Yingli, a stock which released a piece of wonderful news on 28/11/17 where they sold ChongQing ICC Project for $672 million was supposed to be good for the company as they increase their net cash flow became quite detrimental for their stock price. Before this good news was released, the stock was halt 3 days at the bottom with a strong COB which the signal was quite clear for a long.
https://www.theedgesingapore.com/ying-li-sells-chongqing-icc-project-unit-china-evergrande-part-672-mil-deal
In my years of trading and investments, I can say that when there is a huge demand, it's usually quite bad for the stock price. Look at Razer and Yixin which was 500+ times oversubscribed, both stocks are now currently under water and suffered major selling which recorded many stale bulls up there where it's going to take a lot of time before recovery. I made some profits and losses there and that's where I picked up lessons and experienced. Rowsley was another one too back in July where you see 2 long green bar and till today, prices have not reached back the 0.15 level, not even mentioning the high of 0.198.
Yingli, after the trading halt was lifted, the stock price went up just a little bit and from there on, there wasn't much daylight with so much blocks of big selling and price suffered to a almost the buying price before the halt. Studying the minute chart revealed that there was a huge gap up and in the daily chart, it was pretty obvious that retailers were chasing. It's going to take some time before Yingli can climb back to 0.164 again. It's just like Midas when I posted on my blog that sellers were going to gain control BEFORE the actual sellers emerged.
http://stockmarketmindgames.blogspot.sg/2017/11/midas-drifting-away-from-021.html
December 12th will be my last talk for the year and hence I have decided to share how to differentiate the demand and supply line so as to trade to your advantage and profit from this treacherous market. Finally, how to make use of news to short the market and use different platform for sustainable, profitable trades. I am almost full house and thanks everyone for registration.
Ronald K - Market Psychologist - A Stock Market Opportunist
