Chapter 74: The Foundation of the Bull Market
At 2:56, one minute before the call auction, Dafu Technology was quoted at 24.77 yuan. Gu Junhao placed his bet of 8.13 million yuan at 24.80 yuan, for a total of 3,278 lots. Today's T was done quite well.
Fortunately, during the call auction stage, Dafu Technology's trading volume was relatively large. In addition to some small orders of less than 100 lots totaling dozens, there were two orders of more than 500 lots. In the last minute before the closing, a sell order of 4,124 lots was placed on the market.
These orders were enough to absorb Gu Junhao's 3,278 buy orders, otherwise it would be difficult to take back the full position. Thanks to this 4,000-plus lot dump, Dafu Technology's final closing price was fixed at 24.80 yuan, and it eventually closed down 3.76%, which also absorbed Gu Junhao's large buy orders.
"Today's takeover was quite thrilling. I don't know how tomorrow will perform." After the market closed, Gu Junhao thought after reviewing the market for a while.
Throughout the day, Dafu Technology's amplitude reached 10.44%, the transaction volume also increased to 331 million yuan, and the turnover rate also reached 4.39%. It seems that a lot of funds chose to flee in the afternoon, which is not unrelated to the opening of the Shanghai-Hong Kong Stock Connect at noon today.
The Shanghai Composite Index remained in low-level fluctuations in the morning. Stimulated by the news of the launch of the Shanghai-Hong Kong Stock Connect at noon, a series of blue-chip stocks such as big financial stocks surged in the afternoon, eventually causing the Shanghai Composite Index to hit a high of 2146.67 points. It finally closed at 2134.30 points, up 1.38%. The trading volume also expanded again to 129.8 billion yuan.
The ChiNext Index was a victim of the launch of the Shanghai-Hong Kong Stock Connect. The rebound trend in the morning came to an abrupt halt in the afternoon, and the index fell rapidly in the afternoon. Although it finally closed at 1381.14 points, up 0.78%, the trend was not optimistic.
In the short term, the ChiNext Index is under pressure, and with the arrival of negative news, there is a strong desire for a correction. It is also unknown whether Dafu Technology will be affected by this news and fall below the trend.
Today's high-level inverted T-line trend is actually quite ugly in terms of trend, except that it did not release huge volume (the volume on the 3rd and 4th of this month was larger than today's ).
In theory, this trend should be observed for a few more days to determine whether it will break. However, it is precisely because there has been no large volume released and the turnover rate has not broken through that Gu Junhao chose to continue to be optimistic.
Moreover, the volatility of Dafu Technology today is far greater than the index, which can be regarded as a response to the news. From a short-term perspective, the Shanghai-Hong Kong Stock Connect is bad news for small and medium-sized enterprises. However, due to its limited daily quota, it is not a particularly bad news in the long run. Such a large volatility of Dafu Technology during the trading session can be regarded as washing out some unsteady funds.
Clicking on the stock trading area of Dafu Technology, as expected, there are still many retail investors chasing in at noon. It has to be said that the main capital is really a bit cunning. Yesterday, Dafu Technology also rose in the afternoon, and today is the same. And both times it rose when the index dived.
This created an illusion for the majority of investors, making them think that today the market would also rise sharply against the index, and thus they blindly chased high prices. Of course, many people were washed out today, and even some fans replied in their own posts that they were scared out today.
However, being washed out is understandable. Everyone's psychological expectations are different. In Gu Junhao's view, as long as the stock makes money, there is no such thing as selling it at a loss.
But no matter what, it is a good thing that there was no decline on Thursday, the statutory decline day. The two markets have been on a four-day rising trend. In the seven trading days since April, the Shanghai Composite Index has risen by more than 100 points, which has also warmed up investment sentiment. Experts and big Vs have new material to sing about.
"Around 2000 points is indeed the bottom area, but it is still a bit early to talk about a bull market." Looking at the comments of some experts, Gu Junhao curled his lips.
A-shares have always been known for their fast bull and slow bear markets. If we look at the K-line chart over a long period of time, we can see several bull market peaks. Each round of bull market revolves around an industry or theme that is large enough. The bull market in 2015 was no exception. The mobile Internet, and subsequent new energy, photovoltaic and electric vehicle industries have all seen their valuations continue to rise as funds chase them.
However, to truly form such a foundation, the most important thing is capital. From a policy perspective, liquidity tightened and housing prices fell in 2013 and 2014, and there is no sign of large-scale monetary easing so far. All this will only gradually improve . It was not until the large-scale monetary easing in 2015 that capital entered the stock market and a bull market began.
You should know that the keywords for the whole year of 2013 included many unfavorable words such as money shortage, difficulties in traditional industries, decline in catering consumption, etc. To create a bull market in this environment, policy support is undoubtedly needed. However, 2013 was not all bad news. There were also highlights of the GEM bull market, mobile Internet, Internet +, mobile games and other new economies. Economic transformation is also imperative.
It is not without reason that the public characterizes 2015 as a leveraged bull market. It is undoubtedly too early to talk about Gu Junhao, who has experienced his past life, knows that the 2000-point level will fluctuate here for another quarter, and the stock market will not improve until July in the second half of the year, and then enter the main rising wave stage. It will end in June 2015.
The fierce bullish cycle is essentially the movement of funds. When the market is hot, it will attract new funds to enter the market, thereby pushing up the stock market. The rising stock market will attract a new round of off-market funds to enter the market, thus forming a positive cycle. On the contrary, when the positive cycle reaches a high point and cannot continue to grow, it will form an opposite cycle of capital outflow, the stock market will fall, and more funds will flow out.
Therefore, when reviewing previous bull markets, it is not difficult to find that most of them have the same thread, that is, a large industry as the main line, forming a structural market. Under the background of monetary easing, more funds enter the market, and other sectors take over, thus leading to a comprehensive bull market.
This is also the reason why people often talk about stock speculation and leading stocks. From an industry to a concept, in every structural market, we dare not say that the leading stocks have the best and fastest growth, but they are definitely the most stable.
There is still more than a year left until the end of the bull market in June 2015. More than a year is neither long nor short. It is difficult for many retail investors to accept holding stocks for such a long time, especially some investors . This is why many people cannot make money even though they bought at the bottom.
Gu Junhao often saw some comments in his personal blog and on the Internet, that is, someone bought a stock at a certain position, and after experiencing a period of volatility, he finally couldn't stand it anymore and chose to make a small profit or sell at a loss. After a period of time, he found that the stock he sold had risen greatly, and it was too late to regret.
