Rebirth of the Capital Legend

"That's natural." Hearing Yu Xiaolu's sigh, Lu Xiangxiang, the product manager of the Jufeng Future Growth Fund, laughed and said, "The core theme of 'big infrastructure' is the expected fundamental reversal theme clearly presented by the explosion of the offline real estate market. Whether it is the chip structure, the underlying logic, the expected explosion of future performance... and the expected explosion of stock prices, it is better than other major themes in the market. If the various funds in the market don't speculate on this theme, what else can they speculate on? This also shows that our trading strategy and investment strategy are completely correct. As long as the underlying logic continues to strengthen, then no matter how the market panics and sells off, it will definitely be a trap in hindsight."

"Yes, Mr. Lu is right." Seeing Lu Xiangxiang's happy expression, Yu Xiaolu also smiled and said, "Compared with half a year ago, the offline real estate market has been completely changed. I heard that our Magic City will soon introduce a purchase restriction policy, which is enough to show how exaggerated the increase in housing prices is. And as far as I know, many real estate developers in the industry are expanding by borrowing money. The era of 'big infrastructure'... I'm afraid it has really arrived."

"Indeed, not only has the real estate development market undergone earth-shaking changes compared to six months ago..." Lu Xiangxiang said, "The overall acceleration of the construction of bridges, railways, high-speed railways, subways, highways, etc. is also in the plan, and the development of the Silk Road on land and on the sea in the new era will further open up the incremental space for all walks of life in the entire infrastructure. This is a very bright future with a broad market space expectation. Therefore... the current main line of 'big infrastructure' can be said to have everything in mind, including expectations and policies, and all that is missing is the east wind."

"The 'easterly wind' that Mr. Lu mentioned should be the bullish sentiment of the market, right?" Yu Xiaolu said with a smile, "As long as the market sentiment can improve significantly, the core theme of 'big infrastructure' will inevitably have another round of major upward market, and the core leading stocks related to the entire industrial chain are expected to increase their share prices by at least several times."

"It's the bullish sentiment of the market." Lu Xiangxiang said, "At present, the market seems to lack some support in terms of emotions and confidence in this regard."

Yu Xiaolu nodded and said, "This thing...can't be rushed, we can only wait slowly. Fortunately, in the previous round of 'big infrastructure' main line of growth, after today's huge adjustment and shock, the short-term capital group that intervened in the previous round of the market, as well as the retail capital group that followed the trend, should have cleared out the profit-taking, and the floating stop-loss and locked-in positions have also been cleared a lot.

Next, there should be more funds and chips settled at this position.

Moreover, the market volume increased today, which is good.

Subsequently, we only need to wait for the market to continue to shrink in its volatile trend at this position, and further consolidate and precipitate the chip structure at this position.

Then, you can invest heavily and look forward to the next wave of rising market trends. "

"After today's and the recent days' turbulence, how long do you think the subsequent adjustment will take?" Lu Xiangxiang asked, "I feel that the market adjustment will not be over for long. At this point, apart from the core theme of 'big infrastructure', there is no time left.

Many of the other major market lines have also fallen to a point where they can no longer fall.

New energy industry chain, Internet software, electronic information, film and television media... these are the main sectors that have been abandoned by big funds before.

The volume has shrunk to the extreme now, and it feels like we can no longer sell at a loss.

As for the defensive main-line sectors such as liquor, white appliances, medicine, consumption, and finance that supported the continued weak rebound of the market index in the early stage, institutions have locked up their positions and their trading volume has shrunk severely for the time being. They can no longer fall, but they can no longer rise either.

The entire market is currently somewhat active, and both large institutional funds and short-term funds such as retail investors and hot money are participating relatively actively. The only sectors in the main line of "big infrastructure" are real estate development, building decoration, building materials, nonferrous metals, steel, coal and other related industrial chain sectors, as well as straight-line sectors such as security lenses and consumer electronics, which are expected to perform relatively well.

The blue chips cannot rise, and the small and medium-sized stocks cannot fall.

When both of these begin to show a change in style, it is naturally time for the core theme of "big infrastructure" to shine. "

"Yeah, I think so too." Yu Xiaolu nodded and said, "It feels like the market investment style is indeed going to change. The expectations for this year and even next year for defensive main-line sectors such as liquor, white goods, medicine, consumption, and finance are actually reflected in the stock price. It is not realistic to expect a big increase in the short term. In addition, in these defensive main-line sectors, due to the continued grouping of large institutions in the early stage.

