Starting with a fully invested A-share portfolio to become a capital...

Chapter 102 Jianghu Bounty Order

Just as Xu Xiang was furious and slamming his fist on the table to vent his anger, Zhang Yang responded by giving him all of his remaining Rhine Biologics holdings, totaling 3.45 shares.

[Stock Anomaly Alert]: Rhine Biologics has seen a super sell order, amounting to 131 million.

Since the price limit was broken, the last 3.45 shares were sold at a price of 38 yuan, but it can still be considered a successful escape from the peak.

Rhine Biologics initially purchased 12.45 shares at a price of 24.08 yuan, with a total investment cost of 299.79 million yuan.

Now all shares have been sold off. 9 shares were sold at 39.17 yuan, for a total value of 352.53 million yuan, and another 3.45 shares were sold at 38 yuan, for a total value of 131.1 million yuan.

This means that the total value of selling 12.45 shares of Rhine Biologics was 483.63 million yuan, and Zhang Yang made a profit of 183.84 million yuan. After deducting transaction tax, the 183 million yuan was real.

As for Jianfeng Group, Zhang Yang has 53.59 shares with a cost price of 5.34 yuan and another 21.77 shares with a cost price of 5.97 yuan.

The 53.59 shares represent our initial investment; the stock was purchased last week.

The 217,700 shares were bought back after the 200,000 shares of Jianfeng Group were sold on May 11, which is equivalent to making a profit by reversing the trend.

As the stock price of Jianfeng Group opened at the daily limit on Wednesday, May 13, it reached 7.755 yuan.

This means that the 53.59 shares purchased at a cost of 5.34 yuan yielded a profit of 129.41 yuan, and the 21.77 shares purchased at 5.97 yuan yielded a profit of 38.86 yuan, for a total profit of 168.27 yuan.

If Zhang Yang chooses to liquidate all his holdings at this point, he can leave Hongyue Investment with 138 million yuan in leveraged margin and 351 million yuan in profit, totaling 489 million yuan, from Rhine Biotech's 183 million yuan plus Jianfeng Group's 168 million yuan.

From April 23rd, when Zhang Yang and Tao Yuang came to Hongyue Investment for leveraged financing, to now, May 13th, it has been exactly 20 days.

Earning 351 million in 20 days – that's the profit from 5x leverage!

Leverage is a financial instrument that can amplify your principal for speculation, but it is also a "devil's contract" that can cause you to lose everything and even commit suicide in no time!
Only by skillfully using financial instruments can one thrive in the capital market.

……

Just after Zhang Yang sold his last batch of Rhine Biologics shares at 38 yuan, the classic "one-word death knives" pattern appeared on Rhine Biologics' intraday chart.

The original limit-up price of 39.17 yuan was pushed down to the limit-down price in less than 30 seconds by more than 40 sell orders.

All existing buy orders were executed. At 9:38, the order volume reached a record high of 10.4 lots, and the turnover rate of the stock was close to 16%.

Countless retail investors gasped in shock as they watched the "I"-shaped plunge.

[Tranquility Leads to Far-Reaching Vision]: The One-Word Soul-Severing Blade has appeared at Rhine Biologics. Goodness, how many retail investors will be left hanging at the top of the mountain?

[Wild Man from the Mountains]: Lin Bei, I didn't run away! Xu Xiang, you son of a bitch! Let me out! Let me out! Aaaaaah!

[Thunder God Face Monk]: I had only heard of the legend of the One-Word Soul-Severing Blade before, but I never expected to witness this scene with my own eyes after only half a month in the market. My condolences to the retail investors at the top.

[War God Little Sugar]: I don't understand, so I'm asking: Can you really sell off your shares when the price hits the daily limit down?

People's joys and sorrows are not shared. Retail investors who haven't boarded the train are watching the show and chatting, while those who are already on the train are crying and begging Xu Xiang to release them.

However, once the "One-Word Soul-Severing Blade" is unleashed, it becomes virtually impossible for retail investors to escape.

The 40 lots of sell orders are like a cage. Until the cage is broken, retail investors can only pray that funds will come to take over.

Retail investors who were initially relieved to have bought in at a 10% premium are now essentially suffering two consecutive limit-down days. Even those with some initial profits are not faring much better, having had their profits wiped out from a single limit-up day.

The sudden plunge in Rhine Biologics' stock price has also attracted the attention of speculative investors.

Liao Guopei, far away in Chancheng, stared in shock at the intraday chart that looked like a plane crash, and blurted out the classic Chinese phrase: "Damn it, it's crashing straight down. Are retail investors going to have to swallow their shovels this time?"

With nearly 40 lots locked at the limit up, if Rhine Biologics doesn't have enough buying support, it might stay locked at the limit up for several trading days.

What is a lock plate?

To put it bluntly, it opened at the daily limit down!

Currently, Rhine Biologics' stock price is 32.37 yuan, which has already touched the profit line of some speculative retail investors.

If the stock cannot be sold off today, it will open at the limit-down price of 29.13 yuan tomorrow. If Rhine Biologics has not fully absorbed the shares, it will open at 26.22 yuan the day after tomorrow.

