“Bear haunt” safety first

Thinking of the blessings of everyone for the Chinese new year, I hope you can be powerful in the year of the tiger. I’m afraid it’s the presence of bears and return to the earth! From the current technical point of view, both Shanghai and Shenzhen stock markets have entered the technical pattern of bear market! As for the gem index, there is still no rebound so far. After one head fell, the Bulls did not resist. What is this situation?

After the Spring Festival, the Shanghai index began to rebound, and even heavyweight blue chips began to come out to protect the market. However, the “pig teammate” gem index was repeatedly brought down by the three strongest sectors of cro, lithium battery and photovoltaic last year! So far, the gem index still shows no signs of bottoming out or any decent rebound!

Contemporary Amperex Technology Co.Limited(300750) , “ningmao” series stocks are really the main force of adjustment in this round of decline; There are also innovative drug service providers represented by Yaoming department, such as cro, CXO and CMO, which are really “deadly”; In addition, photovoltaic, “photovoltaic Mao” Longi Green Energy Technology Co.Ltd(601012) has also seen the technical arc top, which has been falling endlessly recently! These three sectors are the strongest in 2021, but they have also fallen the most since the end of last year. Therefore, the fundamental adjustment of the market is those stocks that are too big, too high and full of bubbles. Of course, if enterprises operate, they must be excellent and top enterprises, but their share prices have inevitably been hyped and raised by the market in the past two or three years, overdrawing their future performance. Therefore, now they are just paying for the overdraft consumption in the past.

As for their decline, there must be a limit. After all, these three mainstream track stocks still have growth and value, but where is the bottom? Maybe only institutions or markets know. As for ordinary investors, don’t guess!

If the gem index wants to stop falling, then the three mainstream track stocks must start to fall through and stop falling, then the gem index can stop falling! Although the gem index continues to fall, which will also cause some panic to the main board market, with the passage of time, we think the market will be “immune” by itself! After all, the main board market now relies on white horse blue chips to stabilize, such as banking stocks, insurance stocks, brokerage stocks, real estate stocks, infrastructure stocks, nonferrous metals, coal, steel and so on. Therefore, the recent Shanghai stock market has appeared obvious confrontation and differentiation with the GEM market!

If you want to do a good job in this wave of rebound market, you should first pay attention to these white horse blue chips that lead the market to stabilize and rebound; Secondly, silently pay attention to when the three mainstream track stocks have the opportunity to make a rebound. That’s all. In the bear market, either do hot spots or rebound!

The bear market in the market is determined. We also reminded you in our previous articles that we should pay attention to the presence and absence of bears in 2022 and control investment risks, but many people certainly didn’t think so at that time! But now? You should believe the author’s previous reminder, right? The market of “bear infestation” is still safety first.

In 2022, the biggest risk of the market is the track stocks and theme concept stocks that have risen in the past few years. This is something we have always stressed to avoid. Especially when they effectively fall below the annual line, we must cut out! For example, Wuxi Apptec Co.Ltd(603259) , Longi Green Energy Technology Co.Ltd(601012) , Eve Energy Co.Ltd(300014) are the representatives of falling below the annual line in their respective tracks. When they fall below the annual line effectively, it’s much better for you to cut your position than to hold it dead! The author has always stressed that this is the dividing line between the early bull market and the late bull market.

For stocks that have risen, the K line falls below the annual line, and from top to bottom, they enter the “gate of hell”; For stocks that have fallen much and thoroughly, after the sideways trading time is long enough, it is “fish leaping over the dragon’s gate” to break through the K line from bottom to top! I hope you can have a good understanding of the annual line of combat technology of throwing dagger. If you learn it, you will survive in the bear market. Otherwise, you will lose money!

Well, no matter what, the market will have its internal self trend and law. We can’t predict the top and bottom of the market, but we can still see the trend of the market! Therefore, at present, we must learn to follow the trend rather than operate against the trend. The bear market is not that you can’t be a stock, but if you want to survive in the bear market, you must learn the survival law in the bear market. Fall sharply and thoroughly, and the mood drops to the freezing point. Many people can’t help cutting meat, so they can consider bottom reading; On the contrary, when everyone thinks the market is better, the index almost rebounds or slightly breaks through the 60 day moving average and sells. That’s all. The bear market should be operated in reverse thinking, but it is definitely not to operate against the trend!

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