My Side Job is a Trader

Chapter 23: Longhubang

  As the game between the long and short sides became more and more intense, the battle situation began to become anxious.

   The longs have a large list of backings, which invisibly has a layer of insurance, and all the longs begin to exert their strength.

   Of course, the bears will not easily admit defeat. Today, they were suddenly caught off guard by the main bulls, causing the price to stay at a high level. If they admit defeat at this time, they will lose a lot of money in vain.

   The two sides repeatedly competed around 1750. As long as it is higher than this point, a big short order will be hit immediately, and then it will be topped by countless small long orders.

   The same situation also occurs with iron ore.

  Iron ore and rebar belong to the ferrous metal sector, and the market trends of the two are highly consistent.

   Zhang Xin only hates that his financial strength is not enough.

Iron ore is a special variety. Although the unit price is low, a futures contract is 100 tons. Therefore, the contract value of one lot of iron ore is as high as tens of thousands. According to the current general margin ratio, trading one lot of iron ore is at least required. Ten thousand dollars, which is too much money compared with the margin of one hand of rebar.

   At present, Zhang Xin already has more than ten lots of rebar futures. There is not much money left, and there is no spare money to allocate to other futures trading products.

   Withdraw his thoughts and continue to stare at the rebar plate. As the closing time is getting closer, the game between long and short has become more intense.

   With the arrival of three o'clock in the afternoon, the numbers on the board seemed to be violently beating as if someone had pressed the pause button, and suddenly came to a standstill.

   In the end, the shorts still failed to break through the blockade resistance of the longs, and the final closing price stayed above 1750.

  Although today’s market is out of a "golden needle" pattern, the rebar ended the day with a 2% rise.

   Although it is only a mere 2%, it is reflected in the futures account as a floating profit of 20%. If it is placed on the stock market, at least two daily limits must be completely eaten to obtain the same return.

   The power of high leverage in futures can be seen from this. It is no wonder that many investors who have played in futures, when they want to go back to play in stocks, always feel that the efficiency is too slow and not exciting enough.

After closing the quotation software, Zhang Xin habitually browsed financial forums. First, he looked at the mood in the market today. Second, some well-informed people would spread the news that he heard. Zhang Xin was also very curious. Today is the end of the market. What happened at the time that caused the main bulls to directly push up prices.

   In order to clarify the main force of the long and short sides, Zhang Xin deliberately went to the trading software of the futures company to check a ranking list called "Dragon and Tiger List".

  Dragon and Tiger List, in fact, is the public information of the transaction. The reason why it is called "Dragon and Tiger List" also means that the long and short sides are fighting each other.

  Through the Dragon and Tiger list, you can check the entry and exit of the main institutions of some abnormal varieties. Combined with other indicators, you can judge whether the main force is fleeing or buying.

The Dragon and Tiger rankings in the stock market show that the trading volume of individual stocks that have risen or fallen by more than 5% on the day ranks the top five main players. There are some differences in futures. Basically, the trading volume of each type of main contract will be ranked first. The main force of ten is arranged.

   On the Dragon and Tiger list of rebar futures, Zhang Xin separately checked the trading situation of the main institutions with long and short positions.

   Both longs and shorts have major capital inflows, but overall, the bulls have the upper hand.

   This was also expected by Zhang Xin.

   Futures are cyclical. Now the price has almost fallen to the bottom, and it is even cheaper than Chinese cabbage.

   As the saying goes: "Things must be counterproductive, or they will come in peace."

   When a thing develops to the extreme in one direction, it means that there will be a turning point.

In fact, Zhang Xin often comes into contact with such things. Take his daily meditation practice as an example. Every day at midday and noon is the time when yin and yang are accumulated to the extreme, when the cathode generates yang and the anode generates yin. It is precisely because of this. This particularity allows Zhang Xin to successfully enter the state of meditation.

  By the way, nowadays rebar has almost no room to fall. Although there are some sayings in the capital market that “the top is not at the top and the bottom is not at the bottom”, in theory, there is a linkage effect between futures and the spot.

   In the spot market, I have never heard that steel will be cheaper than Chinese cabbage, so the price of futures will not be much lower than the real price of steel in life.

   It stands to reason that even a solo man like Zhang Xin can understand the truth, and those institutions with a huge team of analysts can't be so stupid. At this time, there are still main forces going into short positions.

   It is very likely that the main force is confusing everyone.

   Through a large-scale short-selling operation, they gave some people confidence, and then withdrew in batches, and finally left a large number of people as cannon fodder.

  Of course, it is also possible that institutions have other channels to hedge risks, and some institutions do not rely on the rise and fall of a single product to make profits.

   There is also an operation called arbitrage trading in the capital market. This operation generally finds two related products, and then analyzes and calculates the opening and closing points according to some linear regression equations.

   Arbitrage trading requires a high degree of professionalism, so there is almost no small research, but once a reliable linear regression model is obtained, the risk of trading is almost negligible.

   This is also one of the reasons why in some unilateral market, there are still institutions that carry out the opposite operation.

   However, since the current market is still unclear and in chaos, the long and short sides will continue this high-intensity violent collision ~www.wuxiahere.com~ until the winner is determined.

  Once the follow-up market becomes clear, it means that for a long time in the future, the trend of rebar will follow inertia, so the game in the next week is particularly important.

   Just as Zhang Xin was very engaged in research, he was suddenly patted on the shoulder, which made Zhang Xin startled.

   Looking back, it turned out to be Wei Caijun.

   Wei Caijun glanced at the screen and said, "Is researching stocks? You seem to be very involved."

   Zhang Xin is a bit embarrassed. After all, it is still working hours. Although the company does not stipulate that he cannot do other things, it is a bit bad to be seen by some managers.

   Of course, Wei Caijun didn't say anything. There are many stock traders in the company. As long as the work progress is not affected, their middle-level managers basically open one eye and close one eye.

   "By the way, I have something to do with you."

   "A bug in the applet?"

  Zhang Xin is not a member of Wei Caijun's project team. The only thing related is the small program that Zhang Xin was seconded to help develop.

   "No, I haven't found any problems yet. The main reason is that people staying up late and working overtime are more difficult these days. The company specially organized a trip. Anyone who participates in the development of small programs can participate. I'll ask if you want to go."

   After Wei Caijun's explanation, Zhang Xin was relieved. As long as the code is okay, nothing else is a big problem.

   "Forget it, our team also has projects to follow up, I'm not going to travel alone."

   Zhang Xin refused decisively. After all, Zhang Xin still has his own business to do on weekends, and this two- or three-day trip is not interesting at all.

   Wei Caijun nodded and said he knew, and then went to other people to ask about the situation.

  

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