Primary dealer of warrants GF Securities Liu Siling
Recently, the focus of warrant market is believed to be non Rizhao CWB1 No way. From the listing on last Wednesday to this Monday, Rizhao CWB1 led the rise in the warrant sector for four consecutive trading days, with a cumulative maximum increase of 211.69%. On Tuesday, it finally showed signs of fatigue, surging back, while other warrants performed mediocrely over the same period. The newly listed warrants are more concerned by the capital. From the perspective of the previously listed warrants, there is no exception to this rule. However, whether investors should follow up the newly listed warrants, in addition to the right time, they should also wait for the right price, otherwise they may suffer losses.
From previous experience, due to the considerable increase of newly listed warrants, investors who have not entered the market will also follow up to buy, making the warrants in short supply, and then pushing up their prices. However, because this type of warrant is mainly dominated by market supply and demand, when most investors choose to leave the market after their enthusiasm for it declines, the price will fall in response, which often makes investors feel at a loss. In fact, such examples often occur in the warrant market. For example, Shengao CWB1 has been trading up and down for three consecutive trading days since its listing. Due to the considerable increase, many investors have joined in. After observing the K line chart of Shenzhen High CWB1, it was found that the warrant reached a historical high on November 1, the third trading day of listing. If investors were to pursue the entry on that day, the cost was likely to be around 8 yuan. If they failed to sell the warrant at a high level later, investors who wanted to share in the share might suffer heavy losses. Another example is Guoan GAC1. After hitting a new high on November 1, the price began to fall back, and its premium once exceeded 104%. That is, investors who bought warrants at the closing price of the day need the principal stock to rise by more than 104% before the expiration to reach the guaranteed capital, and the value of warrants was seriously overestimated. If investors catch up on November 1, they are likely to record losses.
On the whole, investors should not follow the trend of warrants that have been hyped up by the market. To avoid buying warrants at a high level, investors should operate on the basis of paying attention to market changes and fully considering the risk of warrant investment. For example, when setting a target return (i.e., stop loss and stop earning positions), when the warrant price begins to be unreasonably pushed higher, investors should consider capturing selling points to reduce holdings or drop positions to other warrants; Investors who are ready to hold warrants for a period of time should set a stop loss position for themselves. When the price of warrants falls to the stop loss position, they will stop loss immediately.
