Today, the A-share market hit a new low, falling by 29 points, which is chilling

Today, the Chinese stock market closed on Monday, and as expected, the A-shares fell to a new low, dropping 29 points, which was chillingly cold. Do you know why? Is the A-share market about to engage in a battle to defend the 2700-point level? Please watch carefully, and in three minutes, I will explain it to everyone.

Firstly: Many of us are aware that the A-shares are still due to fall. However, you might find it quite magical that many media outlets in the market will always tell you that the A-shares are about to bottom out, that the valuations are low, that we should not be too pessimistic about the A-shares, that they have significant investment value in the medium to long term, and that many foreign institutions are optimistic about the A-shares. In short, they are telling you that the A-shares should rise. But we retail investors know that the A-shares are clearly going to fall, so today's A-shares continued to fall as expected, breaking a new low and dropping 29 points.

Secondly: In fact, many of us retail investors know that the A-shares are still going to fall, but there are many experts who think they should not. Today's A-shares opened low and continued to decline with a reduced volume of 520 billion yuan, falling 29 points. Nearly 3,100 companies fell in the two markets, while less than 2,000 rose. Among them, 57 companies hit the daily limit up, and 18 companies hit the daily limit down. The main force funds net sold 16.4 billion yuan. Such a market performance for the A-shares indicates a weak decline, falling and falling without end, causing mixed feelings of regret. Do you know why?

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The first reason, today's A-shares continued to fall as expected, and basically, we retail investors knew it was going to fall. But if you say today's fall was due to the decline in the external market, you might be surprised to find that although the Nikkei 225 index opened down 3%, it only fell 0.8% by the close. The South Korean stock market opened down and fell more than 1% at one point but only fell 0.33% by the close. However, today's A-shares opened low and closed near the lowest point, falling more than 1%, with the A-shares falling the most.

The second reason, at around 4 o'clock, the European stock market also opened. Today, the Indian Bombay Stock Exchange index continued to close up 0.3%, the Malaysian stock market rose 0.28%, the Philippine Manila stock market rose 0.69%, the Italian stock market rose 0.67%, the Dutch stock market rose 0.87%, the German stock market rose 0.58%, and the French stock market rose 0.5%. The external stock market fell and adjusted last Friday, but today, some of them opened and rose high on Monday. It's really puzzling that our A-shares have broken a new low again.

The third reason, it is said that the Federal Reserve is preparing to cut interest rates, but recently, the US dollar index has not broken a new low. Instead, the US dollar index has rebounded from 100.5 to 101.5. The US dollar index has rebounded, and our offshore renminbi has fallen by more than 240 basis points. Today, the A-shares, offshore renminbi, and Hong Kong stocks all fell. That is to say, the external stock market rose, but the A-shares did not rise; when the external stock market fell, the A-shares fell even more. It's really puzzling.

Secondly: Looking at today's A-share market, it is really full of regret and full of emotion, making people feel really puzzling, and the market that falls and falls without end. In today's A-share market, apart from the pharmaceutical and medical sectors that have fully exploded due to the weekend's news that nine places are allowed to establish wholly foreign-owned hospitals, there are also some state-owned enterprise reforms that have exploded against the trend. Other parts such as commercial cities, forestry, fisheries, tourist attractions, and securities are not only only a small part of the activity, but the rest are basically full of green screens. So today there are still 2,000 companies falling, and there are 18 daily limit down, and there are also high-positioned stocks that have hit the daily limit down tide.

Today, the banking and high dividend sectors, as well as the petroleum processing, copper, gold, petroleum mining, coal mining, thermal power generation, etc., which have been adjusted due to the adjustment of bulk commodities, have basically all been adjusted. Including some mainstream industries: construction machinery, home appliances, liquor, construction engineering, etc., all fell. Today's concept plate is basically all in a shock and fall trend. Today's A-shares are just falling, with more falls and fewer rises, which is a weak decline.

Third: So the question is, did the A-shares break through 2800 last week and quickly enter the battle to defend 2700?

First of all, today's A-shares only rebounded slightly by 0.9%, and the GEM index rebounded slightly red by 0.06%, which means that only some of the over-sold sectors can rebound slightly against the trend today.Secondly, today the CSI 1000 index fell by 0.73%, and the Shenzhen Component Index fell by 0.83%, with the Shenzhen Component Index also hitting a new low. The STAR 50 index dropped by 1.12%, and it is possible that the STAR 50 may return to the vicinity of its previous low point to form a double bottom, with some indices already set for a second retest.

Furthermore, as expected, the A-share weighted indices continued to make up for the decline today, with the SSE 50 falling by 1.35%, the CSI 300 falling by 1.19%, and the Shanghai Composite Index falling by 1.06%. The weighted indices all opened low and continued to decline, breaking through the golden ratio of 0.191.

Looking at the major indices, although there are oversold sectors that can rebound against the market today, with the STAR 50 likely to retest and the weighted indices SSE 50 and CSI 300 not yet completed in their catch-up decline, the A-shares may soon enter a battle to defend the 2700 level, and it is very likely that there will be a second retest in the vicinity.