Spy Wars: Red Shopkeeper

Chapter 251 Breakthrough
Another day of making money!
After the market closed, retail investors were overjoyed.

Today's violent surge by the major players, though incomprehensible to them, allowed them to maneuver within the range. As long as they weren't greedy, they could steadily make money.

Some earn as little as ten yuan, like with group buying, while others can earn hundreds or even thousands of yuan.

Isn't this much better than going to work?
The regret of not making money stems from operational mistakes; a slight greed led to missing the opportunity to sell.

This is the exchange's fault. There are only a few windows, and when a few people are buying and selling, time flies by.

Such a great opportunity to make money was missed.

regret.

On the first day, the stock market activity only spread in a limited circle.

The next day, such a good opportunity came again.

Once the power was restored, the stock price started to fluctuate wildly again, with the volatility increasing. It went up to 149 and down to 110. With such a large fluctuation, if you bought a short position at 149 and sold it at 110, you could make 39 yuan. If you did this 20 times, you could buy a house.

too exaggerated!

The excited investors below were shouting about the ups and downs of the market, their emotions running high.

The second floor, the British people's private room.

Keswick, a director of the Municipal Council of the Concession, was listening to his butler tell him what was happening downstairs, and he laughed.

It's not that he's laughing at retail investors for making a small profit by exploiting their market position; it's that he does the same thing.

Every year there is a wave of cotton yarn price increases. As a result, some funds will work together to push up the stock price, and some will work together to take money from retail investors. There is no need for discussion. This is the consensus. The consensus is 150 yuan, with a maximum fluctuation of 2 yuan. This is the consensus of all funds in Shanghai.

It's not that you can't exceed 150, but if you try to exceed 150 and go up to 160, someone will try to jump ahead while you're doing it.

Capital is unethical, and even with contracts, no one can truly trust anyone else.

Fu Xiao'an was ganged up on by them during the last economic crisis, which is a case in point. No one lacks the instinct to kick a man when he's down and to prey on the wealthy.

Therefore, a more reasonable approach would be for everyone to fight their own battles, initially pushing together towards the target of 150. This would both prevent the stock price from collapsing and encourage more retail investors to follow suit, while also gradually withdrawing to secure their profits.

When the market is good, it can easily rise to 150. When the market is bad, like last year's black swan event, we decisively sell at 120. Safety first, that's the nature of capital.

"Have you found out who was behind yesterday's price surge?" he asked his assistant.

"We found out. The brokers who were in charge of the trading were two newcomers. The fact that they used newcomers to drive up the price was obviously to prevent others from finding out their background. But we traced the source of the call back through the phone in that room and found that the call came from the SH Municipal Special Government Office."

"So it was Fu Xiao'an."

Keswick chuckled. "He has his own agent. Why is he being so secretive? What is he up to?"

The assistant pondered, "Could it be that Fu Xiao'an was wiped out by the combined funds we blocked last time, and he wants to retaliate against us this time? Otherwise, I really can't understand why he's launching a rally now, and why he's driving it up so quickly. It's too fast. Now those people below are running away as fast as they can, making a little money and leaving. He has no way to retreat."

"revenge?"

This word made Keswick's smile fade slightly. "There are only two kinds of retaliation in the futures market: holding long positions and encountering a black swan event that causes a sharp drop, or holding short positions and being quickly liquidated. Is Fu Xiao'an promoting that cotton yarn prices are going to rise this time?"

"Yes, recent news reports have been saying that cotton stocks have suffered losses in the fighting, production cuts are inevitable, and major Chinese-owned factories are going to raise cotton yarn prices. So far, we haven't heard any news of merchants successfully buying cotton yarn from factories."

"interesting."

Keswick's expression turned slightly serious. "The public opinion is all pointing to price increases. This is an attempt to get people to place more orders. In the past, we only used this method when we needed to sell our goods and find someone to take over."

But the cotton yarn season has only just begun, and the advertising has already started.
"By letting retail investors take over long positions in advance, does this mean the cotton yarn season is going to end early?"

Keswick's eyes flashed, and he said seriously, "Contact your informants in the Japanese and see if they have any plans for forced conscription?"

"I've already inquired, but there's no information on that at the moment," the assistant said professionally.

Keswick couldn't understand it. He frowned. No matter how he looked at it, giving the chips to retail investors was the prelude to a crash. If it wasn't a forced expropriation, what else could it be?
Short selling is the easiest tactic for Fu Xiao'an. Given his position, if he really wanted to crash cotton yarn prices, he only needed to contact the Japanese and release a few announcements about forced requisitions.

