Chapter 280: Harvesting Hot Money
It is no exaggeration to describe the trend on Tuesday as a staggering one. At the end of the day's trading, as many as 184 stocks in Shanghai and Shenzhen stock markets hit the daily limit, and all major sectors and concepts closed in the red.
The three major sectors of satellite navigation, general aviation and financial holdings were almost all in a limit-down state, with the overall decline of the three sectors exceeding 8%, and the overall decline of the defense industry was as high as 8.73%.
The hot weight trend in the morning and the rapid dive in the afternoon resulted in only a few investors being able to survive today. If the daily loss can be controlled within 3%, it will be enough to outperform most investors.
After the market closed, there was a lot of wailing on social media, and the plunge of A-shares also became a hot topic. When Gu Junhao returned to the office, Li Xinyu looked at him in shock.
"Boss, how did you know there was going to be a big drop?"
"I don't know. Go back and ask your dad how much he lost. Haha." Gu Junhao said with a smile. There should be quite a few stock investors who turned off the lights and ate noodles today, especially those who chased the blue chips in the morning. They are lucky if they didn't lose 10%.
For most investors, they are mentally prepared for the adjustment of the market, but with the continuous surge in the main board, they can make money by buying anything, which leads to the infinite magnification of the greed factor.
Amid the big surge, the mentality that everyone is a stock god also conceals the risks involved, and the adjustment of the market comes amid the high sentiment of the general stock market. For some unlucky people, the loss in just one trading day may reach more than 20%.
Not to mention those investors who sold their small and medium-sized stocks in the morning and rushed into the blue-chip stocks, take Xibu Securities as an example. The group of people who took over Gu Junhao's chips at the daily limit suffered a loss of tens of millions of yuan within the day.
Most of the members in the Soha group today are the lucky ones. Li Ze's continuous indoctrination has also had a certain influence on them. Most of them have maintained empty positions like Li Ze as they had few opportunities in small and medium-sized enterprises in the previous few trading days and did not dare to chase the heavyweights.
"It is said that those who know how to sell in the stock market are the most powerful. Brother T is really awesome. This time he was allowed to escape early again. The hot money in the market is trapped tightly. He is still adding to his positions today. Haha." After the Dragon and Tiger List came out, Li Ze said with a smile.
Within three trading days, Tonghuashun's share price has fallen from a high of 70.94 yuan to the current 53.96 yuan, a drop of more than 30%. Although Li Ze's selling price is not high, compared with today's closing price, the loss has been reduced by more than 10%.
If it were the previous Li Ze, if Tong Huashun saw the limit down like today, he might have rushed in to buy the bottom. But this time is different. Li Ze, who has made a lot of money this year, is no longer interested in dancing on the edge of a knife.
"Why didn't Brother T copy it back?"
"If they didn't buy back, it means they didn't fall to the right level. Think about it, a company on Fushan Road bought so many, who would dare to carry the sedan chair for them?"
"That's right. This idiot is always eating alone. When he's done, Tong Huashun will also fall."
"What is Li Ze going to buy next? You can't just keep the warehouse empty, right?"
"What's wrong with keeping your positions empty? We've made so much money this year, so you can take a break for the New Year, or wait until Brother T appears on the Dragon and Tiger List next time."
"You've made a lot of money, but I haven't made any money yet. I've lost all my previous profits in the past two days."
"The market is almost at 3,100 and you haven't made any money yet. Do you know how to invest in stocks?"
"It hurts, my friend..."
Today, there are numerous Dragon and Tiger lists in the Shanghai and Shenzhen stock markets. Institutions directed today's extreme market conditions. Major institutions frequently appeared on the Dragon and Tiger lists. Xibu Securities had a net outflow of more than 100 million yuan today, and the outflow exceeded 150 million yuan for two consecutive trading days.
Huanghe Securities, Zhongzhong Yizhong, Yinzhijie and other Junshi-related companies on today's Dragon and Tiger List all experienced net capital outflows. The only one with positive inflow was Dongfang Wealth, which received an inflow of more than 250 million yuan today.
There are traces of Gu Junhao’s participation in all these Dragon and Tiger lists, and he has a seat on every Dragon and Tiger list; but unfortunately, the seats reserved for institutions make it impossible for everyone to judge.
As for Gu Junhao's personal seat, it will naturally not appear on the Dragon and Tiger list today. It was after analyzing the major Dragon and Tiger lists that Li Ze decided to continue to maintain a short position.
