Short term opportunities in put warrants are very active
http://www.sina.com.cn 16:11, March 14, 2007 Sina Finance
Influenced by the news that the US stock market fell sharply and the consumer price of Chinese residents rose in February, the market fell rapidly on Wednesday. ICBC, BOC and Unicom SINOPEC (China Petrochemical Corporation Equally weighted index stocks were recalled across the board. It is expected that the market will continue to fluctuate at a high level.
In the process of market volatility, investors are most concerned about which plate is the most powerful? According to the track of market rotation and the flow of funds, we believe that there are considerable opportunities for short-term put warrants. But why do you say that?
Warrants and Market trend The seesaw effect has always been obvious, and the cumulative increase of related sectors has been large, which has suddenly reduced the short-term opportunities of the stock market. The major opportunities for substantial increase are mainly concentrated in the warrant market that has not fully explored the low P/E ratio, high performance and high stock transfer, and has always had a seesaw effect with the market trend. Shenzhen and Shanghai stock markets have always lacked a short selling mechanism. However, with the successful completion of the split share structure reform, put warrants have become the only investment variety with short selling momentum in the current market, which makes the few put warrants in the current market the biggest highlight in the adjustment market. At the same time, benefiting from the T+0 trading rules, the actual profit space of actively traded put warrants has been greatly enlarged, becoming the fastest short-term profit making investment variety. The performance of put warrants in Wednesday's session proved this, suggesting that short-term investors continue to pay attention to the leading varieties.
Individual stock concerns: Maotai JCP1 (580990): Black Horse Instinct Blowout at the Bottom
Maotai JCP1 (580990). Due to the substantial increase in the overall level of valuation, the future stock index will face further shocks, and the market system risk will also further increase. In the context of the launch of stock index futures, put warrants, as the only short variety in the market, their investment and speculative value can be fully reflected. Back in the current market, Put warrants deserve great attention.
the near future Guizhou Moutai The share price has been greatly boosted. At present, the share price has been close to 100 yuan, becoming the highest price stock in the two cities, and its P/E ratio has reached more than 70 times. Obviously, the investment value has been overdrawn, and whether it can stand firm for a long time has become a problem. At the same time, the wine sector is also in the process of consolidation recently. Once the stock price of Moutai in Guizhou has dropped significantly, it will inevitably increase the value of its put warrants.
At present, the price of Maotai's regular shares is close to 100 yuan, while its put warrants are less than 1 yuan, which means that the maximum increase of its put warrants on that day is nearly 10 times more, with great flexibility. At the same time, as one of the lowest put warrants in the two markets, its put warrant has a small circulating market value, and is likely to become the key target of short-term funds.
Since the listing of the warrant, it has been in the process of large box sorting. In the early stage, there was a wave of upward attacks, and then it continued to fall back. At present, it has returned to the vicinity of the box. At the same time, there are major funds intended to hit the market, and there are obvious signs of bargain hunting. On Wednesday, the market showed that a strong spring support was formed near the low point in the early stage and formed a small arc bottom shape, indicating that the adjustment has been in place, and the future market is expected to end consolidation and launch a strong counter attack at the bottom, which can be highly concerned.
Huizheng Finance Zhu Guozheng
Sina statement: The content of this article is purely the author's personal view, only for investors' reference, and does not constitute investment advice. Investors operate accordingly at their own risk.
