yesterdayaThe stock rose sharply and performed well, digesting the negative news of Friday's peripheral turbulence

yesterdayaThe stock rose sharply and performed well, digesting the negative news of Friday's peripheral turbulence and looking like a bull market. Then, after the close, some clients told me to break through and go long. I believe that in such a weak market, technical analysis is ineffective due to group behavior failure. The bearish direction of the big cycle has not changed, and the market is adjusting against the cycle. We will reduce our holdings every time there is a big rise, and not pursue the rise.

The RMB exchange rate has plummeted in the past two days, which has had a great impact on our imports, exports, and assets. These two daysgoldetfContinuously increasing positions, the trading volume of the Shanghai Gold Exchange has doubled, reflecting anxiety about risk and the market. Many clients have asked me what to do about the sharp decline of the Chinese yuan. I said, stay away from the real estate market, light position in the stock market, hold gold and US dollars, and we have been in this direction since the beginning of this year.

In terms of the overall market, the existing funds lack incremental growth and are constantly being consumed, lacking the conditions for a rebound. The periphery is unstable, with high uncertainty, and funds continue to flow out. There is no chip vacuum area, and the likelihood of an increase is countercyclical adjustment, with little chance of a major rebound. A rebound is a good opportunity to reduce holdings and build positions closer to the lower support, without chasing gains.