The Road to Rebirth Finance

Chapter 354 The Dream Start of 2016
January 2016, 1, Monday, the first trading day of the new year, is also the first trading day after the formal implementation of circuit breaker rules.

Before the circuit breaker was officially implemented, the investment market generally interpreted this rule as a positive, thinking that there are rules and regulations, and A shares will become more standardized.

The stock market crash after June 2015 really scared the entire investment market. Both institutional and individual investors have lingering fears about the stock market crash.

Gu Junhao also thought so in his previous life, thinking that with the 5% and 7% drop limits, the probability of a stock market crash this year should be low.

However, it is obvious that the entire market ignores human nature, or some people deliberately ignore human nature. We are the world leader in the use of human nature.

This is especially true in cold-blooded capital transactions. All kinds of anti-human incidents emerge one after another. It is difficult for a little leek who thinks in a normal way of thinking to understand this anti-human operation.

At 9:25, the call auction ended, and the Shanghai stock index gapped down slightly to 3536.59 points. Even without considering the human factor of the circuit breaker, today's opening is an extremely bad opening.

Although the index only opened less than three points lower than before, it is precisely this way of gapping down and opening low, which leaves a gap in the downward jump and officially falls below the support position of the 20-day line on the daily line .

As I said before, after a period of high volatility adjustments, the index and individual stocks will inevitably choose to look for new support points downward when they are unable to break through for a long time. There are no individual stocks and indices that rise forever, and callbacks are also necessary in stock trading. One less process.

However, normal adjustments are not scary. The most terrifying thing is this trend of high-level downward gapping. The downward gapping of high-level call auctions often means that the main funds are very determined to flee.

If it is still in the stage of personal stock speculation, Gu Junhao will not hesitate to sell his meat to liquidate such a high gap, even if he is cheated out of the game by the main funds.

Most individual stocks, when they open the market with a gap from a high level, tend to go out of a big drop within a day. After such a gap and big drop, the stock price trend of strong stocks often begins to gradually weaken.

The same is true for the market index. Although he knew the specific trend on the first day of the implementation of the circuit breaker, he once again felt that Gu Junhao was still a little shocked. In fact, everything had already been foreshadowed.

Including the volatile downward trend in the second half of December, and today's gap downward, the circuit breaker only accelerated and amplified the panic of the index, which was used by some funds.

In essence, the circuit breaker mechanism introduced by the management is also implemented with the idea of ​​making the stock market develop better.

In my previous life, I just ignored the trend of the index in the early trading today, thinking that I could buy the bottom after the big drop in the day, but I was buried on the road to the bottom. Succeeded to double.

However, this process is still very torturous, that is, Gu Junhao is used to medium and long-term trading. Under normal circumstances, if he is used to short-term trading, he would have already cut his flesh by the time he cut it in half.

However, even if it was cut in half, Gu Junhao, who has always been courageous, did not dare to buy bottoms. He was really afraid of falling. When the position is not high, it is better to lie flat with the idea of ​​leeks.

After the official trading started, the gapped and falling indexes and individual stocks went down without any surprise. The trend at this time was still an adjustment under normal circumstances, and the market did not have any panic behavior.

At 9:48, the stock index fell below 3500 points to 3491.87 points, down 1.31% within the day, which is a normal adjustment, and there is still support from the 60-day line lifeline downward. Many investors entered the market to buy the bottom.

In fact, if the opening party starts to fall rapidly, this kind of trend is more beneficial to investors. Often at this time, most investors will quickly lose their flesh due to panicked falls.

However, this seemingly normal downward adjustment, coupled with a supportive trend, is often the most deceptive. Even investors who were bearish on the stock market a few years ago may not be able to help but add their own judgments at this time. Enter the market to buy the bottom.

After all, most individual stocks are now falling by more than 3% and 5%. Buying the bottom at this time may get a good start in 2016.

At 10 o'clock, after the Shanghai Composite Index fell below 9 points at 50:3490, the 10-minute sideways trend ended. Individual stocks and the index began to accelerate their decline. Within 15 minutes of trading time, the index fell from -1.3%. To -4.03%, the rate of decline is astonishing.

The Shanghai Composite Index reported 3396.54 points. Within 45 minutes of trading in the morning, it broke through 3500 points and 3400 points. The daily trend was all broken. At this time, investors began to panic.

