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

Chapter 35 Mutual Following of the "Jumping Guy"

Today's trading ideas are shared for reference only and do not constitute any investment advice.

Policy news: The People's Bank of China's first quarterly monetary policy meeting on April 10th carries uncertainties, and the weekend adds to the potential for further unknown risks.

Technical analysis of the market: Driven by expectations of the first quarterly meeting of the People's Bank of China's monetary policy, the market opened higher with increased volume in the morning, but after 10:00, the volume gradually slowed down and a period of fluctuation and adjustment occurred.

The Shanghai Composite Index has risen more than 300 points from its low of 2037.02 on March 3, touching the resistance level of August 2008. Without new incremental funds, it may fluctuate sideways and continue to shake out weak hands.

In terms of main funds: After a trading volume of 1725.23 billion on April 2, the volume has been shrinking for three consecutive days, the market funds are becoming more differentiated and profit-taking is gradually taking effect.

Personal trading situation: I have sold all 3300 shares of Changan Automobile, making a profit of 13728 yuan, with a total increase of 62.74%.

Reason for liquidation: During the opening auction, the market exhibited a bullish trap pattern, characterized by dense trading dots, gradually decreasing buying volume, and increasing selling volume. The stock had already priced in the recent positive news for Changan Automobile with four consecutive limit-up days, and considering potential influences from policy, funding, and overall market technicals, a liquidation and cash-out strategy was chosen.
As soon as Zhang Yang posted the message, it attracted a lot of retail investors in the stock forum.

Not a moment.

People started replying.

[Born to Laugh]: My God, Changan Automobile has hit the jackpot with four consecutive limit-up days in four days? If I had a little more capital, I would be rich!
[Lone Wolf]: If Joker clears out his entire position in Changan Automobile, I should also consider getting out. I bought in at a high price on Tuesday.

[Bathing in the Spring Breeze]: Awesome! He earned half a year's salary in four days. Is this the Joker God?
Sharing real-time trading data for four consecutive days, and finally exiting with a profit of 13728 yuan, this can definitely be called a stock market expert.

In the stock market, not losing money puts you ahead of 90% of retail investors, and making a profit puts you ahead of more than 95%.

With a return rate of 62.74% and a total return of 13728, the impressive performance attracted a large number of users on the stock forum, including Chen Sanrong, the "jumping brother" who had just profited and exited the market.

After reading Zhang Yang's post and browsing through his past posts, Chen Sanrong couldn't help but exclaim, "This guy's got some skills, but his trading is just too conservative."

As a radical, he could sense Zhang Yang's steady style.

Of course, he doesn't look down on conservative retail investors; on the contrary, he greatly admires small retail investors who consistently make profits.

He has seen too many talented, aggressive speculative investors go bankrupt and commit suicide, especially during the stock market crash triggered by the subprime mortgage crisis in 2007, when there were long queues of people waiting to jump off rooftops.

Chen Sanrong was no exception; he had 95% of his funds tied up and had to work while adding to his positions to slowly get through the ordeal.

It was precisely because of this experience of working to increase his investment that his trading style tended to be aggressive, with quick entry and exit and timely profit-taking.

Upon seeing the "new budding speculative investor," Chen Sanrong replied using his main account and posted a screenshot of his profits, saying, "Same here, also took profits today. We share the same view."

The moment the ID "Jumping Bro" appeared, the post's popularity doubled, the number of replies increased rapidly, and it even alerted the forum moderator.

[A Little Bear]: Holy crap, even the guy who jumped off a building with a multi-million dollar investment has appeared. Looks like Joker really does have something going for him!

[Crazy Cola]: One, ten, hundred, thousand, ten thousand, hundred thousand, Dad! Holy crap! Making millions in profit, is that even possible?
[Martial Arts Supreme]: Even the speculative investor who jumped off a building said this, it seems that Changan Automobile has really reached a pressure point, I also have to sell some shares.

With the backing of speculative capital, the number of followers on Zhang Yang's Joker Baidu Tieba account increased rapidly, reaching 574. He also received a constant stream of private messages from Tieba users who wanted to learn from him or ask for stock market investment tips.

