Chapter 1290 [Whoever dares to eat alone will be killed]
The main boards of the two cities have been in a bullish trend during this period, and on the SGX market, the SGX 50 index has led all major indexes in terms of growth during this period.
Especially on August 25, stimulated by the news that the second phase of the wealth fund was over-subscribed, the New Securities 50 Index rose 3.63% that day, directly breaking through the 2,700-point mark in one breath, and closed up 1.86% the next day.
It further pushed the SGX 50 Index to a record high of 2751.37 points.
After entering September, the rising momentum of the NSE 50 index slowed down and began to enter a period of consolidation. However, it also reached a record high of 2,792 points during the session, almost breaking through the 2,800 point mark.
Since the index bottomed out in May, in just 4 months, its cumulative increase has exceeded 33 percentage points, outperforming the Shanghai and Shenzhen 300 Index by a full margin, and its annual cumulative increase has exceeded 40 percentage points.
percentage point.
Looking back now, the sharp drop to 2097 points in May was a golden pit and a historical bottom.
The NSE 50 Index has also experienced the longest exponential bull market in the A-share market in the past two decades. The bull market in 2007 lasted for about a year and a half and peaked at 6124 points. The epic leveraged bull market the year before last
It lasted about a year and reached a solid 5178 points.
It has been more than a year and nine months since the SGX opened in early 2016, and it is still in the bull market. Every time it hits the bottom, many people think it is the top of the universe. As a result, the SGX 50 Index
Since then, it has risen again and again and reached all-time highs.
Many retail investors joked that since switching to the SGX, they have been living in fear of rising prices every day.
Although it was a joke, it was also a full sense of gain.
The emergence of SGX and the SGX 50 Index has allowed many retail investors to pick up the long-term value investment concepts that were thrown into the trash can. The sooner they enter SGX and hold on for a long time, the more retail investors will earn.
.
However, it is worth mentioning that the NSE 50 Index has gathered 50 constituent stocks since its launch, and has implemented three constituent stock adjustments. Some stocks have been eliminated, and some stocks have been selected. The eliminated stocks
There is no shortage of weight targets for some groups of galaxies.
For example, two listed companies, ATL Technology and Ruihe Pharmaceutical, were eliminated one after another, which also caused the stock prices of these two companies to plummet afterwards, and they are still undergoing adjustments.
In fact, these two companies are excellent in themselves, but they were still eliminated.
The reason is not that there is any problem with the company itself, but that the bottom chips are loosened and cleared. Simply put, the funds participating in the SGX, especially the large amounts of funds, either learn to be content and withdraw after making a certain profit, and just rely on it.
If he doesn't leave, a force will come to help him get out.
The NSE 50 Index will continue to be in a real long-term bull market for ten years. It is impossible for Fang Hong to let some large funds not leave for ten years to return liquidity. All of them will allow a few early interveners to eat up the premium. What follows
What do people eat?
At that time, you can take advantage of the huge profits and sell the market unscrupulously. The latecomers are not stupid, and they will not be able to take over such a big selling pressure from you.
ATL Technology and Ruihe Pharmaceutical were excluded from the SGX 50 Index constituent stocks because of the large amount of funds held in them. Knowing that Qunxing Capital is working hard to build a super long-term bull on the SGX, I thought
Win all the way to the end.
This is typical ignorance of good and evil.
The fact that Fang Hong or Qunxing Capital wants to build a super long-term bull on the SGX is almost an open secret in a sense among many large institutions in the industry.
In this case, anyone who is sensible knows that it is impossible for a single institution to take advantage of it, and doing so will also annoy other institutions or large amounts of funds waiting to get on the train.
After you have finished eating, what else do others have to eat? Even the stars are eating alone.
Therefore, these two companies were eliminated from the NSE 50 Index, which directly cut off most of the liquidity, and they were also smashed. After the NSE 50 Index was not affected, Qunxing also acquiesced.