Limit-down stocks began to gradually increase, and it seems that they have returned to the time period of the 2015 stock market crash, and this 45-minute drop is also the largest drop in the Shanghai Composite Index since November 11.

The daily trend of the Shanghai Composite Index broke across the board, and the weekly line fell below the 5-day line and the 10-day line, facing the pressure of the 20-day line. From the monthly line, the trend of three consecutive positives on the monthly line is facing pressure. There is no resistance.

Since then, after the Shanghai Composite Index fell below 3400 points, in addition to the increase in the number of stocks with a limit-down limit, investment funds have gradually entered the market, and there is also a small-scale protection of the heavyweight sector, which has a certain resistance.

The index rose again above 3400 points, with a drop of about 3% and began to trade sideways; however, the downward shock was still intensifying. By the end of the afternoon, the Shanghai Composite Index fell below 3400 points again.

At noon, it closed at 3399.91 points, down 3.94%. The ChiNext Index closed at 2562.06 points, down 5.6% within the day. The index was not within the regulation of the circuit breaker, otherwise at 10:15, the two cities would have triggered the first circuit breaker up.

With the drop at 10:15, the ChiNext Index fell by more than 5.6%. That is to say, within one and a half hours after the first intraday sharp drop, the Shanghai and Shenzhen stock markets rebounded in shock and had no effect.

The three major indexes all ended the early trading today with a bald and bare-footed negative line. It is also the trend of no rebound effect within an hour and a half that makes investors gradually realize the existence of risks.

"Shouldn't you be able to buy bottoms today?" While having lunch, Cao Wenxun looked at Gu Junhao and said, the two tradable stocks in the current holdings are relatively good compared to the index.

Although the growth rate of the liquor sector in 2015 was not very large, it was definitely regarded as the king in terms of resilience. Today’s index plummeted, and with the trend of thousands of shares falling, Maotai Liquor closed down 2% at noon. Wuliangye closed down 3.34% at noon.

From the trend point of view, the resistance is stronger than that of the index, but it is precisely this kind of resistance that Cao Wenxun thinks that Gu Junhao should not buy bottoms today.

The three major indexes are obviously unable to rebound. No matter how strong the resistance is, white horse stocks of this weight will adjust as the index falls again. This is the case when the overall market is in a downturn.

"Buying the bottom? It's still early, let's witness a miracle this afternoon." Gu Junhao responded with a smile.

"Gu always thinks that the circuit breaker will be triggered in the afternoon?" Wu Peng hurriedly said, even for experienced traders like them, their ability to accept new things is not as fast as Gu Junhao who has experienced it once.

Thinking about it this way, Gu Junhao is much more bizarre than the experience of 99% of investors. This is the second time he has experienced this kind of opportunity that may never come across once in a lifetime.

"Haha, I'll find out in the afternoon."

Gu Junhao didn't say much either. Today's decline has exceeded 4%. With such a sluggish trend, there will be an accelerated decline without a circuit breaker. This is already inevitable, but this time the accelerated decline will allow you to experience different feelings.

After the official start of trading in the afternoon, the Shanghai Composite Index once again accelerated its downward trend. In just one minute of trading time, the index once again set a new intraday low, with a drop of more than 1%.

As the decline approached 5%, the panic on the disk also began to accelerate, and investors began to invest with their feet. At 13:10, the Shanghai Composite Index votr took 3370.79 points, and the intraday drop reached 4.76%.

There is only 0.24% of the distance left before the circuit breaker is triggered for the first time in the history of A-shares, and the point of decline is less than 10 points.

At 13:13, the Shanghai Composite Index reported 3363.51 points, down 4.96%. However, at this time, the CSI 300 Index fell to 5% first, triggering the first circuit breaker mechanism. minute.

"What the hell? Suspended? Is this a circuit breaker?" Wang Ruoyu said in a daze. In fact, most investors are in a state of ignorance at this time.

When the new rules were launched for the first time, they were triggered so quickly. In fact, most investors are still far from adapting to the rules. Even most investors participating today don’t even know what the circuit breaker is.

"Well, you must have witnessed a miracle, haha." Gu Junhao looked at the crowd and said with a smile.

Within 15 minutes of the suspension of trading, investors in the two cities were in the process of waiting, venting their emotions about the stock market on the Internet to their heart's content, jokes and major stock reviews, and big V frantically forwarded all kinds of news.

