I have also worked as an investor in a company before, from a researcher, practitioner, to a transfer investor. I have also worked as a trader and an investment advisor. The experience is quite rich, but doing these things is too tiring, so I became a financial self media person.
After doing these professional investment jobs, I increasingly feel like an ant in the capital market. I feel like what I have mastered is worthless at all! I have also seen many individual investors who have caused divorce and homelessness in the main force. Every time I see these, there is always a feeling: the smell of alcohol and meat in the vermilion gate, and the feeling of frozen bones on the road. And all of this is simply because this market is filled with traps, temptations, and torment!
And its main culprit is the main force on the field! Today, based on my own experience, I would like to summarize my understanding of the main force and how they deceive retail investors. I hope it can be helpful to investment friends.
1、 Firstly, describe the entire operational process of the main force.
1. Choose the stocks to invest in.
There will be professional researchers organized by the company to study the prospects and size of the stock in groups. And most importantly, this stock will not be delisted in the coming years.
2. Collaborating with the company holding the stock is known professionally as' vote buying '.
The main force will arrange business personnel to have talks and cooperate with the company. The general meaning is: XXX, We are going to buy your stocks, please cooperate. How to cooperate? This is probably what everyone is most concerned about. It's just that before the main force raises funds, the company's performance should be as balanced as possible, and profits should be appropriately hidden. The specific operation is unclear, it's just putting the future budget in this semi annual report. Someone who studies accounting would probably know.
This situation, as I have often mentioned in other articles, is where the main force takes advantage of the opportunity of a dividend gap and performance loss to perfectly wash up the market. So many stocks are often like this: there is a significant bearish trend, but through the peak of chips, it is discovered that there are more and more chips at the bottom of the main funds! Subsequently, the stock rose violently! The stock investors who cut their flesh during the decline wanted to cry without tears, but then chased after the rise again. Undercover, dish washing, meat cutting
3. After bidding, it is necessary to collect chips to smash the market.
Because after successfully winning the lottery, it is also after successfully cooperating with the company (the probability of success is high, after all, the senior management of that company has nothing to show off). The main force needs to collect chips to smash the market and obtain lower chips.
How to smash the market and get more and cheaper chips?
The main force often uses methods such as shifting gears, reversing, suppressing, and frying the plate to fiercely 'move down'. Many retail investors see a stock price that has basically fallen below the main cost, and then see the peak performance of chips, basically all of them are trapped in the market! Where else can the stock price fall if there are no profit opportunities left? So oversold stocks emerged, and retail investors rushed to raise funds! But the main force collects a small amount (which is still a huge amount for individual investors) of chips after winning votes, just to smash the market, not to make a profit! So at this time, the main force continues to put up sell orders, further lowering the stock price. Get cheaper chips with this!
After repeatedly rebounding, being trapped, and rebounding, being trapped until the end of the rope, one can only be forced to cut flesh and appear! The main force, with the advantage of funds, can double their position at a low level and make up for it. They only need to do a 50% rebound to make a profit and exit the market. The remaining retail investors on the field are crying out in sorrow!
4. Spread the news, bewitch people!
Following the normal procedure. After a long period of layout and chip collection by the main force, the company's performance should have improved (why is it good? You know). At this time, there is no need to achieve a 50% rebound as mentioned above. Because in the case of favorable fundamentals, it is not necessary to have much difficulty or cost in boosting individual stocks!
How to spread these positive news? You can see it on major websites all day long, either under the posts or on the website itself, which attracts traffic.
5. Under the supervision of the regulatory authorities, the main force also needs multiple accounts to evade inspection! There are also some old Zhuang stocks that rarely have new main players entering, and these stocks may be relatively safe! There is also cooperation between the company's senior management, which requires good communication. If the profit increases and the stock price rises, a significant reduction in holdings by the senior management will also have an impact on the main force.
2、 In terms of technology, how do the main players play with individual investors?
There is quite a lot mentioned above, but in fact, there are corresponding performances in terms of technology. Today we will talk about other things:
1. The main force suppressed index stocks and artificially broke through the bottom without quantity.
In A-shares, despite the extreme decline in trading volume and the creation of land volume, the index is still falling. So, public opinion echoed from afar: "Falling doesn't require quantity", "If there is no quantity, it can fall again and again", which scared many people out of their wits in the V-shaped "false bottom" created by the main force, and they obediently handed over their chips and switched hands to the main force.
2. Reverse the trend of individual stocks to the opposite of the overall market!
(1) The overall market fell sharply, but individual stocks continued to rise. Creating a false impression: This stock is going to go against the tide! Although this method requires a significant amount of capital, it has been proven to be effective time and time again!
(2) At the top of the market, but individual stocks have not risen, or the increase is very small, giving you a feeling of being short. At the same time, if the market is at the top, it will also make you feel that the short-term is already high! Then cut off the stocks that did not rise in a wave of market trends! As a result, I missed out on the bull market!
In the second scenario, if you discover through the peak of chips that the stock price has not risen and the number of profitable chips is increasing, it is best to firmly hold onto the shares!
3. Negative sentiment torments retail investors!
As mentioned above, this can only be done after obtaining votes. However, sometimes with good luck, the main force can also take advantage of the bearish trend of the market, such as issuing more shares, macroeconomic regulation, and so on. Negative sentiment in individual stocks can sometimes be truly negative, and the main force of such stocks needs to decide whether to decisively switch stocks or control the trend with a large amount of funds.
So there will be a situation where a stock is bearish, not falling, but rising instead. This type of stock can be continuously monitored! In A-shares, such situations are common, and negative news is often a tool used by the main force to deceive investors into buying low-priced chips. It must be said that this is the characteristic of A-shares!
Although the main players make money by playing with individual investors! But it has to be said that we still have to be humble and try to follow the direction of the main force. The stock market is such a place.
Actually, it's not difficult to speculate on the main force, as mentioned in the previous article. Determine whether the main force of the stock is investing in chips by observing the changes in the peak of chips during the sideways trading of individual stocks. By raising the price of the bottom profitable chips in a stock, we can determine whether the main force of the stock has already made enough profit and decide whether to continue holding the shares! Although not 100% accurate, it's better than being lost and confused!
Author: Senior Reading