Hunan Gold's Regret

Hunan Gold Group has experienced numerous ups and downs over the years, facing various challenges and setbacks. Despite its efforts to innovate and expand, the company has encountered difficulties that have left a lasting impact on its development. This article explores the history, struggles, and lessons learned from Hunan Gold's journey in the mining industry. From initial successes to unforeseen obstacles, the story reflects the complex realities of enterprise growth and the importance of resilience and strategic planning in the face of adversity.

For $Hunan Gold (SZ002155)$, I knew the ending all along. I kept waiting for the injection and have mentioned multiple times that injection was highly probable, so the few boards after the injection are not that important. What’s important is the process.

On the trading day before the suspension, my Hunan Gold position was fully allocated, but because I didn’t follow discipline during the T+0 trading, I ended the day just a little over one cent short of being able to buy back, and I didn’t have the courage to re-enter, losing more than half of my position. It became a permanent regret for me, but maybe I just went through a test.

After Hunan Gold was suspended, a series of self-rescue measures were quite commendable. I bought $TBEA Co., Ltd. (SH600089)$ and the next day hit the daily limit up, with the highest increase approaching 40%. The alternative gold and jewelry fund also benefited from the crazy rise in silver, reaching a peak gain of 45%.

Currently, I have let go of my mindset. Stock trading must consider one’s psychological endurance. Long-term full positions and full margin in Hunan Gold, only using the limit I could no longer buy more of Hunan Gold to allocate to other stocks, but Hunan Gold’s gains lagged far behind smaller positions in other stocks, which made me impatient. From initial calmness, I gradually increased my T+0 trading ratio, even not rebalancing on the same day, and started doing swing trading.

Although selling at the wrong time also involves a lot of luck—stopping trading on the day my position was at its lowest—if I had stopped a day earlier or if Hunan Gold had been suspended any day during my nearly one-year holding period, my gains would have been greater than they are now.

But if you want to do T+0 trading, you must be prepared to sell at the wrong time. You can’t want both ways, especially since I haven’t even followed my own discipline for T+0: keep the position unchanged, and re-enter at the end of the day regardless of profit or loss.

I invested a lot of emotion in Hunan Gold and waited a long time. Although in the end, I only managed to tear off one leg of the cooked duck, I still decisively cleared most of my position after the stock opened up again, as planned.

The man who once had feelings and loyalty ultimately became ruthless. We can discuss PE ratios and valuation, but feelings are the only thing we can’t talk about. Loving all beings without being trapped by them, pointing the sword at the target, breaking all obsessions—that is the way to the Great Path.