Infinite Bankruptcy Crisis

Financial magnate Yun Luo, who is actually a system, offers online guidance to help bankrupt individuals escape poverty, get rich, and achieve a complete life turnaround. This novel serves as a fin...

Chapter 33 Tulip Bubble 2

Since purchasing tulip bulbs in bulk, Christie has been keeping an eye on tulip prices every day.

Sometimes the profits kept rising, and she was overjoyed, repeatedly calculating how much money she could make from the deal.

Occasionally, when prices fell, she became worried that the market price would fall further.

Three months passed in a flash in this torment.

Seeing that the price of tulips has been stable for a long time, Christie thought, this is good. When the flowers bloom next year, she can find a suitable time to sell them. This deal is a sure win.

As she was thinking, a man in a suit suddenly appeared in front of her and solemnly emphasized, "Remember, don't do anything except wait. Once the time is right, I will remind you to sell."

"Understood." Christie nodded vigorously.

In her opinion, the right time is when the price reaches a high point while fluctuating within a range.

In fact, even if the system didn't remind her, she has been paying attention to it for so long that she has more or less figured out some patterns.

Christie thought so and became very motivated.

However, the following development was beyond her expectations.

For some unknown reason, the market price of tulips rose slightly every day and soon reached 1,100.

According to observations over the past few months, the price of tulips has always fluctuated between 1020 and 1100. It will not rise above 1100 and will not fall below 1020.

Just when Christie thought that the price would slowly fall back after reaching 1100, the price of tulips suddenly broke through 1100!

Christie was stunned.

Will the price continue to rise? Will it rise to 1200 in one go?

The market price fluctuated between 1020 and 1100 before. This breakthrough of 1100 may be just a sudden event? After that, the price may fall back and return to the original range?

Christie was confused. At one moment, she felt that tulips were so popular that the price increase was reasonable. At another moment, she felt that the price of tulips was already too high and could not go up much further.

After a fierce analysis, I finally came to the conclusion: both rise and fall are possible...

This cannot be considered as mastering the rules.

Unconsciously, Christie's confidence began to waver.

She wanted to ask the system for help, but she felt that it was too early to ask because the tulips had not yet bloomed. After two days of hesitation, the market price reached 1120 and then gradually fell back.

Christie watched for a few days and found that the price was no longer rising. She immediately had a clear idea in her mind - she was right. The market price breaking through 1100 was an accident and would return to the original range of 1020-1100.

How about finding someone to sign a contract and sell some tulips while the price is high? Christie fell into deep thought.

This is possible and very common.

The farm has just planted crops (such as wheat) and it is not yet the harvest season. The farmer thinks the current market price is good, so he finds someone to sign a contract at the current price.

The two parties agreed that when the harvest season comes next year, the farmer must sell xxxx kilograms of grain to the counterparty at xx price.

The contract is made in duplicate and shall not be violated.

As for the counterparties, they need to buy grains for processing (for example, using wheat as raw material to grind flour). If the price of crops continues to rise, the cost of raw materials will skyrocket when they purchase them during the harvest season next year.

Therefore, once grain prices show an upward trend, they are very willing to place orders in advance.

The same goes for tulips.

Compared with 1020-1100, 1115 is a rare high price and quite attractive.

If you can sign a contract at the market price, you don't have to worry about the price of tulips falling later.

The more she thought about it, the more excited Christie became.

But after considering it, she gave up the idea.

It’s not that I’m dissatisfied with the price, but this is my first time planting tulips and I can’t guarantee the quality of the flowers.

If we find someone to sign a contract, there won't be that many qualified tulips grown later, and it will be very troublesome to fulfill the contract.

So after much consideration, Christie decided to sit tight.

**

A month and a half passed in a flash.

The price of tulips has always hovered between 1070 and 1120.

Christie observed the market price every day, constantly reflected, and finally came to a new conclusion: the price of tulips would probably fluctuate upward.

It means that it will rise by dozens of points every few months, and fluctuate within a range at other times.

Seeing that the price changes were back under control, Christie secretly breathed a sigh of relief. At the same time, she felt that this was better.

If the price of tulips rises over the long term, then next year's harvest will bring them to a high point.

In this way, you don't have to worry about losing money all the time.

In the following half month, the market price of tulips continued to fluctuate slightly.

Seeing this, Christie became more and more certain that her guess was correct.

Then, reality unfolded perfectly according to the script.

After more than two months of fluctuations, the tulip market price rose again. When it broke through 1150, it fell slowly and fluctuated again.

"Is the upper limit this time 1150?" Christie thought to herself.

As soon as the idea came to mind, the market price was 1146 on the next day, 1149 on the third day, 1151 on the third day, 1156 on the fourth day... Then it rose to 1180 in one breath and made a sprint towards 1200.

Christie was stunned. "Is the price... rising too fast?"

Do you want to sign a sales contract while the price is high?

