Ultimate Individual Investor

The author is an old stock market investor with 17 years of experience, writing this novel in their spare time. I have personally experienced the super bull market of 2005-2007, the major bull mark...

Chapter 101 Every bear market is a reconstruction of logic

Chapter 101 Every bear market is a reconstruction of logic

“Found it!”

Li Youquan pulled up the fence and found Lu Chunlan's ID card. He was really excited and thought to himself, "Now, these 50,000 yuan won't be gone, right?"

He held his ID card tightly in his hand, looked at Li Youjiang vigilantly, and was about to walk out.

But, just after taking two steps, a figure walked in from outside the door.

"Youquan, give me your ID card!"

He looked up and saw Uncle Zhang standing in front of him. He couldn't help feeling bitter.

To deal with Li Youjiang, he could act like a spoiled child, bully others by relying on his mother, and be rude and unreasonable, but Uncle Zhang was not only highly respected, but he was also the former Party Secretary of the village, not to mention that the current Party Secretary was also his relative.

Moreover, in terms of seniority, Uncle Zhang is still our uncle, so whenever the Li family has any major events, they often ask him to make the decision.

"Um, um, Uncle Zhang, hey, hey, I need to take my ID card to help my mother get a new passbook." Li Youquan didn't want to hand over his ID card and explained.

"Give me your ID card. Lao Zhan, the president of the credit union, is my ally. If you can't get it done, I have to go."

"This—this—"

At this time, Li Youjiang came over and said, "Bah, what's with the ID card? Uncle Zhang, you have to be fair. Li Youquan is trying to swallow up my mother's 50,000 yuan pension money."

"How could I?" Li Youquan said.

"Give it to me then!"

Uncle Zhang reached out to take it. Li Youquan hesitated for a moment, then reluctantly handed over his ID card, saying, "Uncle Zhang, I'll give it to you, no problem. But what if Li Youjiang secretly cheats my mother out of this 50,000 yuan?"

"I'm not as shameless as you!" Li Youjiang scolded.

"Humph, people's hearts are hidden, it's hard to say." Li Youquan naturally didn't believe it.

Uncle Zhang pondered for a moment and said, "How about this? Tomorrow you can call Youhu over as well. I'll get the passbooks ready. You three brothers, one will hold the passbook, one will hold the password, and one will hold the ID card. That should be fine, right?"

Li Youquan rolled his eyes a few times and said helplessly, "Let's do it this way."

After saying this, he and his wife left in shame.

When they returned home, Li Youquan's wife, Chu Dongmei, was still a little angry. She turned around and scolded him, "Can't you move faster? Can't you see more clearly? Now that I'm gone, 50,000 yuan, you have to pay me back..."

As he said that, he stretched out his finger and poked Li Youquan on the forehead.

"Ouch... Ouch..." Li Youquan dodged his head several times, but he didn't dare to dodge. He rolled his eyes and said:

"If Li Feng can make a fortune trading stocks, why can't our family do the same? He doesn't have two extra heads, just two arms and two legs. We can just use the 100,000 yuan and let our son trade stocks. If he loses, we won't feel bad, but if he wins, won't we get rich?"

"Hey - that's the truth. Hurry, call your son!" Chu Dongmei urged.

Li Youquan chuckled and took out his cell phone.

But after Li Youquan and the other man left, Li Youjiang invited Uncle Zhang into the house. The two chatted for a while before leaving.

A moment later, Wang Xiurong came back with a sullen face.

"What's wrong now?" Li Youjiang asked.

"Xinqiao disagreed with taking turns to serve Mother, saying that we live in the old house and it's our responsibility to serve her. I was the one who reminded her to be careful of the lake."

Wang Xiurong said angrily, "Didn't Xiaofeng come back with the money? Tomorrow, we'll go buy a house. I've had enough of this!"

Li Youjiang has a lot of things on his plate. He can't interfere in matters between his sisters-in-law, but sometimes he has to help make decisions, which is really difficult.

But then a light bulb went off in his head and he said:

"I heard that Lao Cui, who sells cloth at the west end of the village, and Lao Zhu, who sells meat at the east end of the village, are both selling their houses. Let's go take a look tomorrow. If they're suitable, we can book them. This way, no one will worry about the little money we make."

"Yes! Spend the money and save others from worrying about it." Wang Xiurong agreed.

This whole ordeal lasted for several hours, and I didn't go to bed until after ten o'clock in the evening.

Li Feng crawled into bed and habitually opened his mobile phone to browse the stock market trends and read the information in various stock forums.

The recent market has been very good.

