Look! How to select the best track in the slow bull market

category:Finance
 Look! How to select the best track in the slow bull market


At present, what stage has A-share market reached? According to Dai Kang, this round of market started in early 2019 and has now reached the mid bull market. However, as long as the core factors driving the market are not affected, the market will not change its upward trend.

He believes that the main line of this round of market is slow bull on the financial supply side, and the core driving force comes from the downward discount rate of a shares brought about by the reform of financial supply side. At present, there is no need for the market to worry about liquidity. Generally speaking, there will be no change in liquidity in the third quarter, but we should pay close attention to the changes in the fourth quarter.

For the next market trend, Cao Jin believes that at present, many stocks have made considerable gains, and there may be fluctuations in the future, but there will still be many structural opportunities in the market. From the perspective of economic data, fundamentals have begun to repair, and enterprises also have a certain degree of profit support, especially the leading enterprises, HENGQIANG, which will have better investment opportunities; from the perspective of capital, it is expected that the liquidity will remain loose, and the northward funds and public funds may still be the main sources of incremental funds.

Pay attention to the plate of secondary high prosperity

At the beginning of July, the undervalued plate had a strong upward trend for a time, but then entered a shock. Where will the market style follow?

Daikang believes that this round of undervalued plates rise can be seen as valuation dimension reduction rather than complete style switching. Style switching needs to meet two conditions: one is strong economic recovery and the trend of monetary policy is tightening; the other is that the loose environment forces incremental funds into the market. At present, the conditions for style switching are not fully met.

Mining industry opportunities from semi annual report

Dai Kang suggested that we should focus on some sectors with good performance recovery and relatively reasonable valuation level. At present, there are not more than half of the companies that disclose their performance (forecast). We are more concerned about those half year earnings growth is 30 percentage points higher than the first quarter, and the early growth is relatively limited

He believes that better targets can be selected from some secondary sub industries with limited early growth, including general machinery, landscape engineering, computer equipment, metal products, and chemical fiber. For the military industry stocks which have been strengthening in recent years, Dai Kang believes that the civil military integration will be further deepened, and the superposition of external factors may drive the military industry stocks out of the large-scale market. In addition, he added, the chemical sector usually performs better in each round of the market. Next, driven by the economic recovery and the upward volatility of crude oil prices, if the fundamentals of the chemical sector change, we can also expect plate prices. Cao Jin believes that in the medium and long term, the registration system reform will benefit the growth stocks represented by the high-quality target of the science and technology innovation board and the gem. Investors should pay attention to two points in the layout of science and technology stocks: one is to find the leader and follow the logic of winner takes all; the other is to pay attention to the development trend of cutting-edge technology. Source: Shanghai Securities News Editor in charge: Chen Hequn_ NB12679

For the military industry stocks which have been strengthening in recent years, Dai Kang believes that the civil military integration will be further deepened, and the superposition of external factors may drive the military industry stocks out of the large-scale market. In addition, he added, the chemical sector usually performs better in each round of the market. Next, driven by the economic recovery and the upward volatility of crude oil prices, if the fundamentals of the chemical sector change, we can also expect plate prices.

Cao Jin believes that in the medium and long term, the registration system reform will benefit the growth stocks represented by the high-quality target of the science and technology innovation board and the gem. Investors should pay attention to two points in the layout of science and technology stocks: one is to find the leader and follow the logic of winner takes all; the other is to pay attention to the development trend of cutting-edge technology.