This is similar to a clearance sale; the price of 39.17 yuan has collapsed, so it's being sold for 32.37 yuan.

You don't want it for 32.37 yuan?

Then sell it for 29.13 yuan!

They still can't sell it for 29.13 yuan?

The price continues to fall below 26.22 yuan!
If they still can't sell, the price will keep opening at the daily limit down. Under this trend, retail investors who are trapped basically can't escape because speculative funds have VIP trading channels and can trade more quickly.

This is also the terrifying aspect of the "One-Word Soul-Severing Blade"—it doesn't just be "one word" for one day, but for several trading days until Xu Xiang has sold all his stock.

Xu Xiang, Ma Xinqi, Sun Guodong and others built their positions before April 27th. They had 12 consecutive limit-up days with profits as a base. After deducting other miscellaneous costs, as long as they had 6 consecutive limit-up days with profits, they would still be making a profit.

Do retail investors have that many profits to back them up?
Apparently not.

Speculative retail investors often get on board midway through the journey, and it's considered good if they can make a profit of 5 consecutive limit-up days. Some even have no profit at all and are left hanging at the top.

……

In the VIP room of China Merchants Securities branch on Hongling Middle Road in Shenzhen.

Wearing a green plaid short-sleeved shirt and a pair of dull black-rimmed glasses, Chen Sanrong, who looked like a programmer, stared at Rhine Biologics' stock price plummeting to its daily limit with an extremely complicated expression.

He vaguely remembered that two or three weeks ago, Zhang Yang used the private message function of Baidu Tieba to ask him to "intercept the dragon," wanting to replace Rhine Biologics' leading position with Jianfeng Group.

Chen Sanrong at the time, and even now, finds it hard to believe that the little-known Jianfeng Group could replace Rhine Biologics as the leading company in shikimic acid.

After all, the person controlling Rhine Biologics is Xu Xiang, the head of the company who has 50 billion yuan in funds and is currently transitioning to a private equity firm.

Zhang Yang, a retail investor who isn't even considered a speculative investor and whose capital is less than 500 million yuan, actually set his sights on the leading stock of Rhine Biologics. Chen Sanrong thought this idiot had gone mad and should be locked up in a mental hospital.

But now?

Jianfeng Group has become a new leader in shikimic acid, recognized by institutions, speculative funds, and retail investors.

With only speculative investors like Xu Xiang and Sun Guodong still active in Rhine Biologics, they had no choice but to cash out their profits.

Who exactly is the Joker?

Chen Sanrong gazed at the "I" timeline and murmured.

Now, he has to re-examine Zhang Yang's identity.

He discovered that this "joker," aside from lacking sufficient funds, possessed far superior strategic vision and trading skills compared to himself.

After careful consideration, Chen Sanrong shamelessly sent Zhang Yang a private message on Baidu Tieba and re-registered for the research report group on QQ that he once thought was a scam.

Not only Chen Sanrong and Liao Guopei, but also many speculative investors, who knew about "joker's" delusional fantasies after the screenshots of "Snatching the Dragon" went viral, flocked to Baidu Tieba to comment on the latest post.

[Nanyang Battle Song]: Awesome, brother! Jianfeng Group really crushed Rhine Biologics. Is this top-notch prediction?
[Beihai Road Small Investor]: I came here because of its reputation. Putting everything else aside, Joker's stock picking is really amazing. Who would have thought that behind the Jianfeng Group cement company, there is a hidden subsidiary pharmaceutical company.

[Night Moon God]: Half a month ago, when I saw the ID "joker", I probably would have said "idiot". Now that I see this ID, I'm truly impressed. Xu Xiang probably hates you to death, haha.

The fates of these speculative investors attracted a large number of retail investors. Zhang Yang's Baidu Tieba account quickly amassed 2700 followers, and the number of people applying to join the discussion group continued to rise, as everyone wanted to see who this "joker" really was.

……

And on the other side.

The stock forum section of Eastmoney.com.

Many small bloggers who enjoy speculation and love researching various "trading strategies" started analyzing Rhine Biologics as its stock price began to plummet.

[Brother Liang Talks Stocks]: Last time I just mentioned the first negative day strategy. Now Rhine Biologics has hit the daily limit down, which is very likely a shakeout, because an upward trend needs to shake out retail investors. This may be the darkness before dawn.

[Mountain Research Stocks]: I have already bought 10 shares of Rhine Biologics. To be honest, the reshuffling effect is very obvious. It's like playing basketball, where there are countless NBA players who use a step-back fake shot to shake out weak hands!

[Teacher Cat]: Once the weak hands are shaken out, Rhine Biologics may become the most amazing speculative stock this year. Let's wait and see!
In the capital market, there is never a shortage of retail investors who try to speculate and take shortcuts.

Even if the China Securities Regulatory Commission (CSRC) intervenes and confirms that a listed company has committed serious financial fraud and is about to be delisted, some retail investors who like to speculate will still buy and hold shares.

Why is this happening?

This is human nature!
Gambling is one of the easiest ways to get hooked and addicted.