It rebounded violently from the lowest point of 3421 points on July 8, rising to around 3900 points in one breath, and even exceeded 4,000 points for five consecutive days from July 20 to July 24.

Then came the "7.27 stock market crash", which plummeted to more than 3,500 points, but the Shanghai Composite Index stubbornly rose from more than 3,500 points to around 4,000 points.

Four thousand points is the starting point of the bull market, and this is a sensitive point.

Today's market is also normal.

The Shanghai Composite Index opened at 3947 points, just away from 4000 points.

At 10:34, after a slight drop to 3907 points, it continued to rise and closed at almost the highest point of 3993 points, up 0.71% for the whole day, with a trading volume of 626.3 billion.

The ChiNext Index opened at 2665 points and also fell to the lowest point of the day at 2613 points at 10:34, and then continued to rise, closing at 2666 points, down slightly for the day, -0.29%, with a trading volume of 42 billion.

It's also healthy.

In major stock forums, there are many different opinions looking at the trend charts of the Shanghai Composite Index and the ChiNext Index.

"A double bottom has appeared, and the market is heading towards 4,000 points. The bull market is not over yet!"

"You're kidding me, you idiot! The small double top is clearly complete, but you can't get past 4,000 points!"

"Stop arguing. Whether it's a top or a bottom, can't we just wait and see tomorrow, or the market trends over the next few days? There's no point in making a blind guess. Even if you guess right, will you make any money?"

"They're all wrong. I wonder if there's a market bottom after the policy bottom? Just wait and see, in a few days, there will be a new low!"

"Upstairs, you empty dog, stop barking!"

Li Feng smiled, put down his phone and prepared to go to bed.

In the countryside, everyone goes to bed early. Perhaps it was because of local customs, or perhaps he was really tired. Before ten o'clock, Li Feng fell asleep.

Suddenly, the cell phone vibrated, waking Li Feng up. He turned over, squinted his eyes and opened the phone, but it was a WeChat message from Zhao Xinyue.

"Are you asleep?"

After thinking about it, Li Feng simply called and said with a smile: "Xinyue, what's wrong? You missed me after just one day of not seeing me?"

"I miss you so much," Zhao Xinyue said, also burrowing into bed, chatting on her phone, "Is everything going well?"

"It went very smoothly. If I were to take action, wouldn't it be easy to capture your husband?"

"Bah, whose husband are you?" Zhao Xinyue's face turned red instantly.

After a few breaths, she hesitated for a moment before continuing, "Li Feng, I saw a lot of people on the forum saying that after the policy bottom, there's another market bottom. Is that true? Or is it false?"

However, she hadn't traded for a month and felt itchy, so she bought 20% of Gree Electric Appliances, thinking that it had been more than a month since Li Feng's last comment on this stock, and it had become much cheaper, so it was quite a good deal.

However, when I browsed the forum in the evening and saw the stock friends arguing about the top and bottom, I suddenly had no idea what to do. After thinking about it, I called Li Feng.

Li Feng didn't think much about it. After thinking for a while, he said, "That's right, especially in the early stages of a bear market, when the stock market plummets and the policy bottom appears, there will be another market bottom."

"Why? Are you so sure? What if this time is different?" Zhao Xinyue was puzzled.

Li Feng analyzed: "I've told you before that at the top of a bull market, smart money has already left, and the most brutal crash of a bear market begins. At this time, in order to save the market, policy rescue measures begin, forming a policy bottom."

Zhao Xinyue heard this and interrupted:

“Then, the market rebounds, funds continue to flow out, and a market bottom is formed?”

"This is just superficial. The funds that are flowing out are those institutional funds that have to flow out and cannot afford to lose money."

Li Feng continued to say profoundly,

“In essence, every bear market is a reconstruction of investment logic!”

"In this reconstruction of investment logic, the former kings will fall into dust, while the former weeds will inadvertently grow, rise from the ground, and even become towering trees! This is the reincarnation of the bull market."

"So, along with the bear market, in addition to capital flight, there is also a change in investment logic and the subsequent reallocation of funds, which requires time and space to cooperate."

"As investors, we must abandon our path dependence and reconstruct our investment logic at this time, otherwise we will go astray."

Zhao Xinyue had never heard of such comments and found it difficult to understand.

Li Feng knew her confusion and continued:

"I've said before that money, like flowing water, will flood every value trough. I've also analyzed this in previous chapters. The market is extremely polarized right now. If my predictions are correct, a lot of money should be considering investing in blue-chip stocks."

"Or you could understand it this way: this deformed cow hasn't finished its journey yet. It's only lame on two legs, but it still has two legs left, so it will continue to walk in the future."

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