My Fintech Empire

The decline of the New Securities 50 Index slowed down in the following days. The main reason was that the stabilization fund made continuous moves and the market fell back for five consecutive days. The stabilization fund bought for five consecutive days, injecting more than 420 billion yuan of real money liquidity into the market.

A stock exchange group.

A group member posted a screenshot of the earnings and cursed in the group: [I missed the opportunity in February, and all the earnings in March and April were gone. I also lost 6 points. They were all cut by the stabilization fund. They played it like a 6. They sold at the high point to cash out, and now they are buying at the bottom. Are they here to cut leeks? ]

This group member sent such a message to complain, and was quickly responded by several other group members.

[No, are you stupid? If the stabilization fund had not made a move, you would not have lost 6 points, but 20 points might not be able to hold up. ]

[Although I also lost more than 2 points in the past two months, I don’t blame the management of SGX this time. I did use leverage, and if the stabilization fund hadn’t stepped in to support the market the day after the big drop, I might have lost more than 10 points. The operation of the stabilization fund is beyond reproach. ]

The group member sent a message again to refute: [The stabilization fund made a profit of 1 trillion yuan in a wave of high-selling and low-buying. Isn’t it cutting leeks? ]

As soon as this was said, it was immediately countered by other group members.

[I really want to die of laughter. The SGX stabilization fund is almost an open market operation. On February 25, it was openly sold. The management also repeatedly warned not to use leverage and financing, but did the market listen? It kept pushing it to the death. Why didn’t it say anything at that time? ]

[What is going on with the market this time? Everyone has some idea in their mind. To put it bluntly, everyone wants to get rich overnight. Anyway, among the few people I know, two have added leverage in different ways. Don't listen. If you make money, you have the ability, but don't curse if you lose. ]

[Since February 22, the management of SGX has repeatedly called for it, and the words have become more and more severe, but the market has leveraged against the wind, and it has been unbearable to pull a few out to sacrifice. This wave is really not the fault of the management. ]

[In theory, as long as you don't use leverage in this wave, it is basically impossible to lose money. Even if it has adjusted to the present, it is at most a profit retracement, and the principal will not be seriously damaged. Of course, if you entered at 5500 points, just ignore what I said and stand guard honestly.

And even if you are trapped at 5500 points, as long as you don't sell, the SGX market will most likely help you get out of the trap later. Judging from the past trend, you will be trapped for more than half a year at most. If there is still money to buy at a low point to reduce costs, you will be untied in less than half a year. ]

[There is nothing much to say. The management of SGX did the right thing this time and it was timely. If you really wait until the market reaches 10,000 points before removing the leverage, you will be in despair. By then, it will be more tragic than the leverage bull market in 2015. ]

[Excuse me, those who criticize the stabilization fund are either stupid or bad. If the stabilization fund wanted to reap the profits, it should not have rushed into the market the day after the big drop on April 22. Anyone who thinks with his brain knows that it is impossible for the leveraged funds in the market to withdraw all in one day. The market will definitely continue to fall. If they want to reap the profits, they should further amplify the panic, continue the plunge, and then buy the bottom and get the bloody chips. ]

[Indeed, how could such a stupid institution enter the market the day after the big drop on April 22? ]

[Stabilization Fund: I don’t want to make money, but you insist on making me make money, I have to… (covering face.jpg)]

[During the window guidance, when the price was over 5,400 points, we started to reduce our positions gradually. The rise brought risks and the fall brought opportunities. Now it is time to increase our positions on dips. I hope it will fall a little more so that I can buy the bargains at the bottom… (manually funny)]

[The same sentence, don’t use leverage, don’t use leverage, don’t use leverage, important words are emphasized three times. ]

[I don’t dare to do it anymore, I’m afraid that my account will be locked up in a small black room… (covering face.jpg)]

…

At present, except for a few people who are confused or led by the rhythm and scold the Stabilization Fund for selling high and buying the bargains, most investors have not said much, and those who scold the Stabilization Fund have been retorted by most people.

Because everyone knows what happened in their hearts, it is greed. The management has advised for two months, and the Stabilization Fund has been operating in the open market for so long, but it still rushed up with leverage. No one can blame the management, let alone the Stabilization Fund.

Most people are willing to admit their losses even if they have suffered a lot in this wave, because they are indeed greedy and lucky, and they do not have the confidence to blame the management and the stabilization fund.

Moreover, those who have suffered a lot will not wail, because they have made money in the SGX market as a whole in the past few years, and the overall return of the account is still positive. Even if they suffer a lot now, they will only stand guard for a while.

Everyone is still very confident in recovering their capital, mainly because they have confidence in the SGX market. If they are stuck in the 5,500 points of the Shanghai Composite Index next door, they will feel very disappointed.

Objectively speaking, the stabilization fund did sell high and then buy the bottom, but if the stabilization fund does not come out, the stocks in everyone's hands will only fall more miserably, instead of slowing down the decline the next day after the big drop.

If the stabilization fund does not take action in time, some stocks with more leveraged funds may have hit the limit down on April 22 and opened directly at the limit down the next day. At least three consecutive limit downs will be required to get out, which means a loss of more than -35%.

The stabilization fund stepped in to support the market the next day, so that many stocks that plummeted to the limit on April 22 did not continue to fall to the limit, and many people were able to leave the next day.

…

The next day, Tuesday, April 30.

Today is the last trading day before the May Day holiday. After six consecutive days of selling, the market ushered in a rebound with reduced volume today.

The SGX 50 Index stopped falling for six consecutive days. The short-term sharp drop itself also has the need for a technical rebound. The SGX 50 Index recovered the 5100-point mark today, and rose +1.53% after the market, closing at 5140.19 points. The full-day trading volume of the SGX market shrank to 620.8 billion, which was more than 110 billion less than yesterday.

Today, the main game of funds in the market is to grab the rebound. There is no incremental funds, and there are still funds deleveraging, but the leveraged funds are almost gone.

In addition, there is a short holiday for May Day. At this moment, most people are cautious in their operations, and most people choose to hold coins for the holiday. Last week, the management of the SGX pulled out a few flags, which still had a strong deterrent effect on the market.

Everyone is also worried that there will be bad news during the holiday, so they are naturally cautious in their operations.

The reflection on the market is that today's trading volume has shrunk to 600 billion, which is more than half of the peak period of 1.39 trillion.

This time, the effect of removing leverage and eliminating margin financing is significant. In the face of the huge deterrent of market entry ban, in the past week or so, the leveraged funds and margin financing in the market have been automatically cleared, and less than 15% are left, which is much lower than the safety line.

Fang Hong did not expect to clean up completely, and it is impossible to completely eliminate leveraged funds in the market. As long as it is not too much, and the whole people do not participate in leveraged margin financing, it is not a big problem, and the existence of leveraged funds is also reasonable.

The leveraged fund problem in the SGX market has been solved, and Fang Hong will no longer pay attention to the capital market in the following days.

He shifted his focus to preventing the "mask" super black swan event, which is the top priority this year.

Fang Hong's goal is clear and clear, that is, in this life, he must not let the "mask" event rage throughout the land of China, and then sit back and watch Amei Lika play out and bite himself.

…