, it's unbelievable, why did they smash it so hard?"

"Who knows? The market was doing fine in the morning, but it suddenly crashed in the afternoon."

"Can someone tell me, what exactly went wrong with buying 'Huawen Online' today? Given its early morning price action, wasn't 'Huawen Online' already exceeding expectations? Why didn't it perform as expected? And this afternoon... who was dumping shares?!"

"There was clearly no negative news in the market, so why did it suddenly turn into this weird situation at the end of the trading day?"

"It wasn't a matter of whether the news was positive or negative; the main reason for the collapse was the concentrated selling by those who had taken profits earlier."

"It doesn't feel like it's entirely a problem of profit-taking. The profit-taking selling was actually absorbed by the turnover in the early morning session."

"We'll find out by checking the Dragon and Tiger List later. Who sold today? We can just blacklist those accounts."

"Sigh, I don't blame anyone but myself for being too greedy. In the morning session, when I saw that 'Huawen Online' didn't open at the daily limit up, I thought it was lower than expected and sold it. But then... after the market officially opened, the buying was very active, and I bought back the shares I sold near the daily limit up. As a result, when I saw the trend was not right this afternoon, I couldn't sell them even if I wanted to. I really want to slap myself now. Why did I buy them back after I sold them?"

"I'm so angry! In the early morning session, I sold 'Huaxin Cement' at a loss and then chased 'Huawen Online.' One stock almost went from limit down to limit up, and the other almost went from limit up to limit down. That's a 30-point swing! What the hell was I thinking?" "It's like heaven and hell in an instant. I'll have to write off the losses tomorrow."

"I really don't understand the trend of the 'emerging industrial chain' theme today. Why is it being dumped like this?"

"The 'major infrastructure' sector has already priced in expectations at this level. I really don't understand why funds are still flocking to speculate at this point?"

"There must have been quite a few people who lost money today, right?"

"The index didn't fall much, but individual stocks generally plummeted. Do you think a lot of people lost money?"

"The Shanghai Composite Index's performance is simply insulting. What's the point of it stabilizing at this level today?"

"The A50 index even closed in the green, can't you believe it?"

"It's infuriating! The stock 'Oriental Yuhong' is still performing so strongly and continuing to rise. It truly lives up to its reputation as the leading stock in both markets!"

"Yes, this check is really impressive."

"In the past two months, it has been the only core concept leader that has not misled people. No matter where you enter, you can basically make money and leave in the end."

"President Su's 'Revival Road' strategy is truly amazing. The stocks he uncovered are the most resilient stocks in the market."

“True leaders never trap others. You previously said that ‘Huawen Online’ had dethroned ‘Oriental Yuhong’ and become the new market leader in terms of concept stocks. I expressed my doubts at the time, but now it seems… the leader is still the leader. ‘Oriental Yuhong’s’ leading position in both Shanghai and Shenzhen stock exchanges is something that no other stock can compete with. Unless Mr. Su’s ‘Fuxing Road’ strategy clearly exits from this stock, there are currently no signs of it topping out. It will most likely continue to rise as the ‘major infrastructure’ theme recovers.”

"The stock with the best performance today should still be 'Huaxin Cement', right?"

"Absolutely! Judging from the morning's trading of 'Huaxin Cement,' no one could have imagined that it would become the leading stock in the market today!"

Who could have predicted this afternoon's market movement?

"Could it be that there are some major policy benefits for the real estate market?"

"Probably not. The current housing market is already showing signs of overheating, and I don't think the policies would add fuel to the fire at this time."

"The afternoon's sharp drop was likely caused by short-term funds adjusting their portfolios, and there probably wasn't any news-related influence."

"That's not necessarily true. Look at the Hong Kong stock market; mainland property stocks are all soaring!"

"Housing prices are still rising, and real estate stocks are continuing to rise as well. Doesn't that make sense?"

"Is that so? I don't think it's that simple."

"In short, I think that no matter what the reason, following the main market funds is always the right thing to do. Since the market has rebounded towards the 'major infrastructure' theme, we should stop the losses on the 'emerging industrial chain' stocks we chased today and continue to chase the core leaders of the 'major infrastructure' theme. We can make up for today's losses tomorrow. If we keep hesitating, I think it will disrupt our rhythm."

"The concern is that the sustainability of the 'major infrastructure' sector may not be good tomorrow."

"Probably not. Looking at the adjustment trend of the 'major infrastructure' theme, even if there is an adjustment, it will be much gentler than that of the 'emerging industrial chain' theme."

"As expected, there's no point in having high hopes for the 'film and television media' sector. The stock 'Quantong Education' previously followed a very straight up-and-down trend. It seems unlikely that the short-term leading stocks that crashed today will reach new highs. Tomorrow, a large amount of funds chasing the 'emerging industry chain' sector will probably cut their losses."

"Yes, judging from today's closing situation, the trend of the 'emerging industrial chain' sector will probably be even worse than today when the market opens tomorrow."

"What can we do? We have to cut our losses, otherwise we'll be stuck with them forever."

"Sigh, I still shouldn't go to crowded places. I felt that the hype surrounding the 'emerging industrial chain' sector was a bit too overheated, but I still couldn't resist chasing the high prices."

"Human weaknesses are extremely difficult to overcome."

"What if 'Huawen Online' stock opens at its daily limit down tomorrow? I feel like it's highly likely to open at the daily limit down!"

"What can we do? If we can't sell it after it hits the daily limit down, then we don't have to sell it."

"That's right. This stock has already retraced by about 15% today. If it opens at the daily limit down again tomorrow, it will have retraced by about 27%. There's not much point in selling it then. It's better to hold onto the funds that are waiting for the rebound and sell after a short-term rebound. Maybe that way you can minimize your losses."

"The stock 'Huawen Online' is highly popular in the market and has good brand recognition. I estimate that even if it opens at the daily limit down tomorrow, there will definitely be funds buying it up during the trading session, and it will most likely be able to be sold. I think the stock that should be most worried is 'Huawen Media'. The logic behind the rise of this stock is that it is a follower of 'Huawen Online'. Now that the leader has fallen, this stock lacks market recognition and popularity. Once it opens at the daily limit down, it may be truly finished."

"Indeed, sigh... It's really terrible. Let's take a look at the post-market trading data. Hopefully, the speculative funds that entered these stocks earlier haven't completely left yet."

"There must still be some who haven't left the market. Anyway, I don't believe that such a large volume today was all bought by retail investors."

After the market closed, there was a great deal of heated discussion among countless investors, as well as constant complaints and grievances from many investors who had suffered significant losses during the day.

Time flies when you're in the market.

Soon, amidst everyone's anticipation, 5 PM arrived, and the stock exchange's daily trading rankings were updated on time. (End of Chapter)