Chapter 78: Both Markets Dive
Ningbo is located on the coast of the East China Sea, in the southeast corner of the Yangtze River Delta, in the Ningshao Plain. It belongs to the northern subtropical monsoon climate zone with distinct four seasons. As a coastal city, there is no shortage of rain and typhoons.
As we enter mid-to-late April, the weather in Ningbo has gradually warmed up, and it was rare that it did not rain this weekend.
Spring is a rare season for Ningbo City, where summer and winter are long and spring and autumn are short. Gu Junhao also rarely stepped out of the room and enjoyed the spring weekend. He and Zhang Yiru went hiking in the nearby Jiufeng Mountain.
Jiufeng Mountain is free for locals and people with residence permits and work permits. The scenic area is not well-known, but it is also a good place for Beicang people to relax and have fun, especially in the season when plum blossoms and cherry blossoms are in full bloom, it is particularly beautiful.
"It's nice to climb high and see far." On the top of the mountain, Gu Junhao felt the strong spring atmosphere and the feeling of overlooking the small mountains. He felt very comfortable.
"Student Gu, you have good physical strength. I don't see you exercising normally." Zhang Yiru stood beside Gu Junhao in sportswear.
Gu Junhao looked sideways. The slightly tight sportswear outlined her figure perfectly. She had a small ponytail tied up for mountain climbing. Her fair face was slightly sweaty. She looked cool and charming.
"No one should know better than you whether I have good physical strength or not, right?"
"You're becoming more and more indecent." Zhang Yiru cursed with a red face, as if she had thought of something.
After spending a rare time outdoors, on Monday, April 21, Gu Junhao sat in front of his computer again to start his new week of trading.
In addition to frequently appearing on the Dragon and Tiger list recently, Dafu Technology has also been in the news. It held a shareholders' meeting on the 18th and released the voting resolution of the relevant shareholders' meeting on the 19th. Of course, it was passed without any surprise.
Judging from the announcement on the 19th, Dafu Technology should be about to announce its first quarter results. However, given the sharp drop on the day of the last announcement, Gu Junhao did not dare to have too high expectations for Dafu Technology's performance on the earnings report day.
Today, both markets opened lower, with the Shanghai Composite Index opening at 2085.98 points and the ChiNext Index opening at 1367.93 points, continuing the sluggish performance of the two markets last week. Dafu Technology opened 1.27% lower at 28.35 yuan.
"It looks like today is going to be another boring day." After opening, both markets turned red and continued to fluctuate in a narrow range, with trading volume also being relatively sluggish.
However, Dafu Technology experienced huge fluctuations in the morning trading today. In the call auction, Dafu Technology placed a sell order of 533 lots. After the opening, it was suppressed by a sell order of 499 lots. The stock price quickly fell from the opening price to 28 yuan, breaking the five-day line.
The stock price of 28 yuan could not be maintained for long. At 9:34, sell orders of 50 and 100 lots were pouring out of the trading room. Three minutes later, a sell order of 899 lots worth nearly 2.5 million yuan pushed Dafu Technology's stock price down to 27.48 yuan, a real-time decline of 4.48%.
"Today's adjustment was quite fierce. Both the main board and the ChiNext index turned red, and Dafu Technology actually fell sharply."
The trading volume in the morning was not small, and it seemed that it would return to test the ten-day line. The decline had not stopped yet. After a slight rebound to 27.66 yuan, Dafu Technology was again knocked down by a sell order of 701 lots.
The emergence of large orders also led to panic following of small orders. Nearly 1,500 sell orders of 200, 100, and dozens of lots were seen fleeing frantically.
At 9:51, Dafu Technology fell to 26.88 yuan, a drop of 6.8%, and was only 20 cents away from the ten-day line.
As both markets turned positive in the early trading session, Dafu Technology's fierce trend was really shocking, and many users in the stock trading zone even called for clearing their positions.
"Run quickly, 29.98 is the top of this ticket, it has almost tripled."
"The negative news about IPOs has not come down yet. There is no hope for this kind of storytelling stocks. It's the end. The early trading volume in the past two days was so large, probably because the hot money was cutting its losses."
"Unlucky, I bought it at the end of last Friday, thinking it could reach 30 yuan today, but it opened and closed lower, and I lost 2 points, luckily I sold it quickly."
