512500

📌 A-share “textbook-style” deep V: 66.6 billion in funds bargain-buying—who’s behind the plan?

🍖 Chopper says:
This refers to today’s intraday deep V on the A-share market, with 66.6 billion yuan in funds buying the dip. Judging from historical patterns, signals like “large capital moving against the trend” often appear in a stage of bottoming—such as March 2022 and January 2024—after which the probability of a short-term rebound is fairly high.

I’m inclined to be somewhat optimistic. The reason is that the capital flows show clear action; 66.6 billion isn’t a small amount. And falling into a deep V suggests institutions are taking over the shares, not random retail investors making impulsive buys. Still, one reminder: history also has cases of “catching the bottom too early,” where multiple deep Vs during the 2018 bear market were followed by further, prolonged downside.

Compare this: you can look at $CSI 300 ETF (510300) and $CSI 500 (512500). The former is favored more by institutions and tends to have lower volatility; the latter has higher upside elasticity but also higher risk. On the day of the deep V, the funds are more inclined to buy constituent stocks of the CSI 300—like Moutai or China Merchants Bank—rather than small-cap stocks. So don’t just watch the index excitement; figure out who’s actually doing the takeover.

#510300 #512500 #A股