Enduring Market Volatility, Still Grid Trading?
It's hard to believe that more than five months have passed this year, and the performance of global capital markets has shown a huge difference.
As everyone says, the US is deep in the throes of inflation, but the Nasdaq has risen by 21.54%. As everyone says, Japan's economy is sluggish and its currency has collapsed, but the Nikkei index has risen by 18.64%, setting a record high in nearly 33 years.
Meanwhile, our A-share market is still growing steadily. The Shanghai Composite Index has gained 1.07% year-to-date, while the Shenzhen Component Index has surged 5.08%. Although it's not easy to make money, there are still plenty of opportunities for growth.
It's hard to trade stocks, and it's even harder to trade A-shares or Hong Kong stocks.
The market is currently in a state of flux, with funds competing to buy or sell assets. The technical indicators are all over the place, making it difficult to determine which direction the market will take.
Currently, there are two major players in the market: macro estimates and artificial intelligence. Lately, neither has been performing well. Without a strong leader, smaller players are hesitant to make bold moves.
As a result, the market is still fluctuating wildly, with no clear direction. So, I'd like to share my experience of grid trading ETFs with you:
The semiconductor ETF grid I'm holding has a holding period of -6.45% and an allocation rate of 70%.
The brokerage ETF grid I'm holding has gained 3.91% and is still generating returns.
The pharmaceutical ETF grid I'm holding has gained 20.44% and is still generating returns.
It's amazing to see the different performances of various buy and sell times. Medical funds have performed so differently, but I still believe that medicine is at the bottom.
The electricity ETF I'm holding has regained its losses through grid trading and is still generating returns.
Unfortunately, the aquaculture ETF I'm holding is currently underperforming, with a return of -16.43% and an allocation rate of 80%.
The overall performance of my ETF grids is relatively good, considering the current market situation.
Grid trading isn't foolproof. If the market continues to surge, I'll sell everything. The saying "the greatest returns come from holding a light portfolio" holds true.
However, given the current market conditions of wide fluctuations and uncertainty, grid trading is still a viable strategy for achieving moderate gains or avoiding losses.
According to the A-share temperature gauge, the current market temperature is 29.26°C, which is relatively low.
Based on a total portfolio size of RMB 150,000, my actual allocation rate is approximately 65%.
The main index estimates have changed, with the Shanghai-Hong Kong Stock Connect Index falling back into a low-estimate zone. Similarly, the CSI 500 Index has crawled back up to its moderate estimate zone.
Last Thursday was the 42nd time I've invested RMB 1,000 in my portfolio, with a total investment of RMB 48,000 and cumulative returns of -RMB 44.41.
This article was first published on WeChat public account: Cai Niao Finance. The opinions expressed in this article are the author's own and do not represent Hexun.net's stance. Investors should use their own judgment when making investment decisions, and assume all risks.