Chapter 229: The Art of Bottom Picking
Yinzhijie, which has been shrinking to the extreme, performed unusually at the opening today. After falling for nine consecutive trading days with a drop of more than 15%, the stock price opened at 22.80 yuan in today's morning trading.
At 9:30 in the morning, after the trading started, the stock price of Yinzhijie fluctuated very little, and remained within 1% until 10:25, and the same trend as before appeared on the trading price.
Continuous buy orders of 1 lot, 2 lots, etc. filled Yin Zhijie's intraday transaction details. Of course, Gu Junhao noticed this unusual movement at the first time.
However, the transaction volume is so small that even if you find it, there is nothing you can do. You can't just buy it one lot at a time. It seems like a waste of time.
Secondly, the performance of the weights this morning made Gu Junhao feel extremely uneasy about today's market.
Under this kind of anxiety, Gu Junhao just asked Xu Jianqing to keep an eye on the trend of Yin Zhijie instead of choosing to buy at the bottom.
In the morning, with the stock index performing relatively flat, Yinzhijie's performance was also relatively normal. After 11 o'clock, Yinzhijie briefly increased its volume and rose. In the half hour , the transaction volume exceeded 30 million yuan.
The trading volume in half an hour exceeded that of the whole day yesterday, which also led to a 5.73% increase in Yinzhijie's closing at noon, and the stock price also returned to the 24 yuan level.
"The trading volume is a bit strange, it's in segments." Although Yin Zhijie's share price has risen significantly, the intraday chart looks very ugly. Except for the period of large volume, the rest of the intraday chart looks like weaving.
Gu Junhao had seen this kind of trend in many market-manipulated stocks, especially in the stocks of the Wencheng School, where such trends often appeared, with infinite translation and pulse lines.
"Let's ignore it today. Let it rise. The trend looks weird." Gu Junhao said to Xu Jianqing at noon.
If it is not a normal trend, Gu Junhao would not dare to buy at the bottom. Besides, his current holdings of 8,000 lots are relatively large. Before the trend improves, Gu Junhao would rather buy more Dongfang Fortune at the bottom.
When the market reverses, if you don’t know what to buy, buy Dongfang Wealth. This is what Gu Junhao often said in his previous life.
In the afternoon, Yinzhijie continued this performance. Except for the higher position, the trend was very similar to that in the morning. Especially in the first 35 minutes of trading, the fluctuation of Yinzhijie's stock price was less than 0.1 yuan.
The stock price at 24 yuan showed a trend like an electrocardiogram, which was extremely weird.
At the end of the day's trading, Yinzhijie's stock price rose to 24.63 yuan with no volume, an increase of nearly 9%. However, the speed of the decline in the late trading was also very fast. With a trading volume of only 400 lots, Yinzhijie's stock price fell to 24 yuan again.
The huge rise in the last trading session and the strange trend were particularly obvious.
"Today's drop is a bit ugly. It seems that it will be difficult to adjust the speed in the short term." During the review phase, Gu Junhao sighed to the three people.
Both markets closed lower today, causing the five-day line of the Shanghai Composite Index and the ChiNext Index to cross below the ten-day line, and the intraday trend turned from upward to downward.
Adjustments at high levels, coupled with the recent conference, may make it difficult to end the adjustment in a short period of time. October is already halfway through, and if nothing unexpected happens, this month's earnings will not be very good.
The large-scale correction in the Shanghai and Shenzhen stock markets also caused considerable losses to Junshi No. 1. Fortunately, it is quite peculiar that among the four holdings, there is a stock that has a significant increase every trading day.
Under the condition of relatively evenly held positions, the drawdown rate of Junshi No. 1 can always be controlled at a relatively low level.
In Gu Junhao's opinion, this configuration of brokerage firms, industry leaders and small-cap growth stocks is relatively successful. There is no shortage of profits on the way up, and there is sufficient resistance in the event of a pullback.
It is October 17, the last trading day of this week. The Shanghai and Shenzhen stock markets still maintained a low opening trend. Yinzhijie, which surged yesterday, performed unusually today.
Yinzhijie opened at 23.78 yuan, down 1.22%, and the stock price directly fell below the 10-day line price; so far, Yinzhijie is no longer just a trend of the five-day line crossing below the ten-day line.
This start on Friday also caused Yinzhijie's 10-day line to cross below the 20-day line. Compared with yesterday, Yinzhijie's performance today was extremely weak.
"It would be good if the stock price goes up today. If it doesn't, it will be another period of major adjustments. The stock price may even go to around the 60-day line."
From the weekly perspective, Yinzhijie, which has been falling this week, has undoubtedly noticed the trend of three consecutive negative weekly lines, and it is imperative to bottom out the 10-day weekly line.
