Category: Money tips Release Date: 2006-12-07
Source: Huatai Securities Author: Hao Mei
Late Wednesday a substantial adjustment to the index did not bring too much pressure on both the broader market lower Thursday morning in Shanghai and Shenzhen opened immediately began a strong rally in the market, airline stocks, and some brokerage stocks pulled the broader market on the strength of the strongest kinetic energy to do more than can be said that the re-air plate trend of a rapid stabilization of short squeeze holding the confidence of investors, with the plates gradually active stocks rebound tape another new high, the Shanghai Composite Zhongpan to 1684.19 points at close, large rose 42.89 points, closing the two cities is also a corresponding big bang, shows a record high in the broad market funds are becoming active again after the off-site signs.
The surface of today's message has the following message of concern: first, the central bank in its report, has been a marked risk of inflation. Bank of China released the first quarter of 2006, monetary policy implementation report said that China's future upward pressure on prices to be highly concerned about excessive growth of fixed asset investment, foreign trade structural contradiction, liquidity, too much potential risks, concerned with the overall inflation risks. Judging by past experience, the inflation trend and indicates that the stock market have a certain role in the long-term bullish pattern in the market is expected to continue. Today, the news of Handan Iron and Steel Baosteel raised placards equally striking, G Handan Steel shares surge in a row the tricky has finally been revealed. It can be said of the Handan Iron and Steel Baosteel's acquisition of tradable share reform and helped win the war under the conditions of acquisition of Muller's first shot through the market, the future development of the market has far-reaching significance. M & A concept stocks are also expected to once again become the focus of the market, investors should pay close attention.
From the disk of view, an active market for stocks Thursday covering mainly the military-related stocks, power stocks, brokerage stocks, low-priced stocks and non-stock reform compensatory growth stocks and so on, until there were hundreds of individual stocks closed limit-two cities, but with the index The steady push up the market once again showed an active posture, can be said that at a high level of broad based, after-market shock to investors holding a very strong faith.
The former leading resource stocks amid weakness in the market can have such a strong performance, shows that, after the shock of the latter part of May, tape has been successfully carried out structural adjustment, the military unit to take over resource stocks led a plate. And substituting as represented by the brokerage CITIC shares has become the market leader in the banner, cars, highways and other low-cost plate compensatory growth propelled the index more powerful counter-offensive. It can be said, because only from the small plates IPO floodgates began, its secondary market funds have been detached from the negative effects of the elimination of some new plates raised a strong broader market to continue to help drive up space to develop.
From a technical trend, the current operational situation index is still quite strong, following the Tuesday 5-day moving average line to wear on the 10th, after the re-arrangement of the current average for the system to the good, the market is running up the possibility of market outlook continues to great.
However, despite this, investors still can not be taken lightly, first of all, issuing new shares around the corner, its pricing levels on the market valuation will have a greater impact, while the size distribution of the fast and slow rhythms is still uncertain, so financial institutions to the venue extraction is still in the air. If you take good rhythm management, the market can form a stable market outlook, expectations will be conducive to an extension Quotes, and if the issue can not control the pace and scale of the market for capital is still not belittle the extraction pressure.
From the operating strategy, while the broader market highs, but the afternoon as the market structure adjustment, the possibility of huge fluctuations in the market outlook is still large, it is recommended to pay more attention to the defensive stocks, such as the overall market stocks, transportation stocks and cars with low Price compensatory growth stocks. Pre-or greater attention given to certain high-priced stocks to avoid.
