Black technology: a super empire spanning two worlds

Chapter 25 [The opponent panics]

At the same time, Zhou Baichuan and others also learned that Linghan New Materials had an unexpected big harvest in Africa and acquired a gold mine at a low price.

Zhou Baichuan couldn't help but curse in his heart, what a bad luck he had.

On Saturday morning, Xiao Yu returned to his villa in Linzhou City. The housekeeper Qin Yue came over with a document and handed it to Xiao Yu: "This is the material that Assistant Yun sent this morning."

Xiao Yu took it and opened it to have a look. The material Yun Shu sent was about the data on margin trading of Prism Technology. This was something Xiao Yu had told her in advance by calling her before he boarded the plane in Africa.

"As expected, they were borrowing shorts and crashing the market yesterday." Xiao Yu thought to himself as he looked at the materials. It was impossible for funds for simple short-selling arbitrage to be shorted at that time yesterday, so it was not difficult to determine that it was Zhou Baichuan and his group. No one else would do that.

After thinking for a moment, Xiao Yu immediately decided to adjust the plan slightly. He had originally planned to announce the news over the weekend that the gold mine reserves far exceeded expectations.

But now he decided to release this news during trading on Monday. His purpose is to let several short sellers of Penghui Capital continue to increase their short orders next Monday. Because even if the stock price hits a new high next Monday, the limit price is 29.47 yuan, which has not yet reached 30.53 yuan.

Therefore, the opponent will definitely have the motivation to increase short positions to push the market down, because next Monday is the last chance.

However, if unexpected news is released over the weekend, they will definitely not dare to add to their short positions. They may even be afraid of being forced into short selling and facing huge losses. They may stop losses and start closing their short positions.

Xiao Yu wanted to open more short orders with them and then blow them up, so as to lose all the short profits made previously and further expand the losses.

After some consideration, Xiao Yu decided to suppress the news first, let them open more short orders and then suddenly release the news during the lunch break.

……

After the weekend, it’s Monday, August 7th.

Prism Technology opened at the daily limit today, with its share price rising to 29.47 yuan, an increase of +19.99%, breaking through the previous high of 28.72 yuan to set a historical high. The company's market value rose to 255.79 billion.

Xiao Yu was paying attention to the market trend. The market opened at 9:30 and the price was locked in a daily limit. After five or six minutes, a large amount of funds appeared to dump the market, and the daily limit was blown up.

The stock price plunged nearly 10 percentage points at one point during the trading session. There were several short sellers such as Penghui Capital who opened short positions to dump the stock. At the same time, there were funds that were trapped at previous highs and left the market. In addition, there were short-term profit-taking. The selling pressure formed by these three factors blew up the daily limit.

The morning session closed at 11:30, and Prism Technology's increase was fixed at +12.82%.

At this moment, Xiao Yu saw some shareholders asking the secretary of the board of directors of Prism Technology about the discovery of gold mines by Linghan New Materials.

He flexibly adjusted his strategy again. He originally planned to post on Weibo, but he let the company's secretary answer investors online so that the message could be spread faster and more reliable.

Xiao Yu immediately called Yun Shu and said, "I saw an investor asking the company's secretary about the gold mine online. Go and arrange for the secretary to reply. The latest news is that the gold mine has a reserve of more than 30 tons. It is a large gold mine."

Yun Shu on the other end of the phone was stunned for a moment, and couldn't help but said: "Isn't it 13.5 tons?"

Xiao Yu said calmly: "That's last week's data. This is the data given in the latest assessment report. Just do as I say."

Hearing this, Yun Shu replied: "Okay, I'll arrange it right away."

At around 12:17, the secretary of the board of directors of Prism Technology responded to investors' inquiries online. According to the latest news, the gold mine reserves far exceeded expectations and were no less than 30 tons.

As soon as this news came out, investors couldn't sit still.

Whoops!

Beyond expectations!
Seriously exceeded expectations!
Epic beyond expectations!

Hurry up and attack fiercely. After learning the news, various funds in the market placed orders in advance, and even some well-known hot money came to grab shares. These big funds valued that Prism Technology or Xiao Yu really understood the management of market expectations, and they were very good at it. There were always news that exceeded expectations. Even if the gold mine did not have 30 tons, the atmosphere was set off, and funds were willing to hype it up.

The most important thing is that big funds saw that Xiao Yu was managing market expectations and was very good at it.

There is a high probability that there will be new news stimuli tomorrow, so investors are willing to play and bet on news to come out tomorrow. As long as there are continuous unexpected news stimuli, the stock price will continue to rush upward.

As expected, when the market opened in the afternoon, the disagreement turned into consensus, and Prism Technology's stock price was forced to return to the daily limit. This time, the amount of funds blocked on the board reached more than 39 billion, directly blocking the daily limit.

"Okay, stop smashing it!"

At the same time, a trader in the trading room immediately shouted that this trading team was actually under Penghui Capital.

After seeing this market situation, traders no longer dare to open short orders to crash the market, because if there is another daily limit tomorrow, all the profits from the short orders accumulated previously will be lost and they will suffer relatively large losses.

If the second wave of the main upward trend really starts, the market will be pulled up and face huge losses, and even a margin call is not impossible.

The profit from short selling is limited and will not exceed 100%, because the stock price will not fall below zero. However, the loss from short selling is theoretically unlimited, because the stock price can theoretically rise indefinitely.

The trader quickly went to Zhou Baichuan to report the situation and asked his boss to make a decision, but he did not dare to make one.

As of the closing, Prism Technology's after-hours limit-up ended, and today's trading volume was reduced to 17 billion. Because the short sellers behind did not dump the market, and did not dare to do so, Zhou Baichuan saw this situation and held an emergency meeting with several other investors to discuss the matter.

Everyone realized that the situation was not good and that there was no way to prevent Prism Technology's market value from exceeding 265 billion. There was almost no suspense as to whether Xiao Yu would win the bet agreement.

They also had to admit that Xiao Yu's gold mine was simply divine help, which was really unpredictable.

After some discussion, Zhou Baichuan and others decided to meet with Xiao Yu.

There is no way they can disappear, because there is no way to stop Xiao Yu from winning the bet agreement. The stock price only needs to rise by +3.56% during tomorrow's trading session to achieve the target market value. In reality, there is basically no suspense that the stock will open at the daily limit tomorrow. If the stock price continues to hit the daily limit, their short positions will lose money. If the stock price continues to hit the daily limit, they will really be blown up.

……

The next day, Tuesday, August 7th.

At 9:25 in the morning, the call auction ended and Prism Technology opened at 35.36 yuan, opening up +19.99% and hitting the daily limit, achieving three consecutive daily limits. The stock price hit a new historical high and the company's market value rose to 306.92 billion.

Xiao Yu won the bet agreement with capital!
The company's current market value has far exceeded the 265 billion agreed in the agreement. Xiao Yu successfully achieved the target market value of 265 billion within three years of listing.

At this time, the housekeeper Qin Yue walked towards Xiao Yu and said, "Sir, Zhou Baichuan has arrived in Linzhou City. He hopes to make an appointment to meet with you today. He said he has important matters to discuss with you."

Hearing this, Xiao Yu couldn't help but smile.

He knew that the other party was getting impatient and couldn't sit still. Most likely, he had opened too many short orders and was now being forced into a short position by the market and was panicking.

Xiao Yu put away his smile and said calmly: "Reply to the letter. It's clear. Let him come to see me this afternoon."

Qin Yue nodded: “OK.”

The housekeeper immediately went to reply and convey Xiao Yu's meaning.

……

(End of this chapter)