The main force of selling is ready to take action after the expectation of falling sharply after breaking seven thousand
http://www.sina.com.cn 11:17, September 13, 2006 Daily Economic News
Zhang Biao's Daily Economic News
Yesterday, the performance of put warrants in the warrant market was somewhat abnormal. Originally, under the rare collective strength of Sinopec, Air China, Bank of China and other large cap heavyweight index stocks, the Shanghai Composite Index directly inserted the red flag into the thousand seven, up 20.9 points. It was supposed that the subscription certificate rose sharply while the put certificate fell sharply, but in fact, the opposite was true. Although Handan Steel's subscription certificate rose with the positive shares due to the approval of Handan Steel's collective listing as a whole, only 3.93% was listed as the first increase in the subscription certificate. The reason is that a considerable number of market participants believe that the market is facing adjustment after breaking through the thousand seven, and may even plummet.
Since the huge amount of capital and popularity required for the continuous promotion of large cap stocks are not available, and after the large cap blue chip stocks led by Sinopec have been significantly boosted in recent trading days, further upward movement will be subject to the pressure of profit taking and unwinding. Adjustment is inevitable and will drag down the stock index. Therefore, even the rising subscription certificates yesterday were not confident enough, and the increase was very small. On the contrary, the put certificates rose slightly compared with the previous day, indicating that the main funds were weak on the short-term trend of the market and actively involved in the put certificates.
Technically, after the blowout in July, the vast majority of put warrants have been collated horizontally in the historical low price area for a month or two. The moving average pattern shows obvious upward momentum. Once the market falls back, it will inevitably lead to a sharp rise in the price of put warrants. It is suggested that investors with high risk tolerance should pay close attention to those with moderate plate and adequate technical adjustment Wuliangye Put, Maotai put, Haier put, Steel Vanadium put and CIMC put, fast forward and fast out of the gap.
