Chapter 63: The Clean-up on the Earnings Forecast Day
Dafu Technology performed very well during the trading hours on March 26 and March 27. On the 26th, the ChiNext rebounded, and Dafu Technology opened low and ended up rising by 3.46%, which can be said to be brilliant with a little sunshine.
The 27th was even more commendable. On the 27th, the ChiNext Index fell 3.5%. Dafu Technology bucked the trend and rose 1.75% under this environment. The final share price closed at 19.19 yuan. However, it may also be affected by the financial report to be announced by Dafu Technology tonight.
On the evening of March 27, 2014, Dafu Technology announced its 2013 full-year financial report and released its first quarter performance forecast for 2014. Dafu Technology's 2013 operating income was 1.895 billion yuan, up 26.2% year-on-year, and its net profit attributable to shareholders of listed companies was 55.3139 million yuan, up 128.93% year-on-year. In 2013, it officially turned losses into profits.
The performance forecast for the first quarter of 2014 announced at the same time is also very impressive. The net profit attributable to shareholders of listed companies in the first quarter of 2014 is 279 million to 295 million yuan, compared with 2.2057 million yuan in the same period last year, a year-on-year increase of 12573.98% - 13254.04%. Among them, the net profit from main business is expected to be 52 million to 67 million yuan.
"With such performance, the stock price will continue to rise~!" The current stock price is definitely not enough to correspond to such a performance report.
I just don’t know what the main force will choose, will they directly raise the stock price, or will they take advantage of the downturn in the ChiNext Index to make another move?
On March 28, 2013, Dafu Technology's popularity increased significantly due to the performance forecast of the previous night. The comment section of Dafu Technology's stock was filled with various remarks about the stock's daily limit. Retail investors' expectations for Dafu Technology were very high.
Dafu Technology also started the call auction at 9:15 am, with the share price at 21.11 yuan, up 10%. The upper buy orders reached more than 5,000 lots.
"It's the price limit, it's the price limit! Hurry up and make a decision, or you won't be able to buy it soon."
"Are you so unique? You just start straight away?"
"There are only 5,000 lots, so I should be able to get a queue, right? I'll try to get two lots first."
"Don't worry, this is a call auction, and the order is fake. We don't know whether it will be cancelled or not."
At less than 9:20, with less than a minute left before the final call auction time, the 5,000-lot large order on the upper limit price board of Dafu Technology was quickly withdrawn, leaving only some scattered small orders hanging on the board that could not be withdrawn in time.
Due to the withdrawal of 5,000 buy orders, Dafu Technology was ultimately unable to reach the upper limit price and finally opened at 19.71, up 2.7%.
" Something is wrong. Is this intentional? The index doesn't look good, so they just want to take advantage of the situation to smash the market and clean up the shares? To give the market an impression that they are taking advantage of the good news to sell?" The main buy orders were withdrawn. Except for some orders left by the main funds to maintain the market, the rest were small orders that were not withdrawn in time during the call auction.
The ChiNext Index formed a bare-headed and bare-footed negative line trend yesterday, and today it opened lower again. A big drop is inevitable. Dafu Technology canceled its orders at this position and at this time point. Gu Junhao judged that it is more likely to take advantage of the situation to clean up the market.
"It looks like there's a chance to do a T today." Judging Dafu Technology's trend this year in his mind, Gu Junhao also felt that there was a chance to try a T today. If the trading volume increased, he could even do a full-position T.
While I was thinking about this, 9:30 soon arrived and the trading officially began. As soon as the trading started, the orders that failed to be executed in the call auction of Dafu Technology, as well as the retail investors who failed to find any signs of a change in the market after the trading officially started, continued to buy.
At the beginning of the opening, Dafu Technology's stock price exploded with a volume of more than 6,500 shares. Dafu Technology's stock price rushed up in a straight line, and the stock price quickly rose to a new high of 20.62 yuan, with a surge of 7.45%.
"Oh my god, the stock is about to hit the daily limit, buy it quickly, it will be too late."
"Buy now, there's profit to be made. This stock's recent trend often doesn't follow the index. The more the index falls, the more it rises."
"There's something interesting in this dog farm. Let's go and grab the meat from him."
"With such good performance, it would be a shame if we didn't do it. We have to give everyone who comes in today a meal."
“Is it not possible that the dog dealers are taking advantage of the good news to sell their stocks? Aren’t the leeks too optimistic?”
The stock trading area of Dafu Technology is extremely lively. It's a pity that Tong Huashun has not yet developed the barrage function, otherwise the screen would be full of barrages. However, Gu Junhao is in no mood to pay attention to these. At this moment, he is staring at the trading quotation.
“Sure enough, something is wrong. Among the orders of more than 6,500 lots, all are small orders. There is only one order of 1,000 lots. Instead, there are more and more orders to crash the market.” Forget about it. Let’s sell 2,000 lots, or 200,000 shares first to try.
When placing the order, the share price of Dafu Technology had already begun to fall. Seeing the share price quickly fall back after hitting a new high of 20.62 yuan, Gu Junhao decisively placed his order for 2,000 shares of Dafu Technology at the flat price of 19.19 yuan. Due to his quick reaction, the price he placed was low enough and the order was large enough, although the share price of Dafu Technology fell rapidly, Gu Junhao's order of 2,000 shares was still quickly executed, with an average transaction price of 20.25 yuan.
"What a pity, I hung up the stock too late, otherwise I could have sold it at a higher price." Although he said it was a pity, Gu Junhao was not merciful at all. At this time, only five minutes of trading time had passed, and the stock price of Dafu Technology had already fallen to 19.82 yuan, and the intraday trend showed an A-shaped trend.
Around 19.82 yuan, Dafu Technology saw a small amount of takeover orders and several thousand-hand buy orders, but the stock price was still falling step by step. Seeing this, Gu Junhao did not wait any longer and quickly placed an order to clear the remaining 620 hands of Dafu Technology at the opening price of 19.71 yuan. The average price was 19.77 yuan, and they were sold successfully.
There were two sell orders, the first one for 2,000 lots brought back 4.05 million yuan, and the second one for 620 lots brought back 1.22574 million yuan, totaling 5.27574 million yuan. From the establishment of the position to date, the profit was nearly 1.27574 million yuan, with a profit rate of nearly 32%.
This is the profit that Gu Junhao has never made since he built his position. It also fully demonstrates that Dafu Technology has been performing weak but actually strong over the past month, significantly outperforming the index.
Dafu Technology did not stay above the opening price but below 19.82 yuan for long. The emergence of large orders to dump the stock caused Dafu Technology to fall straight down again. By 9:45, the stock price had reached the flat line.
"Oh my god, what the hell? The dog dealer is hitting the market so hard? Is he taking advantage of the good news to sell the stocks?"
"I bought it at 20.6. Damn it. I bought it at the top of the mountain. I lost almost 8% in 15 minutes. It looks like he can't stop. It's really a big bowl of noodles today."
"Brother, we are in the same boat. I bought it at 20.62 yuan, 2 cents more than you. It's the real peak."
"I just bought it at 19.80, thinking it would stabilize, but it was smashed to the flat price right after the transaction. It turns out that everything I buy will fall..."
The wailing of retail investors failed to prevent the rapid decline of Dafu Technology. After the stock price fell to the flat price, Dafu Technology's stock price rebounded briefly and then fell again.
