Chapter 140: Short and Long
"Boss, when did you come back?" When Gu Junhao walked out of the office, Xu Jianqing came out from the lounge to greet him, apparently waiting for him.
"I came back in the afternoon, why haven't you left yet?" I didn't see the other two people, so they must have gotten off work.
"I'll stay to report on my work. The two of them left first."
"Can't we talk about it in the WeChat group?" The Fund Business Department has a WeChat group. Although mobile phones are not allowed during working hours, it is still okay to simply report on work in the group after work, as long as it does not involve specific codes.
"How can that be the same? Things like this have to be said face to face." Xu Jianqing almost wrote on his face that I was trying to flatter him.
"Okay, then I'll listen to your report. Let's go to the lounge and get me a cup of coffee." Gu Junhao smiled. Xu Jianqing's personality was really amazing. Although the other two people respected Gu Junhao very much, they really couldn't do it like him.
"No problem, but boss, can you sleep at night if you drink coffee now?"
"Whether you can sleep or not has nothing to do with coffee. You can drink anything as long as you can fall asleep." Coffee is like tea. Once you get used to it, it is unlikely to affect your sleep. In his previous life, Gu Junhao would drink a cup of coffee before going to bed.
"Tell me, what did you do today." Gu Junhao also wanted to hear how they operated since he had not been in the operation room all day.
"We didn't do anything today, but I have some thoughts about the market that I want to talk to you about, as well as some of my personal confusions."
"Let's save our thoughts on the market for tomorrow's meeting. It's getting late now. Tell me about your personal confusion." Gu Junhao said, looking at his watch.
"Okay then, I just want to ask you how to control your hands when you know there is a high probability of risk?" Xu Jianqing scratched his head and said embarrassedly. This was the main reason why he stayed alone today.
"Didn't you say you didn't make any moves today? Why did you almost lose control during the trading session?"
"Yes, I almost couldn't help myself. I even wanted to buy 100 shares to satisfy my craving, but Xiao Wang talked me out of it."
"It's a good thing you listened to Xiao Wang. There's nothing wrong with your talent, but the fundamental reason is that you're still stuck in the mindset of a retail investor." Xu Jianqing's uncontrollable behavior is common among many retail investors.
Most retail investors are addicted to trading. Some have never even tested profitability. They feel uncomfortable if they don’t trade for a day, and end up losing more and more.
“You have to remember that the moment you enter the trading room, you are a trader. As a trader, your primary task in stock trading is to create profits for the company and yourself, not to satisfy your trading addiction.
If you want to satisfy your addiction to trading, you should quit your job and become a retail investor. Maybe one day you will become a hot money tycoon, or maybe one day you will lose everything. "
"Go back and think about it carefully. Trading is your job. Pointless trading will only make your job more difficult. You listened to Xiao Wang's advice today and have performed well. Just keep up the good work in the future."
After saying that, Gu Junhao left. The behavior of itchy hands can only be overcome slowly by oneself. It is useless to listen to others. Reasons are just reasons. Some behaviors are difficult to overcome.
"Work? Wouldn't that mean we lose the fun of trading?" Xu Jianqing seemed to understand a little, but not completely.
…
The next day, Thursday, long-term trading had made Gu Junhao develop a certain biological clock and arrive at the trading room on time.
"Let's hold a small meeting first and reallocate funds." In addition to existing positions, there are currently 40.8735 million yuan in the account, and the position plan previously formulated is no longer suitable for existing funds.
"There are more than 40 million in the account. Each of you three will be allocated 10 million. Of the 10 million, 2 million is used as liquid funds for T trading. You can freely open positions on the remaining 8 million in the trading targets. Again, the 8 million must be fully allocated before the last trading day of July."
Gu Junhao glanced at Xu Jianqing again and said, "As for Xiao Xu's 2 million free quota, it will be allocated separately from the remaining funds and traded in a new sub-account. The performance of this 2 million will be calculated separately."
"Thank you, boss!" As the amount of funds used increases, performance is likely to improve. Moreover, the funds of the three people are in the same position, which has guaranteed fair treatment in a relative sense.
As for the 2 million free quota that Xiaoyi got, there was nothing he could do about it, since he was in the lead for the first time.
However, Wang Ruoyu and Liu Tingting are not very interested in this kind of short-term trading, nor are they particularly envious.
"Okay, let's start preparing. We can't be lame today. As for how much to buy, follow my instructions during the trading session. But after the market closes today, the overall fund position must exceed 50%."
After two consecutive days of sharp declines, today is Thursday and there is a high probability of a decline in the market. It is not a problem to build a position of more than half.
