Classic Replay: G-Shares Are the G-Spot—The Principles of the Market and the Principles of Sex Are the Same
2006/11/27 12:10:52
I must replay this post on the blog today, otherwise in a couple of days it'll all be deleted and there won't even be evidence that this ID ever wrote it. Before this ID had a blog, posts were first published on Qiangguo Forum—that was this ID's "first master." Recently Qiangguo Forum switched to a new version and many old posts can't be found anymore, including this one. The "second master" Tianya Zatan, "third master" Maoyan, "fourth master" Maopu—somehow they've all lost it too. Now only a remnant survives on Tianya's economics section, so I'm copying it over immediately. As you can all see, back then this ID's name was still "A Girl Who Likes Mathematics." The post was originally from around mid-July 2005, right when the market was testing 1,000 points on the second bottom. But even the surviving date of August 5, 2005—exactly the midday when the double bottom's neckline was broken on the successful second bottom test—is early enough. Looking back now, who else could have proposed the words "big rally" that early? And who else could have given such a vivid definition to the nature of this rally's beginning: "G-shares are the G-spot"?
Saying this isn't to show off this ID's foresight—that needs no showing off. The key is to give a clear explanation of the current trend. On this blog, in May I gave a new proposition: "Big bull, no condom needed." I especially emphasized that the most important thing about "no condom needed" is you can't apply the framework of previous trends. Why? Because the proposition "G-shares are the G-spot" was about to complete its historical mission by May 2006, and what followed was the extension of "Big bull, no condom needed." Why haven't I proposed a new proposition or slogan now? Because this current proposition remains valid. Using the "boy toy" analogy: "G-shares are the G-spot" is a crucial step in turning a virgin boy into a proper boy toy—first introducing him to the G-spot, giving him the epiphany. Before the epiphany, a boy toy can't really be called a boy toy, only a proto-boy-toy. The market works the same way: before "G-shares are the G-spot" was completed, China's stock market was merely in the process of transforming from a proto-market into an internationally standardized market. Starting from "Big bull, no condom needed," the first phase of the great bull market truly began. This is also why this ID repeatedly emphasizes that currently we're only in the first phase of the great rally unfolding.
For the broader market's trend, ever since this ID resumed daily market-watching in June 2005, there has never been a moment of doubt. This market still has a long way to go. Think about it—the 1996 rally ran solidly for 5 years. Even by 1996's standards, isn't it still early? Of course, short-term trends will see corrections and reversals, but the real rally hasn't truly unfolded yet. Let this ID reminisce about the 1996-2001 rally's progression: In the first phase, the strongest performers were all component stocks—this is why this ID repeatedly stresses paying attention to component stocks now, and the actual trend is exactly that. In the second phase, the strongest performers were so-called growth stocks. In the third phase, the strongest were so-called restructuring stocks. When the market starts broadly speculating on restructuring stocks, that's when the great bull market faces the risk of ending—exactly what happened when it topped in 2001. This is also why this ID was able to exit gracefully in 2001 and not look at stocks for four years. After three consecutive climaxes, even the most virile boy toy needs a long refractory period.
The stock market has patterns. This ID has now revealed to you all the most important rhythm of this multi-year bull market. This ID has stripped the stock market naked like a boy toy for everyone to see. Wait—before long, this will be plagiarized, then the market itself will plagiarize it. Quite a few popular concepts in today's market actually originated from this ID years ago, but let's not rehash those old stories. Here, let's revisit the story of how G-shares became the G-spot. G-shares are in the past, but the G-spot is still needed. Just as a boy toy's G-spot shifts with age, the stock market's G-spot shifts from component stocks to growth stocks to restructuring stocks after the G-share era—same principle. The principles of the market are inherently the same as the principles of sex. This is one aspect of the meaning behind this ID's famous saying: "Trade stocks like making love."
This girl has dealt with the CSRC from the very beginning—from the first session to now, all very familiar. I've never praised the CSRC before, but this current session feels the best. Not long ago I published several posts, such as: "Applauding Shang Fulin—A regulator who can't stir up the interests of all parties is not a good regulator (A Girl Who Likes Mathematics: 2005-06-20 20:17:51)", "Applauding Shang Fulin—Those who attempt to use the share reform issue to blackmail the government must be punished by law (A Girl Who Likes Mathematics: 2005-05-16 12:06:07)", and others. Of course, the market is always dominated by those who realize things late—otherwise how would the early movers make money? When you see some leftists or talking heads continuing to mouth off at the CSRC with their old thinking, you know another batch of fools is performing.