Therefore, there was no support for the market, which resulted in heavy losses for the funds that were held in and did not want to leave, and a large-scale retracement of profits.
There has never been such a thing as the "invisible hand" of market economy in this world. Even if there was, this "invisible hand" would be controlled by a powerful force, and the same is true for the U.S. stock market.
In the SGX market, many people know that Qunxing is the existence that controls the "invisible hand" behind the scenes, because the knife that cuts the cake is in the hands of Qunxing. If you want to play in this place, you have to accept Qunxing.
Plan for dividing the cake.
These are things that insiders have seen through without saying anything.
The large amount of funds that were stuck in ATL Technology and Ruihe Pharmaceutical later begged for mercy and realized that they were wrong. They cashed out obediently and left the market after a sharp retracement of profits. If they still refused to leave, there are still ways to cure them, such as setting
There are too many operations such as increasing and diluting equity.
Even if you were Sun Wukong with his seventy-two transformations, you still wouldn't be able to escape Tathagata's Five Fingers Mountain. No matter how powerful your supernatural powers are, you can still survive the opening scene?
There are also some retail investors involved in these two listed companies. During the period when the constituent stocks of the NSE 50 Index were removed, some retail investors made profits and escaped the disaster, while there were also retail investors who were just standing guard on the top of the mountain and were robbed.
I can only say that I happened to be unlucky and bought a quilt cover at the top of the mountain. It was purely a mistake. It is also a skill to make a lot of money.
From the perspective of the entire market ecosystem, the same applies to long-term retail investors. If the number of retail investors is not large, of course it can be tolerated and ignored, and it will not have much impact.
But if a large number of retail investors hold on for a long time and accumulate ten times or more profits but are still unwilling to close their hands and sell out, the impact will not be much smaller than that of a single large amount of funds, and may even have a greater negative impact, because it is often easier for retail investors to flee.
A panic stampede situation occurs.
This chapter is not over yet, please click on the next page to continue reading the exciting content! If such retail investors are extremely large and still refuse to take the initiative to take profits, there will also be a force to help them out.
clear.
Obviously, what Fang Hong wants is for all the funds participating in the SGX exchange to make a profit before leaving. Don't think about whether one family will eat up, leaving those who get on the bus behind without having anything to eat, and taking all the risks.
It's possible, but it's also unsustainable.
It is reflected in the market that funds come in and out, and few institutions can hold it for a long time. Even if it appears on the institutional position list for a long time, it will find that its positions are decreasing.
Only with such a cyclic and orderly entry and exit, will the NSE 50 Index always rise and the risks can be controlled. Only by continuously raising the center of gravity of the chips can we better control the entire market. In this way, there is no need to worry about holders unscrupulously smashing the market.
Because of rising costs, those who dare to sell stocks without restraint will also face huge losses.
If he enters the NSE 50 Index at 1,000 points, then holds it, and starts to sell at 10,000 points, of course he can sell the market unscrupulously. Even if the price is cut in half, he will still get 5 times the profit. Really?
If the price drops from 10,000 points to 5,000 points or even 3,000 points, there will definitely be systemic risks. At that time, the market will have to fight to protect the market. The price paid is unimaginable, especially in the future, the entire SGX market will become bigger and bigger.
But if he enters the market at 9,000 points, he will not dare to do so when it reaches 10,000 points. If the price falls below 9,000 points, it means that he himself will also start to lose money.
Therefore, it is not only to distribute the cake so that no one company can eat it alone, but also to dismantle the potential risks of the market and not allow a single institution to eat it to the end. Anyone who dares to do this will be punished.
Every rise in the market is accumulating short-selling energy, and every time the early holders take profits and clear out the short-selling energy, it is a release of short-selling energy.
The accumulation of short positions in ten years can be released once a year for a total of ten years, and the accumulation of short positions can be released once every ten years. The impact on the market is obviously fundamentally different.
The former is easily controllable, while the latter can detonate systemic risks if not careful.
