Saturday, June 13, 2015

Seeing this "Changsha Stockholders 1.7 Million Quadruple Financing Whole Position One Share Lost All Two Days and Jumped Off the Building", I deeply regretted that another comrade-in-arms fell, and still in the feast of the bull market, he actually gave up his precious life because of the loss.

After reading my news, I was pondering a question: the lethality of the subject! What kind of legend did this gentleman believe in that made him firmly believe that this stock would rise and not fall, and he did not hesitate to use leveraged funds to enter this stock?

China's stock market, the lethality of the subject matter is too great, my original stock selection principle is "subject + technical + my trading system", to May 2015, my stock selection principle directly removed the subject matter and changed to "technical side + my trading system", the reason is that now many stocks, has risen too high, even if there is a theme, do not dare to chase, I simply give up the theme option, because in the bull market, as long as it is a good quality stock, there is no sharp rise, stagflation stocks themselves are the theme, in the bull market, It is inevitable that feng shui will take turns, maybe when, he will turn to that obscure stock, and don't worry about the subject matter, even if he doesn't have a theme, someone will create a theme for him.

And the new retail friends, in order to make a quick profit, what theme is loud to rush there, China Shenche stock, has long been objected, saying that the valuation is high, but many friends do not seem to listen, the reason is that even if someone says, but the stock price is still rising, and the current price may not be the peak, if the bull market continues, the stock price of 100 yuan may not be. That's the charm of the subject matter.

In life, mythology is always an unattainable dream, but in the stock market, myths can be transformed into soaring stock prices, the myth of the stock market is the theme, the theme is the catalyst of the stock price, is the east wind of the stock price, the stock price is just a kite, with the theme, it will fly higher and higher, with the mythical theme, the stock price will fly to outer space.

I have suffered greatly from the subject matter, and I still have lingering palpitations about the lethality of the subject matter.

After the great bull market of 2007, the stock market fell and controversy ensued, including the reduction of stamp duty.

Finally, on April 22, 2008, the stock market stabilized in the extreme panic of the year, the stock market fell from 125 points to 28 points, and closed a bottoming hammer line.

On April 23, 2008, the stock price opened low and went high, sweeping away the haze, and stock commentators said that there was no news, just an over-fall rebound. But after the closing, someone released the news, said to reduce the stamp duty, which made all the shareholders see hope, it seems that the stock market decline can be reversed, I am like many people, staring at the news trends, evening news broadcast, and finally broadcast the "April 24, 2008 securities transaction stamp duty to one thousandth" news, all the shareholders cheered, everyone ran to tell each other, I was even more excited, thought that a new round of bull market launched, all the money in hand ready, and also called my relatives, I borrowed money to speculate in stocks, but I was rejected by my relative, and now I am grateful to this relative for not lending it to me in the first place, otherwise, the stock market may have lost a person who is chattering here. Because, after the next day, this theme became a hunting ground for all retail investors.

The next day, as soon as the market opened, all the small-cap stocks were up and down, you didn't have a chance to buy them at all, and you just walked around with the money, and later, you had to find a few large-cap stocks that didn't have a limit in ink to rush in, and at that time you didn't have a choice, it seemed that if you didn't grab the chips, you wouldn't be able to eat that mouthful of meat. On the same day, the Shanghai Composite Index rose 340.70, up 9.29%, and the entire Shanghai Composite Index is about to rise and fall, which you can't imagine, and people all over the world can't imagine, because A-shares have created another miracle that shocked the people of the world.

In the next few days, some stocks began to toss, toss and toss, and the stocks I grabbed were grinding and chirping and refused to rise, and then, on May 20, 2008, a long black candle of more than 4% completely shattered the bull market dream of all retail investors. At this time, I knew that on the 22nd and 23rd, those prescient funds had already run into the market, waiting for the news on the 24th to be revealed, waiting for our group of small fish and shrimp to jump into the pot, cover the pot, and make a delicious meal of encirclement and suppression of retail households.

I may be a bit extreme, but the asymmetry of stock market news is really hurting, and a lot of the news is obtained by insiders, then by foreign people, and finally back to China. This situation in the stock market is seriously detached from the physical principle of nearby transmission, and these news are the so-called subject matter.

Therefore, when retail investors know the subject matter, it is often the stock price that has already soared, and tempting retail investors to work hard with one after another price limit.

Here I would like to cite another example related to the subject matter, in addition to the last East China Computer, it is the only stock that has made me lose money in the past two years, Yongxin shares.

March 8, 2014, it was Saturday, I looked for my favorite stocks as usual, in accordance with my "theme + technical" stock selection principle, I chose the Yongxin shares of the concept of giving birth to a second child in full swing, because the stocks with the same theme are not flying out, only Yongxin shares, the fundamentals are good, the wash is sufficient, it is not rising. I was on March 10, 2014, At the price of 7.92 yuan tentatively buy 3,000 shares of the bottom position, the day was covered, next, a few days after the ink trend unset, March 20, 2014 appeared high open, at this time, thought that spring arrived, the concept of babies, it is reasonable, so, an excited, it violated their own trading principles, put aside my trading system, at the opening price of 7.99 yuan to add 12,000 shares, looking forward to a blow to win, but I was wrong, on the day of a big black line fell 0.24 yuan, after a few days, and returned to the small step torture trend, and on April 29, 2014, the lowest fell to 6.71 yuan, thereafter, it returned to the trend of the pan, from April 29 to July 24, close to the trend of 3 months, at this time, the concept of babies and children is finished, and then on the SASAC reform concept, and even to the beginning of the concept of intelligent machines, he still did not move, finally, I on June 12, 2014, at a price of 7.06 yuan, completely cleared, even the bottom of the warehouse did not stay, sadly left it, so far, on this stock lost nearly 11,000 yuan.

Afterwards, I concluded that the reason for the loss was because it violated its own trading principles, and did not put the key factor of "theme + technical resonance" into it, which led to this tragedy. And, after I failed, I knew that this stock met my stock selection criteria and should be tracked in the bottom position, but I gave it up because of disgust, and after that, there was a "theme + technical" resonance, because of disgust, I didn't make a decisive attack, and left a regret.

This regret left a valuable asset: in the right time in the stock market, the right myth appeared, in order to dig the glittering gold.

If you only see the myth, regardless of whether it is the right time, you may receive a thunder that will explode at any time.

Since this incident, I have become more determined in my operation method of reducing positions and locking in profits, because I am a relatively conservative person, not suitable for reckless attacks, and if I have a bad mentality, I may be wrong again and again.

Many new retail investors around me have outperformed me, and they sometimes turn around and smile contemptuously at me running behind, but I won't learn from them, and I won't be jealous of them, I will bless them to run farther, they follow the theme, chase the limit, someone can reap 50% of the profit in a few days, but for me, no matter what, I can't grasp this profit, even if I get it, I feel like a dream, unlike every penny I harvest now, I feel real, it is the result of my hard work.

I believe that in a year, two years from now, I will still be running on the road, maybe until my hair is gray, but the retail friends who are running ahead, I remind you that there are many bottomless cliffs ahead, so don't lose your footing.

At this point, this is my vague expression of my attitude towards the subject matter, I hope it will be helpful to those who are destined.

At the same time, I pay a moment of silence to the comrade-in-arms who gave up his life in the bull market, and hope that his family will get out of the pain of the stock market as soon as possible!