G-shares are of course the G-spot. This time the applause is for the CSRC's ability to thoroughly explore and then guide the market's G-spot. This girl has always had a good impression of Shandong people. Of course, you generally shouldn't do business deals with Shandong people, but in management, Shandong people are indeed quite formidable. Look at the heads of many major enterprises now—quite a few are from Shandong. The current CSRC's Shandong-style character already has a bold, sweeping feel reminiscent of the early days of the home appliance boom. Those accustomed to the CSRC's previous wishy-washy approach naturally get everything wrong.
The principles of the market and the principles of sex are the same—all things in the world are interconnected. What the market needs is the G-spot. Without the G-spot there is no sex; without the G-spot there is no market. And G-shares are of course the G-spot. Everything now revolves around this G-spot—that's the right track. When the market is excited, everything becomes manageable; when the market feels nothing, everything is nonsense.
This session of the CSRC has undergone tremendous changes in both approach and especially style compared to previous ones. This new atmosphere is necessary—this is why this girl was bullish on them from the start. A great rally requires coordination from all sides. Without coordination, without a shared understanding of the G-spot, the rally is nothing but empty talk. Without the rally, the market itself is empty talk.
Replies
缠中说禅 2006/11/27 12:19:44
Same as always: short-term sector rotation continues. Sectors that haven't moved will all move. Adjustments are paradise for short-term masters. Of course, mid-term investors can also play some short-term trades. Those with average skills—just watch.
This "up and down" enjoyment—you can continue enjoying it.
缠中说禅 2006/11/27 12:23:33
[Anonymous] 打死你我也不说
2006-11-27 12:18:45
Bought 000004 this morning, could the Number Lady comment on it?
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Mid-term there's opportunity, but short-term it hasn't broken through the resistance zone at 4-4.2 yuan, still needs more turbulence.
Also, unless it's a strongly breakout pattern, generally don't buy stocks in the morning. Without T+0, the afternoon often provides much better choices. Of course, if you're looking from a mid-term perspective and gradually building a position, that's a different matter.
缠中说禅 2006/11/27 12:33:23
[Anonymous] 请教
2006-11-27 09:12:21
Why hasn't the blogger come yet today?
I have two stocks I'd like diagnosed: 600015 Huaxia Bank and 600883 Bowen Technology. Please don't hesitate to enlighten me.
Also: I'm incredibly impressed by the blogger's knowledge and experience.
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600015 Third-tier bank stock, has catch-up rally potential after market correction.
600883 Mid-term potential, short-term waiting for moving average system to improve.
缠中说禅 2006/11/27 12:36:43
[Anonymous] 数妹fans
2006-11-27 12:27:29
Number Sis, could you look at 000608 and 600649 for me? How to operate going forward? Thanks
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000608 Second/third-tier real estate stock, currently in catch-up rally. Best entry timing has passed. Entering now carries short-term risk, but mid-term should be fine.
600649 Mid-term potential, short-term needs to accumulate energy between the semi-annual and annual lines.
缠中说禅 2006/11/27 12:39:23
[Anonymous] 青皮六
2006-11-27 12:31:27
From girl to Zen master—truly a great transformation. Thoughts and age really aren't proportional. Ms. Zen Master, isn't it time to play tech stocks? Do funds still have a chance?
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That's an inevitable development—just a matter of sooner or later. Currently accumulating energy for launch. Funds are fine mid-term, but the best entry timing has passed.
缠中说禅 2006/11/27 12:40:57
[Anonymous] 老无用
2006-11-27 12:39:03
Very educational. Ms. Zen Master, what about the trend of 600376? Thank you.
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Third-tier real estate, awaiting catch-up rally opportunity.
缠中说禅 2006/11/27 12:47:46
[Anonymous] 博主
2006-11-26 20:04:25
Could you take a look at 600018?
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Mid-term still has potential. Short-term relaunch needs volume supplement.
缠中说禅 2006/11/27 12:49:57
[Anonymous] nlittle
2006-11-27 12:41:12
Sigh, the market makers must hate the blogger. I firmly support you.
Planning to go full position on put warrants this afternoon—either ascend to heaven or take a short trip to hell.
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Have a better mindset. Don't be too reckless with gambling. Unless you feel your short-term instincts are really sharp, it's best not to go full position in overly risky instruments.
Making money is a lifelong endeavor, not a one-shot deal.
