Men, they all like to brag in front of women, talking about how amazing they are. He Zhengcheng is alright; he doesn't have 'straight man syndrome' and understands a bit of romance.
Last night, he sweet-talked Zhi Ling again, first saying he wanted to watch the stars with her, then saying he wanted to watch the sunrise with her, and ended up tossing and turning all night, directly missing the sunrise.
Waking up in the morning, Zhi Ling was refreshed, while He Zhengcheng had a sore back. Indeed, there are only exhausted oxen, no fields that can be over-plowed. This is what happens without restraint!
"Don't worry, I will give him this song. It's a good song," Lin Zhiling comforted He Zhengcheng as they parted.
"Give it to him if you have the chance; if not, then forget it. In a few more years, I will have the ability to speak with him as an equal," He Zhengcheng said, full of confidence.
"Got it!" Lin Zhiling looked at He Zhengcheng coquettishly. Confident men are the most attractive… Well, it felt like Zhi Ling was about to fall for him. Was this too fast? Wasn't He Zhengcheng just a chuunibyou yesterday? Alas, matters of the heart have no logic.
With matters on his mind, He Zhengcheng wasn't in the mood for intimacy. He still needed to see if there was an opportunity to enter the market. His Father He's more than one million in funds couldn't just sit idle; that would be such a waste. Men, after all, prioritize their careers!
Arriving at the brokerage office before the market opened, he ran into his broker, Feng Xinghe.
"Cheng Zai is here! You've made a lot of money these past few days, haven't you!" said Feng Xinghe.
"Not at all, just a small profit!" He Zhengcheng replied.
"The market hasn't been good lately. Only those of you shorting the Hang Seng Index are making the most money!" Feng Xinghe said quietly, seemingly afraid of being overheard by those who had gone long, bought stocks, and hadn't yet broken even.
"I have to thank Manager Feng for that. If it weren't for your help, I wouldn't have had the chance to earn so much money. Do you have time today? Let's have dinner after the market closes this afternoon!" He Zhengcheng proactively invited Feng Xinghe. Regardless of the other party's intentions, increasing his leverage had, in reality, helped him earn more money, and that was a fact.
A gentleman judges by actions, not intentions; there's no need to be harsh on strangers.
"Alright then, I also want to have dinner with a God of Wealth like you and get some good fortune!" Feng Xinghe said.
"Then it's settled!" He Zhengcheng said. He didn't have time to chat idly with him; he needed to observe the market and move his Father He's funds into the stock index futures account.
Father He's futures account was also opened at Wathley, but not at this particular branch, and the leverage was not as high as He Zhengcheng's. The margin for one lot of Hang Seng Index futures was fifty thousand Hong Kong dollars.
With 1.1 million in funds, a full position could only handle 22 lots of Hang Seng Index futures. Seeing this, it became clear how much Feng Xinghe had helped He Zhengcheng. (Ignoring that the margin required for long and short positions might not be consistent at this stage.)
"Alright, I won't bother you then. If you need anything, just let me know!" Feng Xinghe said.
Having made all preparations, he saw many stocks falling sharply even before the market opened. It was clear that a low open was inevitable, and the call auction clearly showed all this.
"With such a low open, should I temporarily take a long position?" He Zhengcheng hesitated. He was bearish, but the Hang Seng Index futures had opened below 8000 points. If there was any resistance in the market, it was very likely to open low and then rise.
Even if it couldn't return to yesterday's opening price, it would at least return to yesterday's closing price. This was a high-probability event.
"Buy it!" As the market opened, He Zhengcheng cheered himself on. Conquering the goddess last night still filled him with passion today.
"Ah!"
"Wuwuwu!"
"Why did it fall so much!"
Even in just one brokerage office, where not many people were trading, the tragic and mournful cries still reached his ears.
Luckily, no one was watching his operations, otherwise, he truly didn't know if he would be accidentally injured by the agitated crowd.
The market opened!
"Low open, below 8000 points, 7970 points.
Good, it's starting to rise, back to 8000. Buy 10 lots, continue to buy 10 lots!
Rising, stabilizing above 8000 points. It's stable!"
In just over ten minutes, it was thrilling and extremely stimulating. The transaction fees for buying 20 lots of Hang Seng Index now were much lower than for short selling. And with 20 lots, one point was 1000 Hong Kong dollars. For long-term trading, it wouldn't matter much, as he wouldn't constantly monitor points and funds. But since he was doing ultra-short-term trading, he would definitely keep a close eye on it, and would stop loss if the losses became slightly too much. Fortunately, the probability of success for this trade was already very high, and it truly succeeded.
Watching the Hang Seng Index steadily rise, he knew someone was shoring up the market. In fact, most of these market protectors knew that buying stocks at this time would definitely result in short-term losses, and if Hong Kong failed, it was hard to say whether they could recover their capital.
Theoretically, a stock's value should not go to zero, but a severe financial crisis can cause listed companies to go bankrupt.
For example, in 2008, even a large American company like General Motors went bankrupt. Which fund holding General Motors stock didn't suffer huge losses?
Many people like to stand on moral high ground and despise short sellers, believing them to be immoral.
But they haven't considered: if short selling is immoral, why did Daxia Country, which is very conservative about finance, still open up short-selling channels? Wouldn't prohibiting short selling be the best option?
In fact, prohibiting short selling cannot prevent the outbreak of financial crises. For example, the A-share market plunged from 6000 points in 2007, and there's the still-sung "I stood at the peak of PetroChina at 48 yuan"—at that time, the A-share market didn't have stock index futures for short selling.
The short-selling mechanism can be simply understood as an accelerator, a surgical knife for the securities market, which can cause harm, but more often, it saves lives.
For example, by shorting the stocks of problematic companies, we force them to expose their issues early. Capital can profit, and the market achieves a cleansing and purifying effect.
It's like professional anti-counterfeiting. Even if their goal is to make money, they have, in fact, helped us eliminate many counterfeit and shoddy products from the market.
Short selling is the professional anti-counterfeiting of the capital market! Without a short-selling mechanism, it's artificially protecting "monster companies" in the financial market. Can you imagine, would there be no crime in a world that only has daytime?
The Hang Seng Index continued to rise until the market closed in the afternoon, and the Amplitude was significant, with a range of about 380 points from low to high.
He Zhengcheng chose to take profits in the last few minutes, closing his long position and immediately going short. By the time the market closed and the dust settled, his account had an additional 350,000 Hong Kong dollars in profit.
Compared to his own account, this account's one-day profit exceeded the sum of the previous few days.
After transferring 50,000 to his bank card, He Zhengcheng immediately called Father He.
"What! You earned 350,000 in one day?" Father He exclaimed.
"Yes, I only made two trades," He Zhengcheng said, not mentioning that it was his own operation, fearing his Father He couldn't handle it.
"That's truly amazing, but the risk is too great!" Father He said.
"That's why I monitored the market all day today!" He Zhengcheng replied.
"Dad, I transferred 50,000 out. Please transfer this money to my card; I'll need it later!" He Zhengcheng said.
"Hmm, alright, I'll go to the bank right away!" Father He said.
He Zhengcheng planned to test Feng Xinghe. If he could increase the leverage ratio of Father He's account, he would buy him some gifts.
Not long after, he received an SMS notification that the funds had arrived, and he could go to foster relations...