“... After the bill was passed and international silver prices soared, there were many channels that would send back the trends in foreign silver prices in a timely manner, so we didn’t have to pass them on ourselves.
According to the information we have learned, after the U.S. silver market reopened last night, the price of silver is still rising steadily, and the U.S. government has kept its promise and has officially purchased silver from the international silver market, and it is expected to continue to rise."
Lin Mo heard this and said with a smile: "I just bought the domestic silver at a price far lower than the market price, and now I'm regretting the agreement. How can those people be happy and not make trouble to death? But the purchase volume is definitely not large, and now at such a high price
Buying a large amount at a certain price will definitely make more people dissatisfied, so this action should just be a show of force to show your attitude."
Lin Zhenping nodded and said: "That is indeed what the news said, but an attitude is enough, which is a great benefit. After all, the entire rise in silver is driven by the passage and implementation of the bill.
But I want to ask, do you think the price of silver can break through the one dollar mark? Or even rise higher. News coming back from the United States shows that many investors, newspapers, etc. are now convinced that it can rise to more than one dollar."
Lin Mo did not answer, but asked instead: "How many contracts have been sold so far?"
"...It's all done..." Lin Zhenping replied and explained: "In the United States, all those who originally bought have been sold. They started selling in small quantities at more than sixty cents, and started selling in large quantities after seventy cents.
After ten cents, they threw out a lot of money, and after eighty cents, they had already thrown out the last bit, which was a bit early."
Seeing that Lin Zhenping looked a little distressed, Lin Mo said unceremoniously: "You are just thinking in hindsight. I guess at the beginning, it was less than sixty cents, so you probably couldn't hold your breath anymore, right?"
Hearing this, Lin Zhenping touched his nose in embarrassment. Lin Mo's guess was absolutely correct. They were a little unable to sit still before and after the bill was signed. However, after it skyrocketed, their hearts swelled again. Fortunately, they were relatively patient.
He kept his temper and did not interfere randomly, trusting the judgment of the other party.
"... There are not many problems with his judgment and timing of selling. Our capital volume is very large. If we really wait until it is close to the peak before selling, there will not be so many buyers who can absorb the volume of goods.
This can be seen from the fact that the price went from more than 60 cents to more than 80 cents, which lasted for nearly a month. It is definitely not that he did not want to make a move quickly, but that he made a move too quickly, which may turn into a smash, resulting in
If the price plummets, not only will it be impossible to ship goods, but it may also turn the originally good situation into a loss of money.
Therefore, we can only sell small amounts and many times slowly, so that the market will not fluctuate too much, and even when the price drops too much, we need to buy in time and drag it out to support the price, so as to create a suitable opportunity for ourselves to ship.
Moreover, the increase is only a number, and it is real if we really lose money. Besides, we have made a lot of money! The ratio of margin and reserve required in the transaction is basically within 10%, which is more than 10 times the leverage.
, the proportion of positions is not low. After calculation, as long as the average cost price of positions and the average selling price can double, we can double the principal many times, not to mention ten times, but seven or eight times."
Hearing the seven or eight times increase, even Lin Zhenping, who had already made an estimate before, couldn't help but smile. He was breathing heavily. If he could participate in this matter, he must have a share of the money.
.
Not to mention the rewards and benefits after the event, he has the Lin family's industrial equity, part of which was given to him by his father, and part of which was given to him after he reached the top level of the company. The money invested by the Lin family has increased seven or eight times.
His family property will not be reduced less than seven or eight times.
Some people may say, does he have no other property except equity? How can his family property be doubled at least seven or eight times? I just want to say that the doubling is only cash, which is not proportional to the increase in the actual value of equity. A company
There will never be many people who are willing to sell if their capital is doubled, but the price of their equity is only doubled.
After a while, Lin Zhenping calmed down, thought for a while and asked: "Do the funds in our family have such a big impact? Can a casual move affect the skyrocketing and plummeting of international silver prices?"
After hearing this, Lin Mo finally understood that Lin Zhenping was still at the level of a ignorant layman. He didn't know where he heard the theories just now. He probably hasn't studied them in a systematic and in-depth manner.
Just speaking according to the script.
“First of all, let’s make it clear that although the transaction scale of this market is not small, the number of contracts that are traded and circulated at the same time is limited, and the amount we have on hand is far more than the normal circulation number in the market.
If you throw a bunch of them out for trading, the buyer can't take it for a while, so he can only hang on. People who want to buy later see that there are a bunch of sell orders that can't be sold. How dare they buy? And those who hold them see that they can't sell.
At this point, do they still dare to continue to hold? If they want to sell, they have to bid lower, which will cause the price to start to fall?
Secondly, the amount of funds we actually mobilized is very large. Our family made a fortune from the banknotes before, plus the funds I provided, it is not a small amount in itself.