Going long inevitably leads to strong selling pressure, making it impossible for prices to rise.

"Control the number of long positions and increase the number of short positions. A sharp drop could happen at any time. Just because the Japanese informant says there are none now doesn't mean there won't be in the future. Fu Xiao'an's phone can go directly to the Japanese Nanjing headquarters, which is now the headquarters of the expeditionary army. Fu Xiao'an has the ability to do this."

"Yes, I will be careful." The assistant turned to send instructions to the agent.

Keswick walked to the second-floor balcony and looked down at the excited stock market investors below.

Everyone's making money, so who's losing money?
Fu Xiao'an is losing money.

Fu Xiao'an's fangs will surely be revealed at some point.

As expected, when the price drops to 110 again and these people try to buy at the bottom, the price will never go back to 150. Last year's forced requisition news caused cotton yarn to be driven down to 30 in the dead of winter, and even he couldn't escape. Everyone suffered huge losses and left the market.

Hopefully, these people will still be able to laugh then.

Now, they also need to maintain the stock price, push it up when necessary, and close out their long positions that they had already placed at the 149 price level.

"Hahaha, I made money again! It's so easy to make money!"

Stock market investors are so happy, waving their cash around! They're making a killing, a real windfall!

As long as you master the rhythm, you'll definitely make money.

The clamor made the stock market participants nearby envious. With the stock price stagnant and the futures traders so excited, it was hard not to be tempted.

Sell ​​your stocks, listen to some stock market advice, buy futures, and sit back and wait to make money.

And they actually made that money.

Joining means you can make money; such a good thing should definitely be spread around.

The news began to spread the next day.

On the third day, newspapers began advertising ways to make money in the futures market.

When someone makes money and goes to a brothel to show off, the news gets back to the prostitutes.

Unlike the excitement of retail investors, Keswick saw this as a stronger indication of finding someone to take over the shares.

Moreover, it's the big players trying every means to find retail investors to take over their positions.

How many orders does Fu Xiao'an have in hand? What kind of bombshell is about to explode? By recklessly attracting people in, the price collapse is bound to lead to an abyss.

"Handle our long positions as soon as possible and open more short positions. We need to be quick. Fu Xiao'an must know about the Japanese plan. The Japanese are currently engaged in a major battle with the Chongqing government in Changsha. They may very well be forcibly requisitioning cotton yarn for this purpose."

Keswick was both nervous and excited.

What's nerve-wracking for them is that they have a lot of cotton yarn orders to get rid of, because that's all profit.

The exciting thing is that by capitalizing on this market crash, one's wealth can rise to another level. Fu Xiao'an is currently losing money every day, but this can't last long; we'll definitely see the results soon.

"Yes."

The subordinates took the order and carried it out, and the excess orders were dumped, not caring whether the price had to be above 140, 135 was fine, 130 was fine, 120 was fine too. With such a large number of orders being dumped in a short period of time, the price was bound to be pushed down.

As they expected, the price range for cotton yarn was driven down.

Not only are they dumping their shares, but other concession capital is also dumping their shares. Right now, the whole situation can be summed up in two words: dangerous.

The collapse could happen in an instant.

They also have to thank Fu Xiao'an. Fortunately, Fu Xiao'an publicized the deal and brought in so many retail investors to take over the long positions. Otherwise, with such a large volume, it would have been too difficult for them to run away in a short period of time. In previous years, it would have taken at least a month.

To make it run faster, the price is a bit higher.

They also began to exert their influence, widely publicizing the news of reduced cotton yarn production in the newspapers of the concession, attracting more people to come in and take over long futures contracts.

He turned around, opened a short position, and waited for the crash to come.

Where there's someone throwing something, there's someone else catching it.

Fu Xiao'an was very patient, waiting for the funds from the concession to make a move. The only criterion for judging whether the funds from the concession had been trapped was whether they had dumped their long positions.

When a large number of long orders were placed, Fu Xiao'an made a move.

A phone call to a broker came as cotton yarn futures prices were driven up to 145 again, prompting most stock market investors to switch from bullish to bearish and open short positions.

Fu Xiao'an accepted all the offers and slowly continued to push up the price.

146
At this point, investors won't panic; they'll just regret selling a little too early. But it's okay, the price will definitely come down.

However, 149, 149.5, 149.8, 149.5, 149, 147, 149, 150!
151
The sky is falling!
The 150 mark has actually been broken!

"What happened? Why did the price go up?"