The Dragon and Tiger Lists of Tong Huashun and Dongfang Wealth are very interesting. Tong Huashun's Dragon and Tiger List today is still dominated by the Shanghai Gang. Fushan Road continues to appear in the buying position and at the same time appears in the selling position. Today's net purchase exceeds 60 million yuan.
At the same time, Xiahe Road and Galaxy Securities Shaoxing Securities Branch also appeared in the second and third buying positions respectively, while the first and second selling positions were two institutions, selling 75.3495 million yuan and 45.0172 million yuan respectively.
On the Dragon and Tiger list of Dongfang Wealth, Fushan Road is also in the buying position. The second and third buyers are Gu Junhao himself. The institutional seats of Junshi No. 2 and Junshi No. 1 rank second and third respectively.
Lao Fu had no choice but to increase his holdings. This time he could anticipate the adjustment of the market, but frequent accidents resulted in his failure to deliver all the goods in time. Now he has to increase his holdings for the second wave of increases.
Tong Huashun's stock price was locked at the lower limit today on purpose, so that I could collect more chips. I also formed a certain tacit understanding with other hot money in the language of the market. Without Gu Junhao's interference, the market went much more smoothly.
"The five seats should be purchased by Brother Zhao's joint seats. It seems that this kid named Gu is still somewhat well-behaved and did not grab the chips." Lao Fu analyzed silently while looking at the Dragon and Tiger List.
The fifth buyer was Huatai Securities Shaoshi Shangda Road Securities Branch, which bought 13.48 million yuan. Even if Gu Junhao was really buying secretly, the amount of chips he bought would be less than 13 million yuan, which is not a cause for concern.
"If we continue to oscillate and fall to the 20-day line for two more days, and then rebound, we should be able to sell out."
I have invested hundreds of millions of yuan in Tonghuashun. So far, the stock price has risen by more than 70%, but I have not been able to sell the shares smoothly. The profit before the stop was less than 20%. My funds have been stuck for nearly half a month. This round of Internet financial market has been more or less a failure.
If the products had been shipped according to expectations, there should have been no problem in making a profit of around 40%. However, all the hard work went to waste in the process, and today, two institutions once again made a profit.
The A-share market's situation of big fish eating small fish, institutions cutting off hot money, and hot money reaping retail investors was vividly demonstrated in this round of Tonghuashun's surge.
Today's sharp drop in the Shanghai and Shenzhen stock markets has far-reaching implications. Zhang Yiru, who has never paid much attention to stocks, took the opportunity to talk about stocks with Gu Junhao for a while after he returned home in the evening.
Conversations like the one between Gu Junhao and Zhang Yiru took place on the evening of December 9 among countless families with stock funds. Under the attention of the spectators and the parties who suffered heavy losses during the day, December 10 arrived as scheduled.
The market trend after the hundred-point plunge and where the Shanghai and Shenzhen stock markets will adjust to are what the market is most concerned about. It is worth mentioning that after yesterday's big drop, there were a lot more bearish comments from experts and big Vs.
Although the words are vague, there are no more mindless bullish remarks like before. Regardless of whether they are right or wrong, this cooling behavior is also a good thing for the investment sentiment in the A-share market.
The entire investment atmosphere is overheated, and even a situation like yesterday may occur. In the end, ordinary investors will still be the ones who suffer. I believe that in the future, the market will not see such a continuous surge.
Early in the morning, when Gu Junhao came to the trading room, Xu Jianqing said to him with a little excitement: "Boss, we made a lot of money yesterday."
In fact, there is a certain misunderstanding in what Xu Jianqing said. The funds used for T yesterday were added to the existing stock chips, and not much cash was added to the account. Without the chips being converted into cash, the Shanghai and Shenzhen stock markets continued to decline, and the specific amount of profit in the end is still unknown.
"I haven't sold it yet, so how can it be considered a profit? Let's see if it will rebound today. Once it rebounds to a certain level, I still have to sell the chips I added to my position for it to count." Gu Junhao said with a smile.
"Then boss, do you think there will be a rebound today?"
"How do I know this? But generally speaking, for individual stocks, this kind of rapid sell-off during the rise will mostly lead to a rebound the next day. Our main task today is to do T and see if there is any opportunity to reduce positions."
During the rapid sell-off, countless funds were trapped. Regardless of whether it was for the optimism about the future or for short-term self-rescue considerations, this part of the funds would be used to reduce costs through T in the next few trading days.
This was even more so yesterday. It can be seen from yesterday's Dragon and Tiger List that this wave of institutions' harvesting of hot money was extremely ruthless. A large amount of hot money was trapped in popular stocks, especially the funds that hit the board.