15 minutes is enough to popularize the basic knowledge of the circuit breaker for investors. At this time, some investors have realized that the circuit breaker may amplify panic. In each future trading day, as long as the main funds in the market want to trigger the circuit breaker, They are capable enough.

You don’t need too much money, you just need to sell the heavyweight stocks quickly at the opening of the market. When individual stocks and the index fall rapidly, it will inevitably trigger selling, which will form a chain reaction, so that future transactions will continue in this state. .

On the first day of trading in 2016, the circuit breaker mechanism and the main funds on the market, with practical actions, taught retail investors a vivid lesson on what is control and what is powerlessness.

This time, the Shanghai and Shenzhen 300 Index first touched the 5% circuit breaker mechanism, which is also a good proof. It is enough to hit stocks with a high weight ratio in the Shanghai and Shenzhen 300 sectors. As for other stocks, no capital investment is required.

In this way, for the favorite chips, the main force in the field does not even need to spend any funds to smash the market, and can get very cheap chips under the chain reaction. For this part of the funds, the circuit breaker is simply a huge benefit.

Fifteen minutes later, the Shanghai and Shenzhen stock markets resumed trading. Under the panic, the index continued to fall. Numerous small investors and some institutions began to follow suit and smash the market. It was more obvious than in the morning. up.

At 13:34, 20 minutes after the resumption of trading, the Shanghai and Shenzhen 300 Index once again fell to 7% first, and the second circuit breaker mechanism was triggered again, and the Shanghai and Shenzhen stock markets suspended trading again, but this time the suspension was until the market closed today.

That is to say, so far, the first trading day of 2016 has come to an end. The Shanghai Composite Index closed at 3296.66 points, a drop of 6.85%, and the Growth Enterprise Market Index fell 8.21%.

Stocks in the small and medium-sized sectors almost fell by the limit again. Tianqi Liye fell by the limit, and the stock price was reported at 126.88 yuan. Longji shares closed down 9.45%, and the stock price fell to 12.36 yuan. After three consecutive trading days of sharp decline, the trend of Longji’s stock price has been completely destroyed. .

In terms of personal holdings, Gu Junhao’s market value evaporated as much as 3870 million yuan in one day today.

Relatively speaking, the liquor sector is very resistant. Maotai closed down 3.74% in the afternoon until the second circuit breaker stopped trading, and Wuliangye closed down 5.9%. Compared with the limit of thousands of shares, this is already very high. Well done.

In just half a day, investors fully realized the horror of the circuit breaker, and the early termination of today's transaction also left investors at a loss.

This is true even for the traders in Junshi Capital's trading room. At this time, there are already 10 traders in the trading room, and after New Year's Day, all the new staff have been in place.

At this moment, these 10 people, especially the 6 new traders who joined the job today, are even more stunned. They did not expect that on the first day of joining Junshi Capital, which was the most popular last year, the day without any transactions was brought forward like this. it's over.

This is really unimaginable, and what makes them even more unimaginable is that a fund with a scale of 65 billion yuan has only allocated three backing positions, and one of them is even in a suspended state.

Combining the performance of the Junshi No. [-] fund's net value before New Year's Day and the performance of the market today after the circuit breaker mechanism went live, Mr. Gu should have not increased his position at all since the second subscription.

There is even a substantial reduction in positions, because since December, the fluctuation of the net worth of Junshi No. 12 has become smaller and smaller. For experienced traders, it is not difficult to see this even without looking at the transaction sheet. .

Thinking about it this way, Mr. Gu is really scary. This is clearly going long and short. He not only participated in the rescue of the market at the request of the regulatory authorities, but also saved his fund from suffering large losses.

It has all the face inside, and outsiders can't find any faults. What's even more unimaginable is that there is Vanke A in Junshi No. [-]'s positions. It can be imagined that the cost of holding positions is even more outrageous.

You only need to look at Vanke A's holding cost to know how much profit Mr. Gu has earned in this round of equity competition.

Today's market performance shocked them even more. There is no need for comments on the Internet. Mr. Gu has a very strong view of the overall situation. minimized.

The first trading day in 2016 was a dream day for the countless investors who participated in investing in A shares, as well as the six new traders who joined Junshi Capital.

(End of this chapter)