缠中说禅 2006/11/27 12:54:29
[Anonymous] 国平
2006-11-27 12:43:39
Could the blogger look at 600887 and 600200? Thanks!
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600887 No mid-term problems. Short-term testing the annual line's support strength.
600200 Manipulated stock. Showing self-rescue intentions.
缠中说禅 2006/11/27 12:55:28
[Anonymous] 海子
2006-11-27 12:51:12
Number Lady: Hello! What do you think of 000822? Thanks!
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Has potential.
缠中说禅 缠中说禅 2006/11/27 15:10:23
Today's market movement was very standard. It closed right at the 5-day line this ID emphasized. Actually, the broader market isn't too important right now—the key is to grasp individual stock rotation. This ID emphasizes this point repeatedly every time, stressing that there's no need to fear corrections—corrections are opportunities.
After the market finishes this adjustment and completes the next upward wave, the following correction will be relatively large—comprehensive, with most individual stocks following the decline. Unlike this time where only large-caps adjusted. This must be noted—this ID is telling you all in advance.
缠中说禅 2006/11/27 15:15:12
[Anonymous] 是非
2006-11-27 15:11:40
Blogger, the US achieved a transfer of Japan's economic gains through first pushing the yen up then crashing it. Do you think this scenario will repeat in China?
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Go read what this ID wrote years ago—"Currency War and RMB Strategy"—it's on this blog. The current situation is not what this ID would like to see.
缠中说禅 2006/11/27 15:17:51
[Anonymous] 瞎鼓捣
2006-11-27 12:51:13
Asking the expert: how about 600087?
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Short-term volume increase too aggressive. Needs volume contraction to confirm the breakout, then renewed volume increase.
缠中说禅 2006/11/27 15:24:30
[Anonymous] 外科医生
2006-11-27 13:12:36
Could you tell me, miss, whether it's okay to enter 000042 Shenzhen Changcheng at the current price?
Much appreciated
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The best buy point on November 14th when it retested the annual line has passed. Entering now means accepting some short-term oscillation risk, but mid-term should be fine.
缠中说禅 2006/11/27 15:27:25
[Anonymous] mm
2006-11-27 13:13:07
Blogger, hello! What do you think of 600581?
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Just answered this a couple days ago. The 120-week line at 4 yuan is the resistance. Short-term accumulating for an attack—turbulence is inevitable. Mid-term no problems.
缠中说禅 2006/11/27 15:30:39
[Anonymous] 想发财
2006-11-27 13:16:21
Could the blogger look at 000959 and 600508? Thanks!
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000959 Accumulating at the annual line, mid-term no problems, short-term needs volume supplement.
600508 Accumulating at the semi-annual line, mid-term no problems, short-term attempting breakout.
缠中说禅 2006/11/27 15:35:28
[Anonymous] 冰火
2006-11-27 13:40:26
Big sis, is my judgment correct?
000407, mid-term not bad, short-term the semi-annual line will cause some back-and-forth. But seems about to launch.
000503, short-term launching, mid-term not bad, but needs confirmation after launch.
It seems big sis mainly watches the moving average system. Thanks.
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000407, moving averages not fully aligned, box-pattern consolidation accumulating energy.
000503, accumulating at the annual line, mid-term potential.
This ID doesn't have any particular main focus. The main moving averages are readily displayed—no need to press other buttons—it's just more convenient for answering questions.
缠中说禅 2006/11/27 15:47:16
[Anonymous] 7nt
2006-11-27 12:56:28
"This girl has dealt with the CSRC from the very beginning, from the first session to now, all very familiar."
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According to relevant information, the blogger should have been born in the 1980s. The first CSRC was established in October 1992—the blogger would have been only about 12 years old then. How did you deal with them? Also, the blogger hadn't traded stocks for a full 4 years before June 2005. 25 minus 4 means the blogger had already amassed a fortune of over a hundred million by age 21. May I ask when the blogger started investing in stocks? What was the starting capital? Although these questions touch on privacy, answering them could dispel doubts about the blogger's age and source of funds. Thank you in advance.
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Regarding age, this ID has only ever said I didn't live through the Cultural Revolution era—nothing else was ever stated.
Why can't this ID have dealt with Grandpa Liu? And the subsequent three—Grandpa Zhou, Uncle Zhou—why can't this ID have dealt with them? Grandpa Liu still holds many concurrent positions in various places.
