Compared with previous bull markets, how much do you know about the middle game adjustment?

category:Finance
 Compared with previous bull markets, how much do you know about the middle game adjustment?


This round of market adjustment starts with the restrictions on illegal funds entering the market by the regulatory authorities, and calms down the market that may be heading for fanaticism, which is conducive to the healthy development of the market.

Banks and insurance institutions are strictly prohibited from participating in the off-line allocation of funds illegally. We must strictly investigate the behavior of adding leverage and speculation to prevent the birth of asset bubbles and ensure that financial resources really flow into the areas and links that are most needed in the real economy. On July 11, a spokesman for the CBRC said in response to a reporters question that it was necessary to crack down on fund idling and illegal arbitrage in accordance with the law.

History is always the same, whenever the market is likely to go crazy, regulators will pour cold water on the market. Including the increase of stamp duty rate on May 30, 2007 and the deleveraging on January 19, 2015, the market was adjusted due to the tightening of policies. Among them, the 530 adjustment in 2007 is the most famous. The Shanghai composite index adjusted from 4335 points on May 29 to 3404 points on June 5 in a week, a drop of more than 20%. In 2015, it fell from 3400 on January 16 to 3049 on February 9. The earlier bull market was the 519 market, which experienced a sharp adjustment in the last half of the year. From January 11 to February 22, 2001, the Shanghai Composite Index fell from 2131 to 1893.

The structural bull market of a shares, such as the blue chip stock market in 2017, began to adjust for a month in April, from the high of 3295 points on April 7 to 3016 points on May 11. Although the second half of 2010 was a structural bull market for small and medium-sized stocks, the market experienced a nearly 1000 point adjustment in the first half of 2010 under the background of real estate regulation and large number of new shares issued Overall, Agricultural Bank of China (601288. SH) listed in July, small and medium-sized stocks began to take off again.

The duration of the above bull markets is about two years. There are obvious adjustments in the last half of the year before the start of the market, most of which are more than 10%. Only after that can the reserve force rise. This round of bull market has been less than 19 months since January 4, 2019. From the historical data, investors should be more optimistic about the future market.

Extended reading 3200 points to buy funds, the fixed investment, or one-time investment? Securities companies: sudden impact is the time to enter, high look at 3600 points! Is it still the golden time to invest at the top of the mountain in 2013? Source: editor in charge of the first finance and Economics: Li Zhaoyuan_ B7890