Some stocks that have been delisted from the Third Board may rise hundreds or even thousands of times after they are relisted. Therefore, many speculative retail investors will buy a few lots to try their luck when they see that a listed company is about to be delisted, but they often lose all their money.

It is precisely because there are a large number of speculative retail investors in the A-share market that Xu Xiang was able to unload his shares at the daily limit down.

However, Xu Xiang's face was rather pale at this moment, and his eyes were undisguisedly cold.

"The buying power is severely insufficient; the number of shares absorbed per minute is less than 100 lots," Sun Guodong said with a worried expression.

"Only 60 moves left."

Someone immediately corrected it.

Previously, when using the "one-word soul-severing knife" method to sell their goods, they would sell when the market was attracting the most attention and was at its hottest.

Because of the high market demand, the capacity to absorb the demand will also increase accordingly.

However, the rise of the Peak Group and the exit of institutional investors and top speculative funds caused Rhine Biologics to completely lose its popularity.

In this situation, Xu Xiang, Sun Guodong, and others were thinking of selling at the daily limit up, not at the daily limit down.

However, the four consecutive "abnormal fund movements" made their secretive selling of shares known to everyone. It can be said that their blatant selling disrupted the selling rhythm of Xu Xiang and others.

"This can't go on. How long will it take to sell 40 lots?"

"Retail investors have all rushed to Jianfeng Group, and there's no money left to take over!"

"Is this going to result in a failed shipment?"

The Ningbo suicide squad was filled with anxiety and worry. They had planned to go on a trip to Thailand after this heist, but now, not only Thailand, but even their trip within the province might be canceled.

Sun Guodong stood up, took out two cigarettes and handed them to Xu Xiang, then said, "The market is too weak. Either we push it to the daily limit tomorrow to lure retail investors into buying, or we find institutional investors to take over."

Having been a speculative investor for so long, he has a thorough understanding of the psychology of retail investors.

There are definitely a lot of retail investors who think that Rhine Biologics is shaking out weak hands, and that if it hits the daily limit up tomorrow, they will likely be lured in and killed.

Of course.

This also carries risks.

The concern is that there might be more retail investors rushing in tomorrow than those cutting their losses and running away, which could lead to a failure to sell off the shares.

The second option is to find an institution to take over the investment, which is relatively stable, since the fund investors don't know that their money is being used by the fund manager to take over the investment.

However, this method also has drawbacks, namely, it requires offering concessions.

They've been working so hard for so long, they probably have to give up most of their profits.

If it weren't for a last resort, they would absolutely not allow public funds to take over the investment.

Xu Xiang took the cigarette offered to him and put the cigarette butt in his mouth.

"pat-"

The cigarette is lit.

He took a deep breath, and a large amount of nicotine instantly entered his lungs, but at the same time it calmed him down.

"First, sell off the shares at the daily limit down for a few days. If you still can't sell them, then I'll find a mutual fund. Also, you should inform the Chancheng Shadowless Kick to change his trading seat every three days."

Xu Xiang was truly furious.

They had been paying attention to it since March, and after working hard for more than a month, the concept of shikimic acid, which they had finally managed to hype up, ended up being reaped by someone else.

He didn't know who had just dumped the shares, but he knew Liao Guopei and Xu Xiang.

Without Liao Guopei, Rhine Biologics would not be in such a passive position.

"I'll message him in a bit."

Sun Guodong nodded in agreement.

"I'm going out to take care of some things. You and Brother Ma can manage things here."

"no problem."

After Xu Xiang left, Sun Guodong opened QQ and openly tagged Liao Guopei in a speculative trading group.

[Social Brother Sun]: @ZenChengShadowlessKick, it's one thing to like grabbing concepts, but you even come to disrupt the unloading process. Well then, you're not allowed to play anymore. From today onwards, anyone with information about Shadowless Kick stocks can contact me. There's a reward!
"call out--"

The message is sent.

Less than half a second later, the group of speculative investors exploded with excitement.

[Jumping Off Building Guy]: Is this a bounty?
[Jianghu Wild Man]: It's obvious that Shadowless Kick has pushed the Ningbo Gang to the brink. Could it be that their shipment failed?

[Stock Trading to Support the Family]: Is this guy insane? Is he playing the game of "Jianghu Kill Order"?
[Dark Knight]: How much money do you have?
When someone asked about the price, Sun Guodong didn't mince words and typed, "No less than six figures, depending on the situation."

Liao Guopei, who was far away in Chancheng, naturally saw the group message. When he saw the content, he was on the verge of tears and said, "It wasn't me who sold the abnormal transaction order. Isn't this bullying an honest person?"

Suddenly, he thought of something and sent a message to Zhang Yang to ask him about it.

[Zen City Shadowless Kick]: Brother Joker, it wasn't you who sold the Rhine Biological abnormality order, was it?
Not a moment.

Zhang Yang replied to the message.

[joker]: That's me.

Upon seeing that it was indeed Zhang Yang, Liao Guopei immediately took a screenshot of Sun Guodong's message and sent it to Zhang Yang, saying, "You fucking got me a bounty on my head!"

(End of this chapter)