More than 15% of the funds that were trapped yesterday cannot be sold at a loss today, and they are bound to try to save themselves. For example, the securities companies with Chinese characters in their names broke the limit down at the end of yesterday's trading. There was also a lot of hot money increasing its positions in preparation for today's self-rescue.
Let’s take Xibu Securities as an example. Among the top four buyers of Xibu Securities yesterday, except for Gu Junhao, all of them were hot money. The first buyer of hot money bought more than 120 million yuan at one time.
In fact, judging from the recent trends of the Shanghai and Shenzhen stock markets, the sharp rise and short squeeze on the main board may have been intentional. Retail investors are most likely to be affected by the continuous sharp rise and short squeeze.
The retail investors who adjusted their portfolios quickly rushed into the major weighted stocks, causing serious capital outflows in the small and medium-sized sectors. Without the support of retail investors, the small and medium-sized start-ups that quickly rose wanted to sell their stocks, but they had no better way than to harvest each other.
As the short squeeze becomes more and more severe, some hot money can only follow the trend and buy brokerage stocks led by big financial institutions and other heavyweight stocks.
Yesterday, when the short squeeze reached its peak, naturally some hot money that did not have time to escape was harvested by large and small institutions such as Gu Junhao; after all, hot money with larger funds can be harvested faster than retail investors.
As far as the ecological chain system is concerned, the rule is usually that big fish eat small fish, and small fish eat shrimp. This is especially true for the zero-sum market trading ecology of A-shares. As the top of the ecological chain, the GJ team harvests institutions, institutions harvest hot money, and hot money harvests retail investors.
Batches of leeks are harvested, and new batches of leeks are born. Among the institutions, there are large public funds, mid-range public funds and private funds. These institutions will also harvest each other.
As a member of the institution, Gu Junhao also proved his strength through yesterday's transactions; although the overall scale of the two funds is not very large, from the perspective of harvesting, they have the strength to become a medium-sized institution.
At present, it seems that except for being harvested by the GJ team and large public offering institutions, Gu Junhao is fully capable of doing the mid-end part of the market; it is difficult not to attract people's attention by the large-scale position adjustment of two Junshi funds yesterday.
At 9:25, the call auction of the two markets ended. Affected by yesterday's sharp drop, both the Shanghai and Shenzhen stock markets opened lower. Among them, the ChiNext Index opened slightly lower at 1499.33 points. The index broke 1500 points again.
In three trading days, the ChiNext Index fell by more than 120 points, with a drop of 8%, which is slightly better than the sharp drop of the Shanghai Composite Index yesterday.
Seeing the ChiNext Index gap down and open lower, Gu Junhao smiled instead and said to Wang Ruoyu: "If Yin Zhijie drops rapidly later, remember to buy some at the bottom. Buy 1,000 lots first."
Gu Junhao did not buy the bottom of Yinzhijie which hit the limit down yesterday, and he was waiting for today. Today, Yinzhijie jumped down to 42.11 yuan just like the index, and while the decline was close to 5%, it had already broken the weekly 5-day line and the daily 20-day line.
As individual stocks and indexes continue to fall, panic will spread step by step. With yesterday's sharp drop in the Shanghai and Shenzhen stock markets and today's downward gap in the ChiNext Index, panic has reached a limit.
When panic reaches its peak, it means the arrival of a rebound. As one of the leading stocks in small and medium-sized enterprises, Yinzhijie will have no problem making a rebound on the daily 20-day line and the weekly 5-day line under this extreme panic.
For Gu Junhao today, he has enough ability to guide the stock price rebound in a small-cap stock.
At 9:30, official trading began. The sharp drop in the share price of Yinzhijie pushed the panic to the extreme. Within just one minute, large and small sell orders pushed the share price of Yinzhijie straight to the limit , and the share price was 39.74 yuan.
"Buy it, just place an order at 40, no need to wait." Gu Junhao said. The ChiNext Index opened lower in the morning but did not fall again. At this moment, the index was slightly higher than the opening point, and the panic did not continue to spread.
I am panicky when others are greedy, and I am greedy when others are panicky; during these two days, Gu Junhao deeply implemented this famous saying in the stock market.
Wang Ruoyu's purchase order fell in response to Gu Junhao's voice. A quick purchase of up to 4 million yuan caused Yinzhijie's stock price to just hit the limit price, and it was not even displayed on the time-sharing line.
At 9:32, Yinzhijie's stock price was 39.89 yuan, and its share price fell by 9.65%. With the completion of large orders, the stock price moved in a straight line upward.