The three major indexes opened lower and closed lower for the third time this week. Investment sentiment has changed from being extremely high on Monday to being pessimistic today. Judging from the comments of retail investors collected recently on online social media, they seem to have accepted the fact that they are trapped. They all expressed that they will not cut their losses and are determined to fight with the main funds to the end.
After the opening, the Shanghai Composite Index continued to open low and close low as in the previous two trading days. The ChiNext Index fell to around the 10-day line and traded sideways. Individual stocks were still in a terrible state. The fund's four holdings, including Dongfang Fortune, which was relatively strong in the previous two trading days, also opened low and closed low today, breaking out of the unilateral downward trend.
"It seems that there is a high probability that the index will fall for three consecutive days today." Xu Jianqing said calmly, staring at the big screen.
With Gu Junhao in charge of the trading room, the three of them seemed to feel more at ease, including Xu Jianqing, who were no longer as impetuous as yesterday; the unilateral decline in the early trading session meant that there was no need to rush for bargain hunters, as there was plenty of time.
"The ChiNext Index is doing fine at the moment, but we need to pay attention to the Shanghai Composite Index; heavyweight funds are flowing out," Gu Junhao reminded.
"Boss, are you saying there might be a plunge?" Wang Ruoyu also thought of it. It was already Thursday, and the market value reserved for the new shares could almost be withdrawn.
"There is such a possibility, so we should keep an eye on it in the morning and start building positions in the afternoon." We must build positions today regardless of whether the market dives or not; of course, it would be best if the market could dive, as this would greatly reduce the cost of building positions.
"Xiao Wang's Dongfang wealth has finally started to decline. I thought he would remain strong forever." Xu Jianqing said with a smile.
Dongfang Fortune, which had been trading sideways for two consecutive trading days, quickly broke through the 12 yuan price level in the morning and currently remains near the five-day line, fluctuating sideways in the 11.88 yuan area, with a drop of 2.3%.
"He is suppressed by the 20-day line. If the market is good, it is possible to have a false breakthrough like Tong Huashun, but it seems impossible today."
After Tonghuashun hit the daily limit, it fell back for three consecutive trading days. The stock price has fallen to near the starting price on the daily limit day, which also proves that the breakthrough on the previous daily limit day was a false breakthrough.
How to judge whether a stock has a true or false breakthrough? Volume and turnover are important factors. A true breakthrough in the box must be accompanied by a continuous increase in volume.
Tonghuashun only increased its trading volume once this week and then returned to its normal level. The same was true for Dongfang Wealth, which was unable to achieve a real breakthrough in trading volume.
At midday close, the Shanghai Composite Index fell 0.56% and the ChiNext Index fell 0.23%; individual stocks generally fell by more than 2%. Even Xibu Securities, which had remained near the flat line during the morning session with little change in volume, fell below the 10.80 yuan level at midday close, dropping to the next level.
The changes in Xibu Securities also attracted Liu Tingting's attention. Today, Liu Tingting was concentrating on staring at Xibu Securities, whose trend was like an electrocardiogram. She had been holding back for ten days, and it was finally her turn to make a move.
Now the amount of funds has increased and the enthusiasm is greater; although the share price of Xibu Securities seemed to have returned to the period when the intraday amplitude did not exceed 2% in the morning, Liu Tingting firmly believed in the judgment of the boss and herself that it was highly likely that Xibu Securities would fall below 10.70 yuan today.
After eleven o'clock, the changes in the volume of Xibu Securities also attracted Liu Tingting's attention. All changes in Xibu Securities were affected by sectors and indexes. The changes in the downward volume also indicated that the outflow of securities sectors with the same weight was accelerating.
"Boss, should I still place orders from 10.70 yuan this afternoon?" Liu Tingting, who had been silent in the morning session, asked Gu Junhao during lunch.
"Well, build positions gradually. It has fallen below 10.80 yuan, so we can start building positions." Gu Junhao naturally noticed the accelerated outflow of assets, and also felt that Xibu Securities could start increasing its efforts to build positions today.
"Boss, are you really not afraid of the price falling below 10 yuan? Or will you maintain your low forecast of 10.58 yuan?"
“Of course, you can even try placing a few orders around 10.58 yuan this afternoon.”
Based on today's flat price, the price of 10.58 yuan has dropped by 2.36%. The average decline of Xibu Securities is only about 1.5%. The fact that it can reach this price also shows that the adjustment has accelerated.
