January 29, 2023 is Sunday, and the stock market will continue to be on holiday.
Yuansheng has nothing to do but study and recall the bull stocks that have appeared in the history of A-shares at home:
All Access Education first entered Yuan Sheng’s mind...
Quantong Education was listed on January 21, 2014. The closing price that day was 44.31 yuan, and then slowly rose to 64.80 yuan on March 7, 2014 before peaking and falling.
The price of 34.80 yuan on May 21, 2014 was its best buying opportunity, and then it continued to rise repeatedly. Of course, there are corrections in the rise, but it cannot change the main theme of the rise. On May 13, 2015, it reached its highest point of 467.57 yuan (resumption price is 825.23 yuan).
It rose from the lowest point of 34.80 yuan to 825.23 yuan, an increase of 2271%, which means that it increased 22 times in less than a year. Why so awesome? There are 4 main reasons:
First, it is at the forefront. From 2014 to 2021, extracurricular training and education for primary and secondary school students in China are booming.
Second, A-shares experienced a bull market from July 2014 to May 2015.
Third, its initial circulation is 16.3 million shares, which is a small-cap stock.
Fourth, in a bull market, small-cap stocks with special themes or at the forefront are the vanguard and commandos of the bull market.
By superimposing the above four factors, Quantong Education has been able to increase 22 times in less than a year. This is the charm of the stock market, which makes countless people fall in love!
Yuan Sheng knows deeply: The stock market has a charming side, but it also has a cruel side.
Yuan Sheng could never forget this image in his mind: on the eve of the listing of a new stock, financial leaders or many big names supported it. Yuansheng read the information and said it was number one in China and the world (because China is the only one in this industry), so he took the risk to participate in the speculation of the stock.
Yuansheng's traditional style of fast in and fast out allowed him to make a little profit on the stock and then retreat. The final result was that the stock opened at 168 yuan (it took too long and the data may not be accurate), and then rose to 188 yuan in the following days. It keeps falling and never looks back! A few years later, it was delisted because its stock price was below 1 yuan for 20 consecutive trading days.
Through the stock's trend, Yuan Sheng realized: the ripe apple theory. That is to say, apples are picked when they are ripe. When they are transported to shopping malls in big cities, they are already rotten... Experienced fruit farmers must start picking when they are close to maturity... .So the fruits we eat in big cities are definitely not as sweet and fresh as the fruits you pick at the fruit farm yourself. In the stock market, you should especially avoid stocks that are "ripe" before going public. The moment they go public is their most glorious moment, and then their performance declines year after year, and each year is worse than the previous year. Such stocks are definitely big bears. One share!
There is no harm without comparison. Don’t be afraid of not knowing the goods, just be afraid of comparing goods. After 30 years of fighting, Yuansheng has deeply understood one of the mysteries of the stock market: stocks with excellent performance have high issue prices and even higher opening prices. Even if such stocks rise, the increase will be limited ------- This It's like a barking dog. If everyone is wary of it, it will be safe.
As for a dog that doesn't bark, everyone thinks it is honest, calm and won't bite. But when you get close, it may bite you hard... So, no A barking dog is more likely to bite, so you need to be more vigilant.
A comparison shows that when Quantong Education was first listed, no one applauded it. It was just an ordinary stock in a traditional industry. However, a certain stock that was listed at the highlight moment had the halo of being number one in China and the world, which led to its high price. Issuance (the issue price is more than 100 yuan, I can’t remember the specific price), the opening price is 168 yuan... Unless it is sold in the first few days, otherwise it will continue to fall, and the stock price will never look back. In the end The result is delisting. If those who buy at 168--188 yuan keep holding on and don't stop losing, then it will drop below 1 yuan and be delisted. How miserable this is! This is the cruel side of the stock market.
Of course, the delisting of this stock is related to the downturn of the entire industry. The most critical reason is its own reason, because in the same era, stocks in the same industry did not delist, only it delisted, who can be blamed?
Through the analysis and recollection of the above two stock cases, Yuansheng knows deeply: try not to touch stocks that are too high in the highlight moment, because the highlight moment will definitely not last long, and the stock price will follow its trend. Decline due to declining performance. The stocks that can be popular and become super big stocks are most likely low-priced and small-cap stocks.
(To be continued)
