The First Show Of A Shares In 2016 Has Shocked The World To A Great Extent.

Entering the first week of 2016, the performance of A shares shocked the world.

The Shanghai Composite Index fell sharply from 3536.59 on the first day of the new year and fell to 3056.88 points, the biggest decline was over 13% during the period, and the 2 trading days touched off. Finally, the Shanghai Composite Index closed at 3186.41 and fell 9.96%.

It also led the four big indexes, and the week fell 17.14%, the biggest weekly decline in history.

The state is in action, and the central bank is once again trying to maintain the relative stability of the renminbi. The new rules are temporarily suspended by the SFC, and the lifting of the restrictions on the issue of restricted shares will also be limited by the amount.

It is not hard to see that the financial market is gradually stabilizing in the face of many good policies and joint efforts.

On the basis of its decline, we believe:

1, the RMB exchange rate devaluation or the main reason;

Entering the 2016, the performance of the RMB also leveraged the sensitive nerves of the whole world. The continuous and significant depreciation of the RMB accelerated the fear of foreign capital escaping, which led to the domestic market.

The heat of liquidity tension has led to huge fluctuations in A shares.

2.

The new regulation led to a big demand for funds to hedge ahead of time.

3, the lifting of the ban on the sale of shares pressure.

Looking ahead: considering the "reform and economic pformation of the bull market foundation is still solid + policy face good care + technology trend has seriously overfall" and other factors, we expect A shares to usher in a technical rebound.

It is suggested that investors should not be pessimistic in taking stock of future bull market expectations and take the opportunity to absorb stocks at the same time.

Recently, the market has been interfered by the fusing mechanism. Due to the shortage of liquidity, the market has lost a lot in the short run.

After the suspension of the melting mechanism, the market's short-term stabilization or even rebound is not as strong as expected.

Judging from the trend, the market is in a downward trend, and the important key supporting points in the early stage have been broken. The above market is tightly packed and the average line is severely suppressed. Therefore, investors should be cautious when it comes to the market. Unless there is a clear amount of money in the market, it will quickly reverse and repair the land lost. Otherwise, every rebound will be an opportunity for investors to reduce their positions.

Investors still need to be cautious before the two bottom of the market has stabilized.