Ultra-Short-Term: Watch Monday and 2403 Points

2008/8/29 15:11:47

Today, the weekend news-driven market continues. Due to favorable overseas conditions, the session was relatively strong. Now, the most basic thing is: ultra-short-term, watch whether Monday can hold 2403 points. If it can, there's a very high chance of extending an upward stroke on the daily chart, with 2523 as the next important level. For longer-timeframe analysis, see this morning's article.

The broader market is of course already surging beneath the surface. Look at CITIC Securities — the market hasn't moved, yet it's already up nearly 30%. It's impossible that nobody's behind this. Similarly for quite a few other China-prefix stocks. However, this activity is measured — if the regulators truly refuse to play ball, they can flip and stop playing, becoming new downward force. Large capital right now, as long as positions are properly allocated, operates with complete freedom. When opportunity knocks, they can charge ahead in a blitzkrieg; when there's no opportunity or no cooperation from above, they just keep hammering to create opportunity. Who's afraid of whom?

In short, don't think one-dimensionally right now. Those with the ability should be active. The broader market is in a major bottom-building process with abundant opportunities. Going back and forth several times is even better than one big move. Then take a big bite on the major upswing, and that's enough to last another year or eighteen months.

Also, there's a wrong way of thinking that must be eliminated, or you'll die without a whole corpse. Never have the idea of "waiting for the next larger level before doing something." If 10,000 points drops to 6,000, rebounds to 8,000, then drops to 2,000 and rebounds to 4,000 — yes, compared to 6,000 to 8,000, the move from 2,000 to 4,000 is a bigger percentage gain. But what's the use? Those who can't operate in segments and just stubbornly hold through should never come to the stock market. Stocks are all about segmented operations. Even if the next segment has the world's greatest treasure, it has nothing to do with the current segment. Any operation only cares about the apple in front of you right now — grab it and you're a hero, miss it and you're trash.

People always like to fabricate stories to justify their positions. That's the behavior of the weak. Here with this ID, there is only the current price action. Any so-called predictions are just idle chat to exercise the salivary glands. This has been said countless times — if you still don't understand, then stocks really aren't for you.

In reality, for the true operator, what this ID writes each day afterward is essentially a complete classification of operations. Any operation must be based on complete classification — otherwise, there's only a dead end. This too has been said countless times — how many people truly execute it mechanically?

This weekend, a Traditional Chinese Medicine session. This ID's TCM is absolutely unprecedented. If you have time, review some abstract algebra first. This ID's TCM is built upon abstract algebra as its foundation. Of course, no related terminology will be used, but the approach is the same — this is how a true foundation of TCM can be constructed.

Stocks are geometric; medicine is algebraic. The world is just this simple — so thoroughly mathematical.

Signing off, see you later.