Zhang Yang, who was studying at Shanghai University of Finance and Economics, witnessed the speculative capital's account and politely replied, "Thank you for your recognition."

[Jumping Bro]: I really like your trading style. I've followed you. Keep up the good work, and I look forward to the day you reach a million-dollar account.

[joker]: I've followed back. That day should come.

The exchange between the two also attracted a large number of onlookers from retail investors.

For small investors, who doesn't dream of becoming a millionaire, a multi-millionaire, or even a billionaire speculative investor?
However, once you enter the A-share market, it's like falling into a deep sea; being trapped becomes a daily occurrence.

……

In the afternoon, towards the close, the banking, insurance, and financial sectors, which had been trading sideways for two or three hours, showed signs of aggressive buying.

A late-day surge is either suspicious or malicious. After weighing the pros and cons, Zhang Yang still believes the risks outweigh the opportunities and that he must put his words into action.

Without hesitation, he liquidated all his holdings in Huaguo Bank, Baosteel, and JAC Motors in his real-money trading account, cashing out 5023.2 yuan. The stock price had risen by 19.6%, resulting in a profit of 823.2 yuan.

"Buzz-"

Zhang Yang had just finished clearing out the inventory when his Nokia vibrated twice, prompting him to pick it up and check it immediately.

[尊敬的客户，您尾号2389的建行账户于2009年4月9号14点55分收到华国币100000元(大写：拾万元整)转账汇款，可用余额100094元，备注：全天下最可爱的许芷若给张扬的《华信证券模拟盘大赛》操盘劳务费。]
"It finally arrived."

Without hesitation, Zhang Yang immediately transferred the 10 yuan that had just arrived into his securities account, and then used the 5000 yuan he had just sold to buy back his shares, for a total of 10.5 yuan, to buy back government bonds through reverse repurchase agreements.

Zhang Yang's current real-money account has reached 14.06 yuan, of which 3.56 yuan was from selling all his Changan Automobile shares this morning, 10 yuan was from Xu Zhiruo's bank transfer, and the remaining 5000 yuan was from selling market research reports and making money from investments.

In just one month, Zhang Yang went from a small investor with 800 yuan to one with 14 yuan. Small investors with larger capital, although they did not make all their profits from the stock market, earned it little by little.

"despair--"

Zhang Yang clicked the mouse lightly and selected a lower annualized rate of return to place the order.

With an investment of 10.5 yuan, the annualized rate of return is 1.83%, interest is calculated over three days, and the expected return is 15.78 yuan.

If we add the 3.56 yuan we bought in the morning, Zhang Yang made almost 20 yuan just by earning interest from reverse repurchase agreements.

In 2009, 20 yuan was already half a day's wages for an ordinary assembly line worker.

This highlights the importance of accumulating principal. If you have 1000 million, even if you do nothing but buy reverse repurchase agreements or deposit it in a bank, the interest you earn in a day will be higher than someone else's salary.

(I believe in who I am, and I believe in tomorrow.)

(I believe youth has no horizon)
(At the beach at sunset)
(On a bustling street)
The phone rang with the song "I Believe." Zhang Yang glanced at the Nokia on the table. The caller ID showed "Tao Yuang," which surprised him.

He had assumed it was Xu Zhiruo or Xu Zhirou calling to inquire about the payment status, but it turned out to be Tao Yuang.

"Hey, Senior Brother Tao Yuang."

Zhang Yang pressed the answer button.

"How's the business today?" Tao Yuang asked with concern on the other end of the phone. He had deliberately timed his call to go before the market closed.

"Not bad, about 2%." Zhang Yang didn't look closely at his demo account, as he had been playing on his live account the whole time.

"Sure, are you free tonight?" Tao Yuang asked again.

Zhang Yang's mind raced as he tentatively asked, "There should be something. What does Senior Brother Tao Yuang want with me?"

Tao Yuang: "If you have time, I'll pick you up tonight and we can talk about some work-related matters in person."

Upon hearing this, Zhang Yang decided to accept the situation as it was and replied, "No problem, I don't have classes today, you decide the time."

"Then 7:30 tonight."

"can."

(End of this chapter)