Category: Money tips Release Date: 2006-06-25
Source: Chen Shi
Drop trigger stamp duty increase, which is the market parties, may include the management of all unexpected. Most of the stock closed out three consecutive daily limit, this situation is the year, "editorial," the stock market after the introduction of almost the same. Regulation is to the healthy development of the stock market, soaring bad of course, but the crash is a sign of health, do? Recalling the history of China's stock market regulation and control of every man, and afterwards there are many lessons that need to sum up. This regulation is obviously backfired, and hit the market aversion, management needs to rethink.
But we have always believed that market forces. Then tape the basic stabilized after three daily limit, the correction began to rise after one month, three months after touching a new high. The considerable number of shares, there are three lower limit, and fell further impetus to what extent? Experience tells us that because of external force to suppress the emergence of fall break can be quite tragic, falling faster and more vicious, then the subsequent retaliatory reaction will also be exceptionally strong. We expect the majority of the stock fell the next Monday and perhaps inertia, but the strong rebound in one touch and hair, for more than 30% fall of the stock, strong rebound is expected to reach 20%. In short, a few daily limit under the strong rebound will explode at any time.
We have always think that the market has not peaked in the present, this regulation temporarily disrupt the rhythm of the internal market, but not fundamentally change the operation of the market rules. We believe that the round Quotes have yet to go mainly because the blue chips have not skyrocketed, many good-quality stock valuation is reasonable, in which the mainstream does not appear overvalued stocks and skyrocketing circumstances, it is impossible to see a broad market clear medium-term top. As for the third-line stocks, the decline is also a matter of time before its boom and slump, the major trend of the stock market should not have a substantial impact.
Recently, three lines while the blue-chip share prices rose shows the intention to do more mainstream funds have not changed, and the prices can not be an end. As a result of external regulation is that the funds in time to the blue chips, rose again to lift the blue-chip index, leading to broader market may even have a record high.
Therefore, the next in the market is, after the recent decline in the stock will soon have a strong rebound, some of the stock is likely to scale new heights, while the blue chips a new round of price action will continue, the market will show the second and third line stocks strong rebound confirmed that the top blue-chip pattern extends the main Shenglang. Of course, the key lies in the valuation and growth issues, for a "value + growth" stocks, the bull market will be continued. We firmly believe that this is a great bull market for several years, the current and future shocks, all the way up the stage, but just rest.
The market is changing, operation strategy must change. Rebound next week will be a position to adjust the structure of opportunity. By a rebound to sell third-line stocks, buying blue-chip should be a better choice.
