Category: Money tips Release Date: 2007-07-21
Source: Xiao Yu Hang Jiuding Allianz
Wednesday Shenzhen and Shanghai stock market index heavyweights and refuse the performance of stocks under the longer accept Changyang, the total turnover of the two cities have also reached 114.6 billion yuan, driven index of stocks from the point of view, mainly concentrated in CITIC Securities, China Yangtze Power, Industrial and Commercial Bank of China, Shenzhen Vanke, etc. varieties, with the past serves to target shares is different is that many super-market losses of trash stocks start to behave like a substantial loss of Jilin pharmaceutical, Yunengkonggu, China Jialing and other varieties. The performance of these species point of view, I do not think the market can rise to? From the strategic point of view the stock market still insist on rallies reduction strategy, the stock position in the years before large-scale sell-off to hold more capital for strategic watch, maintaining peaceful state of mind is not the lure of the market, red disc. I insisted that the reduction of stock based on the following considerations:
1, from the current price-earnings ratio of the market dynamics point of view, Shanghai and Shenzhen cities has been 40 times the average PE, such valuation levels on the stability of investors have become less desirable positions or excessive positions festivals;
2, Festival an ideal situation if the funds managed, even though there are still many opportunities for post-holiday rally, but better than the performance of new shares the opportunity to speculate a rotten species;
3, the current through the continuous short-term market rally, its technical index has been fixed, and the short-term overbought condition.
4, the international political situation, particularly in the Gulf situation is likely to occur at the end of a major change in the international military risks remain;
5, from the variety of operational point of view, heavyweight, blue-chip stocks, underperformance shares, a loss of shares, stocks, warrants, closed-end funds, and all other cycle of speculation, and its numerous varieties have been in operation to a very great risk of bits of history, these Once the future of species decline, you may swallow most of the profits of investors, or have a serious loss;
6, from which long-term technical indicators to analyze, technically Chinese A-share market would not be without major changes in long-term targets of these high-Kai, in itself indicates that there will be major adjustments in the future driving force, or up the space has been very smaller.
7, the market risks often appear in the over-optimistic, the market loss is often generated in the market's high-risk areas.
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In short, the year is approaching, the investment strategy due to a different person who shares their investment will be different, strategic investment profit in the case of multiple returns, Jiuding fund will not be easily the valuation of large positions high state of holding festivals, for steady investors, patiently waiting to see the proposed changes in the market, not easily increase the stock positions in order to more festive Monetary financial peace of mind should be the better choice.