"It's a bull trap, it must be a bull trap. The market maker is setting a trap. He wants to tell us that this time is different and wants us to open long positions. But let me tell you, it's always the same. The price will definitely come down. Hold on."

154
On the second floor, Keswick, who held a large number of short positions, couldn't sit still any longer. He walked to the window and looked at the stock price displayed below. It could break 155 yuan? That's impossible!
Fu Xiao'an couldn't possibly have that much money.

But now that the numbers are in front of him, he has to consider a problem.

Is this a bull trap or a price surge?

If it's a bull trap, they can continue to open short positions at this price, which will yield even greater profits.

If the price is rising, you have to close the position immediately, as you're losing a lot of money every second.

The Municipal Government, Fu Xiao'an's Office.

Gu Yansheng and Fu Xiao'an sat on the sofa, drinking tea and chatting, their laughter unusually harmonious.

Every now and then, his gaze would sweep over the blackboard in front of him, and seeing the stock prices written on it would make him feel even more cheerful.

"Ha ha ha ha."

Now there's a blackboard in the office, and Fu Xiao'an's secretary, Wu Maiding, is busy between the telephone and the blackboard with two of his subordinates.

The phone call never ends; everything that happens at the stock exchange, from opening to closing, is relayed to them in real time via telephone.

What was the stock price? What were the shareholders' reactions? What was discussed? Did the foreigners in the second-floor private rooms come out onto the balcony to watch? And what were their expressions?

Whenever they want to know, the exchange's informants will gather the information.

Why are stock market investors so excited? Why are there so many new investors coming in to take over? Yes, there are quite a few new investors, but there are even more workers in their cotton mill.

Of the many cotton yarn factories in Shanghai, Gu Yansheng and Fu Xiao'an owned more than half of them. They mobilized workers to pretend to be new shareholders and buy long positions, and the orders thrown out by these people in the concessions fell into their hands silently.

These are all individual orders; how will the people in the concession react?

Fu Xiao'an crossed his legs and laughed, "Brother Gu, let me tell you, the moment the price stabilizes at 155 silver dollars, the entire concession, the entire Shanghai!"
All the capital has to give me a shake.

As is customary, their target price is 152 yuan, and if they hold out a little, the maximum is 155 yuan.

If I lower the price to 156, these people will panic.

why?
Because they won't anymore.

Fu Xiao'an stretched out a hand, displaying the demeanor of a ruthless tyrant, "Whether it's bullish or bearish, do they know what will happen in the next minute? They don't know, they know nothing."

They are now no different from the ordinary people in the trading hall, all waiting for me to take charge of their trades.

These people are even worse off than ordinary people. Ordinary people lose and that's it; but these people thought they could control the situation. Now that the situation has slipped from their control, they're completely panicked. The British and Americans are the same; without their advantage, they're nothing special.

Clap clap clap clap, Gu Yansheng clapped his hands and laughed, "Wonderful! Mayor Fu, your operational skills are dazzling and eye-opening. I've learned a lot."

Gu Yansheng did learn something from being called to watch the play today. He realized that the psychological price of cotton yarn in the minds of the capital in the concession was 150. This was such crucial information that if Fu Xiao'an hadn't told him, Gu Yansheng wouldn't have known it either.

Fu Xiao'an smiled and waved his hand, "In the past, these people in the concession were very shrewd. Although they all accepted 150 yuan, they would always keep a lot of orders on hand in case of unexpected events. What if something happened and the price went up again? They needed to have orders to keep and make money off luck."

So this time I have to force them to release the orders they have.

Caution has always been the biggest advantage of this type of trader, which is why I say that the cotton yarn disaster last year looks so good now.

They'll investigate who's funding it, and they'll find out it's me. I'm going to use new people so they know I'm the one secretly pulling the strings.

This caution inevitably leads people to overthink.

"Old ginger is spicier, I admire you." Gu Yansheng flattered him.

"Hey, without Minister Gu, I wouldn't be able to earn this money."

One issue is the monopoly on cotton yarn production and the right to release favorable news; the most important issue is funding.

The futures market, to put it bluntly, is a money game.

If you have enough money, you can do whatever you want.

150 is fine, you can go up to 1500!
Fu Xiao'an raised 3500 million silver dollars on his own, and Gu Yansheng also prepared 2500 million silver dollars.

The subsequent sale of high-priced cotton yarn generates a continuous stream of cash flow.

This cash of at least 6000 million yuan is the biggest source of confidence for this operation.

(End of this chapter)