Looking for opportunities from historical data, we can find that in the past 30 years of A-shares, the Shanghai Composite Index has experienced a total of 51 consecutive strengthenings of five consecutive yangs, two strong climbs of seven consecutive yangs, 12 rare grand occasions of eight consecutive yangs, four magnificent landscapes of nine consecutive yangs, and two extraordinary achievements of ten consecutive yangs. Through a careful study of these historical phenomena, it is not difficult to find that whenever the Shanghai Composite Index shows a trend of 7 consecutive yangs, 8 consecutive yangs, or even 9 consecutive yangs, it often indicates that the market is about to appear or has entered an extraordinary stage.
Specifically, when the Shanghai Composite Index achieves 7 consecutive yangs, this is usually regarded as an important sign of the start of a **level**, which means that the market is expected to reverse from a low level and enter an upward channel. The emergence of 8 consecutive yang can almost be confirmed as the beginning of a new large-scale bull market cycle, and it is a key turning point for the market to turn from bears to bulls. As for the situation of 9 consecutive yangs, it fully confirms that the market has entered the prosperous scene of the bull market, and the tone of the bull market is undoubtedly established.
Review of key nodes in history:
On November 6, 2000 and April 9, 2001, there were two consecutive 7 consecutive yangs, both of which corresponded to the end of the first ** bull market.
On June 15, 2006, the 7th consecutive yang mark the gestation period of the 6124-point bull market. The 8 consecutive suns on November 14 of the same year were the prelude to the mid-term acceleration of the bull market.
The 7-day Consecutive Yang on August 20, 2007 was in the late stage of the 6124-point bull market.
On January 28, 2013, the 8th consecutive sun opened the prelude to the 5178-point bull market.
The 7-day bull market on November 20, 2014 occurred in the middle of the bull market at 5178 points, and the 9-day bull market on March 11, 2015 highlighted the climax of the bull market at 5178 points.
After the 7th consecutive yang on March 11, 2016, A-shares walked out of a wave of local highs at 3587 points.
After the 8 consecutive suns on January 10, 2018, the market also formed a closing stage of 3587 points.
Looking at the above examples, each 7-in-a-row or 8-in-a-row occurrence either indicates the start of a new round of big ** or bull market, or marks the end of the existing large-scale bull market. Therefore, investors should pay close attention to such signals when they reappear in the market, as this is likely to be an important market "turning point".
For the current 8-day streak, we can understand it as follows: first, it strongly confirms that the bottom of the bear market has been clearly confirmed, and the pessimism of the market has been gradually digested. Secondly, this round of 8 consecutive yang is similar to the 7 consecutive yang on June 15, 2006 (belonging to the early stage of the 6124-point bull market) and the 8-consecutive yang on January 28, 2013 (belonging to the early stage of the 5178-point bull market), all of which show the characteristics of the early stage of the bull market. At present, no matter from the perspective of valuation level, time length or spatial amplitude, the market has indeed entered a new bull market cycle, but it is still in the initial stage of washing for the time being.
Therefore, the emergence of 8 Lianyang not only sends a positive market signal, but also provides long-term investors with a strategic layout opportunity worthy of deep consideration. Although there are different views on the current "8 consecutive yangs" of the Shanghai Index, it is undeniable that the overall situation of A-shares is continuing to improve, and the fact that it cannot be ignored is that every time after 7 consecutive yangs and 8 consecutive yangs, the market will usher in a short-term adjustment, which is a historical law.
In any case, it is clear that the bear market has come to an end and the trend of the second round of the market has been fundamentally reversed. Whether we can continue to write the previous historical glory, we need to look at it rationally in this round, and we also need to grasp this strategic opportunity.
Kunpeng Project