The markets opened at one o'clock and the situation in the two markets changed suddenly; everything happened so suddenly, and at eleven o'clock, the outflow of funds from the blue chip stocks began to accelerate, and the market started to fall wildly. The Shanghai Composite Index moved rapidly downward and broke through the 60-day line.
The ChiNext Index, which had been struggling on the 10-day line throughout the morning, also accelerated its downward trend. Individual stocks moved downward one after another, and some stocks with smaller trading volumes plummeted like lightning.
"Boss, the market is diving." Xu Jianqing shouted. The boss was right again. The market started diving as soon as it opened in the afternoon, leaving no one prepared at all.
"Be prepared to buy at the bottom." Gu Junhao said in a deep voice. He had finally waited for it. He had been keeping a low position and a bearish stance all week, waiting for this moment.
The so-called break and then build, this is the case with short and long positions; with the unexpected plunge in the afternoon and the breakthrough of the support level, all the stocks of concern released volume.
It can also be seen from the volume that whether it is the stubborn bulls or the retail investors who have previously expressed their determination to fight the main funds to the end, their psychological defenses have been slowly broken down.
Among the stocks held, Dongfang Fortune and Hailanxin reacted the fastest. Dongfang Fortune has fallen by 5.60%, and Hailanxin has fallen by 4.93%. The stocks in the two markets are in a mess.
At 13:30, Wan'an Technology, the observation target with the longest support time throughout the day, fell below the previous low of 9.50 yuan to 9.46 yuan, and the stock price started a rapid decline mode.
"Boss, the Tonghuashun you sold before has fallen by 6%. It has broken the trend." Xu Jianqing was very calm. Yinzhijie is still maintaining near the lower limit of about 2%, but the trading volume has been gradually increasing.
In Xu Jianqing's opinion, 80% of the stocks in the two markets are diving, and he doesn't believe that Yin Zhijie can hold on.
Gu Junhao also noticed the sharp drop in Tonghuashun, but he had more than 10,000 lots to buy back. Unless he could block the lower limit, there was no need to rush for the time being.
At 14:00, both the Shanghai and Shenzhen stock markets experienced a second round of plunges, with the Shanghai Composite Index falling nearly 1.5%, breaking all time-sharing moving averages. The ChiNext Index came from behind, falling by as much as 3%, breaking through the 10-day, 20-day, and 60-day moving averages.
The market looks extremely turbulent, and the decline of small and medium-sized start-up stocks is unbearable to watch. More than 60% of the stocks have fallen by more than 5%, giving people a sense of imminent stock market crash.
"Start buying at the bottom. Everyone should do everything possible to fill up the 8 million yuan position. Don't be afraid of attracting the attention of regulatory agencies." Gu Junhao shouted to the three people while placing orders.
Other stocks should not be a big problem, but Wan'an Technology and Xibu Securities are in big trouble. Although these two stocks released huge volumes in the afternoon, it was only relative to the previous few days, and the trading volume was still not high.
The volume released by the first wave of dive is most likely the floating chips that did not have time to escape before this round of rise. Today, there is a high probability that they will cut their losses and exit. This round should be the most stubborn bulls in the market before and some retail investors who claim to fight to the end with the main funds. This part belongs to panic trading.
The four funds held shares of Dongfang Fortune and Hailanxin, which fell by more than 7%; Xibu Securities fell by 2.5% to 10.56 yuan, which was already below the price predicted by Gu Junhao; Yinzhijie also plunged, with its share price falling by 5.6%.
No one spoke in the operation room, only the sound of keyboard typing and mouse clicking. The four people, including Gu Junhao, had their minds filled with the sound of buying, buying, buying.
At this time, Gu Junhao was operating the position building of Wan'an Technology. Hailanxin had sufficient volume, and 1,000 lots had already been bought back at the price of 14.25 yuan.
Wan'an Technology's trading volume is too weak. The current stock price is 9.20 yuan. Using the batch order tool, Gu Junhao placed countless buy orders in batches at this price. As for how much can be traded, we can only know after the closing.
It would be best if all the transactions could be completed. As for the ones that are not completed, you can continue to buy tomorrow morning. In one and a half trading days, you can at least reduce your positions to three quarters.
After placing the order, Gu Junhao quickly stood up and walked towards the door of the trading room. Before leaving, Gu Junhao said to the three people: "After the market closes, count the positions. If you haven't bought enough, continue to buy tomorrow. Go home directly after work and don't wait for me."
The three of them looked at each other and watched their boss leave. The reason why Gu Junhao was so anxious was because he saw that Tong Huashun's share price had fallen by 8.57%. Things here have been done for the time being, and there is nothing to do in staying, so it is better to go back and make a profit from Tong Huashun.