"The pattern of this stock has always been that it rises when the index falls. Today, the index rose, so it's not surprising that it fell. But it's a bit cruel. Is it heading for the limit down?"
Unlike others, Gu Junhao decided to wait and see whether Dafu Technology would break through the five-day and ten-day trend lines today. The intraday break cannot be regarded as a real break.
Of course, this is related to the fact that Gu Junhao has enough profit cushion. The price has fallen by nearly 7%. It is meaningless to sell at this time. It will still be time to sell if it really breaks. The worst case scenario is that he will suffer a limit down.
However, the decline in the early trading session was indeed severe. The market value shrank by nearly 600,000 in 20 minutes. This is still the biggest retracement since Gu Junhao started investing in Su Technology.
When Dafu Technology's stock price fell by nearly 7% and approached the ten-day line, it also received a buy order of 822 yuan. The stock price returned to 27 yuan, which stabilized the stock price's decline in a short period of time.
At ten o'clock, Dafu Technology rose again to the price of 27.50 yuan, standing above the yellow moving average for the first time that day, and rose to 27.75 yuan five minutes later.
Subsequently, the bulls and bears fought repeatedly above and below the yellow moving average, and the trading volume on the market gradually shrank. At 10:26, Dafu Technology again rose from the price of 27.22 yuan below the yellow moving average to 27.78 yuan.
"It looks like it has stabilized. There shouldn't be a big drop today. It depends on whether it can close above the five-day line."
After consolidating for nearly half an hour, at 10:58, Dafu Technology once again rose above 28 yuan to 28.05 yuan, and the decline narrowed to less than 3%.
At this time, the two market indices did break through and both began to dive. The Shanghai Composite Index has turned green, and the ChiNext Index has fallen from a peak of nearly 0.5% to the zero axis position.
"What happened?" Looking at the double plunge of the indexes, Gu Junhao was also confused. This kind of sideways trend rarely has large fluctuations, but the two markets actually plunged in tandem.
Both markets plunged. By the morning close, the Shanghai Composite Index closed at 2092.10 points, turning green, while the ChiNext Index closed at 1379.19 points, turning green by only 2 points.
Dafu Technology was affected by this, with trading volume continuing to shrink and the rebound trend also slowing down, closing at 28 yuan.
At the midday closing, Gu Junhao looked through the news in the market and did not see any major bad news. The plunge was a bit puzzling. I hope it will not affect the trend of Dafu Technology.
After the explosive volume in the first half hour of the morning session, Dafu Technology's stock price began to rebound from 11 o'clock and has not fallen below the yellow moving average of the day since then. The rebound trend is relatively good.
"It's the 21st now. Maybe it's the negative news about the restart of IPOs, or the Shanghai-Hong Kong stocks?" Gu Junhao didn't see any major news, so he could only attribute the plunge to this. It's the end of the month, so a plunge due to the restart of IPOs is normal, but the Shanghai-Hong Kong stocks won't cause the Shanghai Composite Index to plunge.
In the trading that started in the afternoon, the two markets continued to plunge, the trading volume was sluggish, and the market sentiment was pessimistic. However, Dafu Technology unexpectedly rose.
Dafu Technology's stock price fell slightly after opening, but then rose at 1:15. The stock price fluctuated near the opening price for about ten minutes and then rose. At 1:34, Dafu Technology's stock price turned positive and closed at 28.72 yuan.
"It can be pulled up after a drop of 7 points, it's still quite strong. It turns out that it likes to go against the market trend and move independently." The market plunged, and Dafu Technology rose, which made Gu Junhao have to complain about its trend.
After Dafu Technology's stock price turned positive, it performed even stronger and did not turn green again throughout the day. In the afternoon, the trading volume exploded again. After rising to the daily high of 29.88 yuan at 2:15, it began to fluctuate. It's a pity that I failed to do T today. This is the disadvantage of not being able to buy at the bottom when the stock price goes down when I am fully invested.
Finally, Dafu Technology closed at 29.18 yuan, up 1.64%, and re-stood on the five-day line, with an amplitude of 10.45% throughout the day. The Shanghai Composite Index finally closed at 2065.83 points, down 1.52%, and the ChiNext Index closed at 1363.85 points, down 0.99%. Both K-lines closed with a long upper shadow barefoot Yin line trend.
"The trend of the Shanghai Stock Exchange Index and the ChiNext Index is too ugly. The remaining trading days at the end of the month will not be easy."