This has led to a large number of institutional profit-taking in these main sectors.

In addition, the second half of the year is a time when major institutions compete for performance rankings and seek flexibility, and it is also a time to actively adjust their portfolios.

Therefore, institutions will have a strong desire to profit-sell in these weighted main sectors.

Of course, as the real main force of funds in these core mainline areas, the "national team" will most likely not move the trillions of chips in its hands.

In other words, the real main funds will not move.

However, institutions have a strong desire to lock in profits and reduce their positions.

This does indeed mean that these defensive main-line sectors lack the upward momentum in the second half of the year.

When institutional funds come out of these defensive main-line sectors, they will inevitably choose main-line sectors with relatively high certainty and flexibility.

In this way, these institutional capital groups will inevitably further increase their holdings of chips in the core theme of "big infrastructure".

Let’s talk about film and television media, Internet software, electronic information, new energy industry chain... These main sectors that were oversold in the early stage have already lacked liquidity due to the terrible loss effect in the early stage.

Before the expectations for the fundamentals of these main sector industries change.

It is estimated that it is difficult for any major capital group to dare to intervene in these main sectors to manipulate the market.

Hot money and retail investors will naturally avoid the main sectors with serious losing effects, no money-making effects, and which are easy to fall but difficult to rise.

In other words, whether it is short-term capital groups such as hot money and retail investors.

It is still the institutional main force these long-term capital groups.

In the second half of the year, there is a high probability that the performance will be as good as expected, and the industry's fundamentals will converge in the main area of ​​"big infrastructure" which continues to improve.

That is to say, the core area of ​​'big infrastructure'.

In the next six months, there will be a huge amount of potential incremental funds.

What we have just analyzed is just the expected trend of funds in the market. Let’s talk about the outside world...as the sentiment in the market gradually improves and the market gradually stabilizes.

Then, as the money-making effect grows, it will inevitably attract some off-market capital groups to intervene.

What will these off-market capital groups buy when they intervene?

You should definitely buy related stocks and main sector stocks with strong profit-making effects, good fundamentals, and strong expectations for explosive performance.

There is no doubt that in the entire market, only a few main sectors such as "big infrastructure" and "consumer electronics" have such underlying logic and strong expectations.

In other words, when off-market funds enter the market, they will most likely converge on the core theme of "big infrastructure."

In this way, both on-site and off-site capital groups will most likely converge on the core theme of "big infrastructure", and the market trend of this core theme of "big infrastructure" will naturally not be too bad. "

"No matter how we analyze it, the fundamental logic, policy expectations, market capital buying direction, and performance explosion expectations... there is no reason not to invest heavily in the core theme of 'big infrastructure'." Lu Xiangxiang said, "So we have to continue to follow the previous trading strategy and continue to invest in the core theme of 'big infrastructure'."

"Okay, Mr. Lu." Yu Xiaolu responded and said, "Recently, our fund products have welcomed a group of new investors, and we have a lot of incremental funds. As the core buying point of 'big infrastructure' becomes more prominent, I will let the traders continue to invest this part of the funds."

"How much additional funds have been added?" Lu Xiangxiang asked.

She has been busy with external social engagements these days and has not had a detailed understanding of the specific circumstances of the fund products. Basically, all matters were left to Yu Xiaolu.

Moreover, she also has new plans for the future development of the company.

She decided that if the fund product performance this year was good, then she would launch a new fund product next year and promote Yu Xiaolu to be the fund manager of the current main fund product.

"We have added about 2 million yuan in new funds," said Yu Xiaolu. "At present, our fund products have already squeezed into the top 5000 in the private equity industry in terms of performance. I feel that if the core theme of 'big infrastructure' can have another round of explosive growth in the second half of the year, there is still hope that our fund products' performance will be among the top 100."

"Then keep going." Lu Xiangxiang said with a smile, "I hope this is a good start."

Yu Xiaolu nodded and turned her gaze back to the two stock markets. She saw that during the discussion between the two of them, the time had already come to 5 o'clock in the afternoon.

The Dragon and Tiger lists of the two cities have been updated.

According to the disclosed data from the Dragon and Tiger List of the two cities, Yu Xiaolu saw that many institutional main seats, as well as hot money seats, generally showed a net buying trend, while retail investors' trading seats showed a net selling trend. This shows that a lot of funds have indeed been cut at losses during the recent market fluctuations.