The previous problem is presented again, and the decision is more difficult than last time.

After all, even if the quality of the tulips she grew was average, she could buy from other people to make up for the shortage when the price of tulips was low in the future.

In this way, she sold tulips to her trading counterparty at 1180, and then replenished the supply at 1120, making a profit from the difference.

Of course, the prerequisite for the success of the operation is that the price of tulips will fall in the early spring of next year.

If I sell tulips to my trading partner at 1180 and then buy them back at 1280, I will be losing a lot of money...

As for whether the price of tulips will fall in the spring of next year, Christie believes that this is a matter of course.

Although the reason is unclear, it is obviously unreasonable to increase the price so much all of a sudden, and it will definitely return to a reasonable price later.

Christie weighed the options again and again, and finally decided that her response was correct.

Just as she was about to take action, a man in a suit suddenly appeared and said, "I said, don't do anything except wait."

Christie: "But it would be more appropriate to sell it now..."

Yun Luo said faintly, "That is based on the premise that the price in the future will be lower than it is now. What if the price in the future is higher?"

"Analyzing the data from the past six months, the current price is already high. How can it continue to rise?" Christie couldn't believe it.

Yun Luo: “Not only will it rise, it will rise sharply.”

Yun Luo: "Some speculators have hoarded tulip bulbs, intending to speculate on them and make a fortune."

Yun Luo: “This is just the beginning.”

"Speculators? Hype? I don't understand..." Christie looked confused.

When asked to buy tulip bulbs, the host obediently bought them.

The host waited patiently for several months.

Even though he couldn't hold on in the end, his performance was much better than most people.

To this end, Yun Luo was more friendly than ever, and patiently explained, "A commodity worth 1,000 is sold at a sky-high price of 10,000 through hype. This is speculation."

"You mean the tulips will be sold for 10,000?" Christie thought this was ridiculous. "How could anyone in the world be willing to take it?"

Yun Luo: "In fact, there are far more fools in the world than you think."

She had seen countless of them with her own eyes.

Christie was silent, with a look of helplessness and struggle on her face.

After a long pause, she said, "I still can't believe that tulips can be sold for 10,000. I can't even imagine what life will be like if the price of tulips is hyped up to 2,000. But I want to believe you."

Yun Luo: "That's enough."

Yun Luo: "Take a notebook and write a diary from today on, recording your views on the trend of tulip prices from time to time."

Yun Luo: "When I say sell off and transfer the tulip bulbs, it will be over."

"You said the price of tulips will continue to rise, right?" Christie confirmed with the system.

"Yes." Yun Luo said frankly, "It has been hyped for a while, and the price will only get higher and higher in the future."

"If things develop as predicted, I will listen to you. I will sell when you tell me to. If the price of tulips falls back and falls below 1,100, I want to sell the tulips for next year's harvest in advance," said Christie.

This was the win-win solution she came up with after much thought.

Christie was really annoyed by the ups and downs of the market price, so she simply set a goal - "As long as the transaction price exceeds 1100, it will be a victory!"

In this way, whether the price goes up or down, your mood will not be affected.

The price had gone up and down before, and the price chart was like an electrocardiogram. She was excited when it went up and depressed when it went down. She really didn't want to continue to revolve around tulips in the future.

Yun Luo: "That's fine."

Yun Luo: "Remember to write a diary."

Christie agreed, "I will write a diary every once in a while and give it to you for inspection."

**

That evening, Christie performed her first assignment.

November 4, 754, cloudy.

Yunluo said that the price of tulips might rise to 10,000 in the future. This is too absurd! I really can't believe it.

Record the prophecies and wait for future verification.

November 11, 754, sunny.

The price of tulips broke through 1,200, an astonishing increase.

November 18, 754, cloudy.

The price of tulips has not risen recently and fluctuations have begun.

November 27, 754, sunny.

Strange, why did it go up again?

December 7, 754, cloudy.

The price of tulips is over 1300.

In about half a year, the price went from 1020 to 1300, a 27% increase. That’s horrible!

December 20, 754, cloudy.

Breakthrough 1400.

...If I hadn't promised Yun Luo, I think I would have been unable to resist selling all the tulips I had.

December 30, 754, sunny.

The price of tulips soared to 1,500.

It's crazy! I can't imagine what's going to happen next.

The author has something to say:

In order to facilitate writing, some data will be changed and not completely based on historical facts.

**

Tulips are a classic example of hype

If you can’t imagine it, you can refer to the housing prices

When the company gave away houses, and housing prices started to rise, some people were betting on a fall. After the prices rose by more than 10 or 20 times, they were so high that some people said, "Housing prices cannot possibly fall."

When housing prices are 2,000 yuan per square meter, it is impossible for housing prices to rise; when housing prices are 40,000 yuan per square meter, it is impossible for housing prices to fall. These are common sayings, so just get used to it.