Many brothers are puzzled, why sometimes when it is clearly Favourable Information, the market will instead fall?


Actually, this Favourable Information depends on what kind of Favourable Information it is:
🔶Policy signals Favourable Information is often loud, but whether it will be implemented, how it will be implemented, who will implement it, what the timeline will be, and how to ensure implementation are all unknown.

🔶Policy implementation Favourable Information, with specific execution steps, and will be implemented in the short term, or has been implemented, it is obvious to the discerning eye that 'things are being done'.

🔶Only policies that are truly implemented on the ground are the real Favourable Information. The upward trend and momentum in the market will also be greater and more sustainable. If it's just verbal Favourable Information, the market will tend to rise and then slowly fall back. If it rises rapidly and falls sharply, it indicates that the policy is good, but the risk remains high.

🔶That's how it is when there is insufficient liquidity. It goes up by 10% today, and falls back tomorrow. It's like having only 100 bucks in your pocket and saying you want to make a deal worth 1000 bucks when no one is stuffing money into your pocket. People might believe it, but when they see you only take out 100 bucks from your pocket, they tend to participate conservatively, or even withdraw.

🔶Especially many times, such as Trump shouting a lot, not paying yet, just doing some preparation work, although important, as long as there is no real money coming in, capital is not stupid.

🔶And when money keeps coming into your hands, and you take out 10,000 yuan, saying you plan to do a business worth 1,000 yuan, people will firmly believe that you can succeed and will actively participate. Even the cost you may incur is much lower than 1,000 yuan.

🔶Of course, this is a very one-sided explanation. You can expand your understanding by yourself. The market does not pay for faith, but also provides idealism. The market is the market, trading is free, and you are responsible for your own money.
TRUMP4.8%
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