Our main transactions are contract transactions where we only pay margin and reserves. Assuming that we use 10% as an example and hold a full position, it means that we have leveraged ten times of the principal to enter the market. You
Is it big?
If this amount of funds enter the market at once, it will completely cause the price to skyrocket immediately, or even rise higher than it is now. Just play this way, we can't get out of the market, and others can't let you take the money away. This is also
One of the reasons why we are so cautious and sneaky and hide in the dark.
Finally, the money we invested has actually affected the price trend, but it is not obvious and it is not easy to understand. I am drawing a picture and I will be able to let you see it more clearly in a moment."
This chapter is not finished yet, please click on the next page to continue reading the exciting content! After Lin Mo finished speaking, he compared the various price transaction records that he had just dug out, while doing calculations on the blank paper, and drawing on the drawing paper with a ruler pen.
, Lin Zhenping turned around and took a look out of curiosity, but he was confused, but he didn't bother him in any way. He could see that Lin Mo was very involved and focused now.
"...Pa..." Lin Mo put down his ruler and pen, and turned the two drawing papers to Lin Zhenping, who was sitting opposite him. There were two charts on each of the two drawing papers, three of which were full line charts and one was a broken line column chart.
, Lin Mo opened his mouth and introduced Lin Zhenping.
They are the daily silver price and silver price increase and decrease line chart, as shown in Figure 1; the daily silver price increase and decrease line chart as the position increase and decrease, as Figure 2; the daily silver price increase and decrease and the position increase and decrease line chart, as shown in Figure 2.
The picture is Figure 3; the last is a trading chart similar to that of later generations, except that the K-line is replaced by a polyline. There are silver prices, silver price increases and decreases, trading volume and many other polylines combined together, as Figure 4.
The chart only contains data on U.S. international silver transactions. The increase and decrease in positions refers to the difference between the buying and selling quantities of their accounts. The trading volume that follows is the total trading volume of silver-related contracts in the entire market.
"Presenting the data in the form of charts can make people see it more intuitively and clearly. Figure 1 shows the silver price trend and the price increase and decrease. This is the most basic data, but the chart alone is just for
More convenient to view.
Figure 2 is similar. It is the independent data of our transactions. It is easy to view and compare. Figure 3 is a combination of the rise and fall data of the two above, plus the bar status. You can see a lot of things from it. Figure 4 is for my own use.
of.
Let’s talk about Figure 3! By simply comparing the line and column charts of the two data, you can actually see that there are many connections. After comparing the other two data in Figure 1 and Figure 2, it becomes even more obvious.
At the beginning of Figure 3, because our total positions are still limited, that is, the base is limited, the position increase data is somewhat distorted. It is like investing funds twice, with an increase of 50%. However, with the same funds for the third time, the increase dropped sharply.
It's more than 30%, so this data doesn't have much reference value here.
Moreover, the investment capital is still limited, and it is not enough to have an impact. We should start from one month later. At this time, as a large amount of funds have been received, and after early trial and error, the investment has begun to rise, and the positions have also reached a certain level.
the base of.
You see, as the increase in our positions increases at this time, the increase in silver prices is generally significantly greater than before, which is obviously related to the increase in our positions, indicating that the funds we have invested have affected the price of silver.
When the increase in our positions stabilizes or even slightly decreases, it means that our single-day entry amount has basically stabilized. As the silver price rises and the position base increases, the increase in positions stabilizes or even decreases slightly.
At this time, the increase in silver price has increased even faster, but this does not mean that the increase in silver price has nothing to do with our investment, but is also closely related to our investment.
Because the underlying objects of contracts circulating in the market are limited, as we continue to purchase and hold positions without selling, the number of underlying objects circulating in the market has been significantly reduced.
And as the price continues to rise, other new investors will also flood into the market, the circulation quantity will decrease, and the number of buyers will increase instead of falling. The market will begin to be in short supply, prices will rise faster, sellers will be reluctant to sell, and if the price rises again, the picture will appear.
A situation in which the price fold line gradually becomes steeper.
On the eve of the vote on the bill, the price began to rise rapidly. There must be reasons for the entry of large funds as you mentioned, but this trend must also be related to the situation we brought about in the early stage.
Because when large funds enter the market, they don’t want to push the price up sharply. The reason can be referred to my previous analysis. If the price rises sharply, sellers are reluctant to sell, and buyers compete, it is not conducive for large funds to buy and hold large quantities of positions.
If we hadn't warmed up the market in the early stage, there would never have been this kind of upward trend. It should have risen a little and then dropped a little, then risen a little and then dropped a little, making ordinary investors feel anxious and then sell.
It is convenient for them to buy and hold large quantities of positions.
I guess this sudden surge was caused by people who didn’t understand the market well enough and entered the market with a large sum of money. As a result, the market, which already had insufficient circulation, couldn’t handle it, and suddenly it violently rose..."