缠中说禅 2006/11/27 15:50:07
[Anonymous] 圆无边无实虚
2006-11-27 13:34:32
The Buddha said: A Bodhisattva's mind should not abide in form when practicing giving. Subhuti! Bodhisattvas should practice giving in this way for the benefit of all sentient beings. The Tathagata says: All forms are non-forms. And also: All sentient beings are non-sentient beings. Subhuti! The Tathagata speaks truly, speaks factually, speaks as it is, does not speak falsely, does not speak differently.-----<Diamond Sutra>
May I ask the blogger: in the <Shurangama Sutra>, what did the Buddha place first?
Following words without substance—a single stirring of thought already deviates. You are me, I am also you; you are not me, I am also not you. The Buddha being full doesn't mean I am full. Therefore I ask the blogger, thank you!
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Before sound, after the end—I won't ask you about those. What is this one thought? If you don't even understand this one thought, what talk of "a single stirring of thought already deviates"?
缠中说禅 2006/11/27 15:50:51
[Anonymous] 真冰火
2006-11-27 13:48:01
Blogger, although anonymous comments can't be distinguished by source, adding a snippet of code to your blog would let you see each anonymous commenter's IP—and the real IP, not proxy IPs (including past ones). Maybe you're not interested in commenter IPs, but at least it would help prevent certain petty people from causing trouble through the anonymous system. I hope you'll add the code and figure out who's who.
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Be more open-hearted. A name is just a symbol.
缠中说禅 2006/11/27 15:53:23
[Anonymous] 炼铁设备
2006-11-27 14:58:33
I know absolutely nothing about stocks. Seeing the atmosphere of everyone asking the blogger for stock analysis, I couldn't even get a word in—felt quite ashamed. Blogger, taking advantage of this bull market, could you recommend a stock to me? On one hand to make a little money, on the other to learn some stock knowledge as basic literacy. Thank you.
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This ID is not a stock commentator—neither interested in nor qualified to recommend stocks. The market always has opportunities—the key is whether you can seize them. Start by learning first.
缠中说禅 2006/11/27 16:03:43
Have something to do, signing off. Will come back tonight if there's time. Goodbye.
缠中说禅 2006/11/27 21:39:46
[Anonymous] 急等钱用
2006-11-27 17:25:23
Asking about 600704, stuck at 4.75 yuan—can I break even this week?
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The most important rule of investing is that the money used for investment must be surplus funds that can be utilized long-term. This ID doesn't want to be a fortune teller. I hope you have good luck.
缠中说禅 2006/11/27 21:43:15
[Anonymous] 无言
2006-11-27 18:13:35
Asking the blogger, how much upside does 600879 have in this week's action? Thanks
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Prediction is what stock commentators do—this ID is not a stock commentator. To succeed in the investment market, the only thing you need to know is: can I trade it right here, right now? If it still meets your criteria for trading, continue holding. Otherwise, dump it. It's that simple.
缠中说禅 2006/11/27 21:48:25
[Anonymous] 想飞
2006-11-27 15:17:28
Blogger, has 600036 finished its correction?
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You must change your way of thinking. Don't ask whether a correction is complete. Instead ask yourself: what are my criteria for trading? Everyone's criteria are different—this relates to capital size and investment experience. The only correct question is: does 600036 currently meet my criteria for trading?
Whether it does, only you yourself know. If you yourself don't even know, then please stop and think clearly first. Trading the market without clarity turns it into a casino, and the market will turn on you.
缠中说禅 2006/11/27 21:56:07
[Anonymous] 炼铁设备
2006-11-27 20:06:22
Chán Zhōng Shuō Chán
2006-11-27 15:53:23
This ID is not a stock commentator—neither interested in nor qualified to recommend stocks. The market always has opportunities—the key is whether you can seize them. Start by learning first.
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Could I choose one from the stocks you've already commented on?
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For commodity futures—will white sugar and soybeans trend up or down before Spring Festival? Please share your insights! Thank you
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Start by learning. First have a clear idea in your own mind, then you won't be blindly following. No one can ever replace yourself.
缠中说禅 2006/11/27 21:58:09
[Anonymous] lran
2006-11-27 21:53:53
I love fish, but hand-fed fish will eventually run out. The blogger seems to be in a good mood today, answering every question. But I'd still advise everyone: a hundred fish can't compare to a fishing rod. The blogger's stock articles actually have a consistent thread throughout. Economics, Confucius, Marx, Stocks—they're essentially one essay. It's all about seeing, observing, and examining. Seeking fish is not as good as learning to fish. The bear's paw is right here, yet fools discard it.
Student making presumptuous remarks, awaiting the blogger's correction.
