A Share Market Fell Nearly 30% Value Line Pulling Force To Enhance

As the market stabilizes, hope and confidence start to rekindle, but at this time, we should remain sober.

A stock grinding will not be accomplished overnight. After experiencing "wolf coming", it is difficult to change the belief of a "Yang line". The radical change of bear market thinking takes time. The reconstruction of confidence requires repeated confirmation of the market, and more and more lasting hot money will give rise to this heavy task.

Before the rise of the slow cow, it is more appropriate to gradually spread the cost and accumulate high-quality chips through the "high throwing and low absorption".

At this point, to reflect on and sum up experiences and lessons, and to stabilize our hearts, we can go further and better.

The A share market has fallen by nearly 30%. This week after investors experienced deep pains, the market was stabilized and the hope was reborn.

After vigorous washing, the bottom of the market stage is forming.

As the market stabilizes, prices begin to be drawn by the value line, and it is worth gradually absorbing the layout.

This is a normal market situation, but too much too fast rise in the rapid accumulation of risk, the drop is particularly painful; excessive sell-off in the fall also buried too much value, stability or even rebound is reasonable.

But in this process, investor confidence is bigger than the expansion or atrophy of the market.

Looking back at the bull market in the first half of the year, "as long as the reform is not completed, the bull market will not stop".

Ignoring the fundamentals of the economy and the quality of stocks, no matter how high the valuation is, they may still be higher; and when the downward trend continues, the bear market mentality is gradually dominant, and all the positive factors are not seen. All negative factors are amplified and interpreted.

The deviation is always pulled back to the value line.

It is true that after the fall, the A share market has returned to the stage of "everywhere gold". Although this statement is slightly exaggerated, it is indeed a small number of stocks that are substantially lower than their own value.

If these stocks are not rising at present, it is because the wait-and-see mentality of the OTC funds is still heavy. In the process of bottling up, some of the sharp funds will start to be gradually absorbed, so that these undervalued stocks will appear better than the market in the slow bull market.

In this regard, many institutional investors will first focus on the high certainty sector. Guotai Junan reiterates the high dividend yield, undervalued value and high policy certainty in the industry configuration, and gains relative benefits with high certainty.

Societe Generale Securities first promoted good fundamentals, stock price margins and deterministic opportunities supported by policies. It is recommended to reduce consumption and make bands.

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Next Tuesday, the National Bureau of statistics will issue official PMI data in August.

Insiders said that from the latest financial new PMI data, the downward pressure on the real economy has increased, and the economy is still hovering at the bottom.

It is estimated that the official PMI will decline further in August, and the economic bottom line will become a pressing need.

The central bank announced a "double drop" this week, adding a steady growth.

Guan Qingyou, executive director of Minsheng Securities Research Institute, believes that the drop in accuracy is expected to release liquidity from 600 billion yuan to 700 billion yuan.

Monetary easing will remain unchanged for some time to come. The central bank will comprehensively use various tools to properly regulate liquidity so as to maintain a reasonable liquidity and stable operation of the money market.

The listed companies enter the intensive publishing period.

As of August 27th, more than 2000 listed companies announced semi annual reports.

According to wind statistics, the performance of over 60% listed companies increased semi annual, less than 40% of the company's performance loss.

Insiders said that in the weak trend of the big market, outstanding performance stocks are expected to become the first choice for rational investors to buy at bargain prices.