Category: Money tips Release Date: 2007-02-17
Wednesday broader market rally to continue taking the day before yesterday the trend, not only swallowed up Monday in Yinxian all entities, but also create a new high of the recent rebound in the Shanghai Composite also broke through the 1,600 point mark an integer. It is noteworthy that the obvious difference with the pre-rally is Wednesday cities larger volume there is a clear sign of Shanghai stock market to close at 15.4 billion, although the total is still not high, but an average of 12 billion level of last week there huge increase in hot spots there are also some active. Such signs that, after the second bottom of the Monday, after a real rally is expected to begin.
First, the recent stock market strength around the A-share market rebounded to bring confidence in institutions such as varieties of the Fund for the current round of re-active the sustainability of the rally was confirmed.
In fact, last week's column, and clearly this week's rally will continue to be a continuation of the main reasons as follows: First, the Fed pause in August, after stock markets around the apparent strength, so as to A shares to create a good surrounding environment; Secondly, the management has made it clear to suspend issuing new shares for two weeks, the market welcomed the recent rare respite opportunity to develop during the same time, does not rule out some policies will enable the future expansion is expected to become more clear; third, pre-tape adjustment has been basically put in place, but the rebound has not really started, so there is still room for further increases.
However, news of this week, a little change in the context of the broader market once again performed "Black Monday", certain unexpected. The reason, more psychological aspects, or in the transaction. Market's rebound from last week's situation, although the indexes or not low, with an average close to 4%, but the general feeling of the vast majority of investors, it is operable is not strong, the most outstanding performance to a significant decline in the volume, in experienced a continuous expansion, the total turnover actually hit a nearly 4-month low. This situation reflected in the operational strategy and the market psychologically, they played games in the game the most typical result is a rebound a premature end. Obviously, the vast majority of investors are to see a rebound in preparation for sale rallies, while the ultra-low chassis, it is difficult to obtain sufficient chips, but also refused to chase, and final outcome can only be a rapid decline after the immeasurable higher. It is based on the above-mentioned operating logic, the broader market Monday dropped the objective for the Tuesday, Wednesday continuous index rebounded to create a real opportunity to rebound, due to the relatively favorable factors, this week, the fundamentals have not changed, so this week, the pattern of broad market continued to show a rebound also a matter of course.
Disk hot spots this week to see real estate section due to benefit from the appreciation of the renminbi is expected to accelerate the background support, no doubt the biggest highlight, G Wanke, G in the enterprise, G grain to other leading stocks in the recent continuous contrarian rose. Although there have ascribed to down trend Wednesday, but the confidence in the market to do more by doing so they are encouraged by some fund Shigekura species, such as non-ferrous metals, and automobile plate to start there is a general indication. Where, G cloud aluminum, G clad aluminum, G Guanlu closing limit-, G Lu gold, Shandong Aluminum and other gains are more than 5%. This is last week's market rally, the vast majority of funds do nothing Awkwardness in sharp contrast. The funds, institutions began to make a difference, often also means that the sustainability of the current round of rally in the market to gradually gain market acceptance, operability will be greatly enhanced. In addition, in order to Sinopec, G Unicom shares represented by the indicators of the market's role in promoting must not be ignored, Wednesday the Bank of China rose 1.53 percent, particularly heavy volume worthy of attention. Broad market heavyweight and the overall valuation of Qiwen the one hand, the more reasonable, while the other H-share market due to the external promotion. Clearly, the Bank of China Wednesday's heavy volume and is closely related to Hong Kong stocks rose yesterday, while China Unicom's recent strength G motivation seems to have come from strength to move and so on Hong Kong equities.
Second, the rally really should focus on three major investment opportunities to grasp
In this round of the rally made clear, how to effectively grasp is the key. After all, regardless of file some sort of relief from the disk, or from the technical aspect of moving average systems, the broader market will come under pressure from the top of the current conditions do not have the strength once again, large medium-term adjustment of the pattern has not changed, but some local The structural opportunity to actually deserves some attention, specifically to take the following three aspects:
First, the fund Shigekura high-quality varieties, but the decline in the prior period adjustment in the deep, the current valuation is reasonable, even victimizes suspects. Non-ferrous metals, automobiles, and real estate, etc. all belong to one of the most powerful sections typical representative, I believe similar to the plate and the stocks with the continuation of the rally is expected to continue to be a pioneer round of action compensatory growth.
2 The new shares section, short-term may be appropriately attack. Listing of new shares from the recent trend of view, the vast majority have experienced a continuous drop in the trend, some stocks fell even more than 20-30%, significant short-term oversold. Once the rally is established, meeting the new plates will no doubt be once again become a focus on short-term financial objectives, is expected to usher in short-term opportunities. In fact, some sub-transaction shares have begun to see signs of Wednesday, the market outlook is expected to continue to rise, it is worth further attention.
Third, although the vast majority of the market concepts, themes stocks are still facing adjustment pressures, but some adjustment is large, well-controlled movements of some form of second and third-line varieties, there are still a strong rebound opportunities, particularly in part 3-4 yuan's low-cost variety, the original will not sell into a strong rebound during the external funds are more likely to get attention.