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Having clarity in your own mind means you won't be blind. No one can ever replace yourself. The Buddha, too, can only be realized by yourself—no one can do it for you.
缠中说禅 2006/11/27 22:02:03
[Anonymous] 面
2006-11-27 20:09:04
I have 10,000 yuan—can I trade stocks? Could I get rich from it?
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Why not? But getting rich is just a result. If you already have the result in mind, then the result won't come. First ask yourself if you're willing to put in the work.
缠中说禅 2006/11/27 22:04:55
[Anonymous] 清
2006-11-27 21:20:16
Question: Bought CITIC Guoan in '03 and S Nanjing Xinbai in '04—really just stubbornly holding and not wanting to sell. What do you think about how to operate? Give me an operating suggestion—don't make it too "stock-commentator-ish." If possible, tell me when I can hold until.
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Since you're already holding long-term, just keep holding until the long-term position can no longer be held. And right now there is no such signal.
缠中说禅 2006/11/27 22:10:42
[Anonymous] 狼
2006-11-27 21:47:28
Asking about 000850 and 000680—how to operate going forward? Thanks!!
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000850 In a mid-term correction after a big rally. Short-term breakout needs volume supplement.
000680 The 120-month line at 6.9 yuan is the most crucial barrier for a long-term rally to unfold.
缠中说禅 2006/11/27 22:13:34
[Anonymous] 关于有色股
2006-11-27 21:54:52
This afternoon it seemed like the main force in non-ferrous stocks was retreating? Seemed to be attacking other sectors. Blogger, how do you see this? Is this a temporary retreat by the main force? Can they fire it up again soon?
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Short-term rotation is completely normal. Long-term, the differentiation of non-ferrous stocks depends on the concentration of shares. Stocks where too many retail investors hold—those can only keep churning. Stocks that retail investors don't dare hold have all become manipulated stocks that move unpredictably.
缠中说禅 2006/11/27 22:22:29
[Anonymous] 小股民
2006-11-27 21:58:57
Could Zen Master blogger help look at 600426 and 600016's future outlook?
Would entering 600016 now carry big risks?
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600426 For most stocks, the transition from single digits to double digits always involves prolonged churning. This stock is doing exactly that—churning around 10 yuan. Mid-term no problems, but short-term it's more prudent to view it as a large box between 9 and 11 yuan.
600016 This ID never wants people to chase high. Where were you when it was just above 4 yuan breaking through the annual line? There isn't only one stock in the world. Of course, this stock is fine mid-term, but that's not a necessary reason to enter.
缠中说禅 2006/11/27 22:24:36
[Anonymous] xuesheng
2006-11-27 22:17:58
Asking the blogger, what about 000897?
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Triangle consolidation after a big rally. Short-term breakout needs volume supplement.
缠中说禅 2006/11/27 22:25:58
Late, signing off. Goodbye.
缠中说禅 2006/11/28 9:04:17
yahwang
2006-11-27 22:59:27
A beginner, two weeks in the market. Holding 601398, 000788, 000751, 600616, 600079—1/5 each, no additional funds. This old monk wants to test his annual stock market return rate. Please comment.
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No mid-term problems with any of them.
缠中说禅 2006/11/28 9:07:54
[Anonymous] LIVERPOOL
2006-11-28 02:47:18
Asking Number Lady:
How to operate 600500 and 600642 going forward?
Have been watching 600256—missed the buying opportunity. Is there still a chance?
Thanks!!
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Hold and wait for a sell point to appear.
You can buy any stock at any time—the only difference is the risk you bear. A good approach is to enter at the lowest risk. But there are no absolutely risk-free opportunities in the world. The key to entering is: do you understand where your risk lies, how much you can bear, and how to exit?
缠中说禅 2006/11/28 9:09:32
[Anonymous] 密码
2006-11-28 06:38:28
So does that mean stocks like 600550 and 0523 that just pulled back to the annual line are the most worth trading?
Is this what you mean, Sis Chan?
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Please read carefully: "Teaching You to Trade Stocks 9: Mathematical Principles for Identifying 'Premature Ejaculator' Males!"
缠中说禅 2006/11/28 12:54:39
Future questions please ask on the new post.
Answers will also be on the new post.
缠中说禅 2006/11/27 12:18:55
Today's back-and-forth was clearly predicted last week
2006-11-24 15:00:18
Counterattack as expected, but the strength is questionable. Turbulence next week is inevitable. Short-term, the 5-day line is key—if broken, it retests the gap support below 2,000 points.
This conclusion remains valid.