After some analysis, Gu Junhao also had a rough idea in his mind, and said to Xu Jianqing with a smile: "If the market closes in the green today and reaches near the 10-day line, you can add a little bit, otherwise, start building a position near the weekly 10-day line."
The ten-day weekly line price of Yinzhijie is around 22.60 yuan. It should not be a problem to slowly buy down at this price and take back 3,000 chips.
This time, Gu Junhao asked Xu Jianqing to change his trading strategy and buy in batches and stages from top to bottom and then from bottom to top according to the benchmark price of 22.60 yuan.
There is no need to buy too much on each trading day, even one or two hundred lots will do; the advantage of this is that while you can control costs and risks, you can also enjoy profits during the stock price rebound.
Gu Junhao calls this method the active buying method. He builds a position for the first time according to a reasonable price range that he estimates. After the stock price falls below this price, he lowers the holding cost by slowly buying in.
And when the stock price rebounds to the final estimated price, your holdings will reach a profitable state. With profits, you can allocate positions more reasonably.
Judge whether to reduce holdings based on the stock price trend; after making a certain profit, the holding . With profitability and long-term optimism, it will be more convenient to hold positions.
Although the overall holding cost of Junshi No. 1 Yinzhijie is extremely low at present, in Gu Junhao's opinion, the overall holding cost does not have much effect.
Assuming that Yin Zhijie bought at 24 yuan and sold it at 22 yuan, then even if the overall situation is still profitable, this transaction is still a loss. You cannot blindly cover or increase your position.
Gu Junhao's buying method sounds good, but in fact it is similar to the unlimited covering flow buying method that retail investors often laugh at. This buying method has two major risks.
First, you need greater financial support and a reasonable allocation of positions when buying in batches. Otherwise, when the real bottom is reached, you will have no money in your hands, and you can only watch helplessly.
The second risk is that you cannot continue to implement such an operation plan The so-called bear market has no bottom, and the downward trend will eventually exhaust your funds.
And when the funds are exhausted and the positions in hand are in a long-term locked-in situation, it will be very painful, and it is not so easy to buy at the bottom.
The method of bottom-fishing by covering positions can only be carried out under good market conditions. When the stock price is extremely weak and you do not want to sell the trapped stocks, there is no other way but to wait patiently.
Otherwise, it is easy to copy halfway up the mountain; this is what is meant by you want to copy his bottom, but he wants to copy your home.
The reason why Gu Junhao dared to do this, in addition to having sufficient profits and cash support, was also because of his expectations for the short-term trend of stock prices and the bull market.
Moreover, Gu Junhao did not fail to make corresponding stop-loss countermeasures; if the trend of Yinzhijie stock ended here and the stock price fell below various support levels, Gu Junhao would still implement the stop-loss plan.
Gu Junhao believes that this method is not suitable for ordinary investors. This method is only suitable for operations with large funds. The profits from the wave-like T operations of large funds are incomparable to those of ordinary investors.
For ordinary investors, the best way to make profits in A-shares is to follow the market trend, buy sectors and individual stocks that have just started to gain momentum through their own analysis and judgment, and leave the rest to the market.
For individual stocks that are stuck, it is best to reduce the number and frequency of transactions. When you have sufficient cash flow, it is best to choose a good position and make a big move.
Gu Junhao only used this method on Yin Zhijie. Yin Zhijie's trading volume was too small, and the main capital's control over the market was too strong, so this buying method was more covert.
However, for Dongfang Wealth, Gu Junhao does not intend to use this method. Even if Dongfang Wealth shrinks, the transaction volume will always remain above 100 million.
Coupled with the gradual relaxation of financing leverage, Dongfang Wealth's transaction volume will only grow in the future. There is no need to worry about the safety of tens of millions of dollars. Even if it is doubled, there is no need to worry.
Correspondingly, the same is true for Xibu Securities after the volume increases. Gu Junhao will buy the previous chips again the moment he fills the gap. For stocks with large volume, there is no need to worry about capital outflow.
Even if Xibu Securities is not counted in this round of pull-up, it can be regarded as the cornerstone of Junshi No. 1. If there is an opportunity, the chips cannot be lost at any cost.
Although Xu Jianqing could not object to the boss's arrangement, he also complained endlessly. This way of trading was almost the same as mindlessly covering a position. How could there be any fun in trading?
However, Gu Junhao felt that this was a good opportunity to hone his character. Only when he got used to loneliness would he have the right to enjoy the process of rising.
Otherwise, all that awaits you is selling before the stock price goes up, and then switching to the next stock and repeating the operation.
"Stop talking nonsense and just do what I tell you to do. In the end I will look at your costs. If the costs are too high, my performance will be deducted." Gu Junhao cursed with a smile.
This sentence about deducting performance seemed to bring the time back to the beginning of the three people's simulation trading.