It also indeed cleaned out a lot of previously deposited chips, reducing the upward selling pressure on the market in the future.

While she was paying attention to the Dragon and Tiger List data of the two markets, figuring out the intentions of the major funds in the market, and formulating subsequent market trading plans.

In the stock investment exchange forum across the entire network, countless retail investor groups have also engaged in heated discussions regarding the recent Dragon and Tiger list data.

"Oh, it's really a mess. Today, all the big funds are buying, and retail investors are selling in large quantities."

"Indeed, the net purchase amount of institutions, but on the Dragon and Tiger list of the two cities, has reached a scale of 15 billion, and the hot money as a whole has also net bought about 3 million yuan of funds."

"I was washed, and the bottom was cut. I really... cried to death."

"I sold my stocks at a loss as usual, but I saw the market rebound in the afternoon, with the Shanghai Composite Index turning positive. I recovered a lot of the stocks I sold at a loss. I hope today's golden needle will be the bottom. Don't sell at a lower price tomorrow, otherwise I will have no confidence in the future."

"It shouldn't open lower tomorrow, right? The market trend was so good this afternoon, and after the market closed, various institutions and media started to sing bullish views on the future of the market."

"That's it. If the institutions are bullish, the market will definitely fall tomorrow."

"Anyway, even if I'm stuck at this point, there's no need to sell. I don't believe the index will continue to fall back to 2500 points."

"Let's get back to 3000 points first. The market has been falling for a long time. I think...it's time for a decent rally."

"The higher the expectations, the greater the disappointment."

"Anyway, at this position, there will definitely be a rebound in the short term. Even if you lack confidence and want to sell at a loss, you should wait until the market rebounds and the bullish force weakens before selling at a loss. That way, you can at least save a little loss."

"It's difficult. I thought there would be a rebound, but the more I waited, the more disappointed I became. I sold my stocks at a loss when they rebounded this afternoon. I found that A-shares are toxic. Just talking about the main line of real estate development and the corresponding stocks, the trend of Hong Kong stocks is much smoother and the increase is much higher."

"Doesn't this mean that there is still great potential for future market growth?"

"Some people are selling at a loss, while others are buying in. This is normal. I am fully invested at the end of today's trading."

"Yes, I also feel that there will definitely be a good market here. Look at the many stocks that have plummeted in the market today. It is really purely panic selling. The big funds have not smashed the market at all. Not only did they not smash the market, but they all rushed to buy low-priced stocks to stop losses during the panic."

"Alas... those who sold at the bottom today are all blood chips."

"That's right. The big funds really made a lot of money today."

"Retail investors are selling, big funds are buying, it's obviously a trap to lure shorts and clean up the market. I feel there will definitely be a violent rebound in the next few days."

"Let's hope so. If there is no rebound, I will be out of the market soon. Fortunately... Fortunately, I have kept my faith today and did not sell at the worst time of the early trading."

"The Dragon and Tiger List data looks good. The only flaw is that I still don't see any increase in Mr. Su's position."

"It is very likely that Huayi Capital, headed by President Su, has already completed its position building target."

"The position building target has definitely been achieved."

"I think this is good. At least it shows that Huayi Capital, which is headed by President Su, is still locking up positions. As long as President Su locks up positions, it means he is still optimistic about the future market."

"Anyway, today's golden needle is testing the bottom, which is something. We can't be bearish easily at this position."

"We must not be bearish anymore. Whoever is bearish will lose his chips."

"In today's market, the strongest rebound in the afternoon trend is still the 'big infrastructure' theme. Do you think the core theme of the subsequent market rebound is still the 'big infrastructure' line?"

"Is there any doubt about this? It is definitely the 'big infrastructure' line."

"I have come to understand that no matter whether the market goes up or down, we must follow the core trend of the market. This way, we will lose less and it will be easier to rebound."

"That's right. Sectors like Internet software and film and television media are really junk sectors and have been completely abandoned by investors."

“The stocks in these two sectors should have been sold long ago.”

Along with heated discussions among many retail investor groups…

It can be clearly felt that the panic market sentiment in the morning has disappeared. In the current market sentiment atmosphere, whether it is institutions, hot money or retail investors, they have all come to their senses. And due to the stimulation of the deep V reversal trend in the afternoon, more and more investors have begun to be clearly bullish on the future market.