According to the latest statistics, the position of leeks has dropped to 65%, a new low in the past three years. It is worth mentioning that the data of leeks cutting meat has also set a record, from 75% to 65% in one week, cutting meat 10%.
Last week's funds flowed out, hitting a new low this year, which can also confirm that retail investors are cutting meat.
Is it a good thing or a bad thing for retail investors to cut meat? Let's look at the historical data:
In October 2019, retail investors cut meat heavily, and their positions dropped to 60%, and then the market began to rebound.
In April 2020, retail investors cut meat heavily, and their positions dropped to 55%, and then the bull market of the sector began.
In April 2021, retail investors cut meat heavily, and their positions dropped to 65%, and then the copycat started to go bullish.
Since then, retail investors have maintained a high position of about 80%, until they started to cut meat in the last month, and the latest position has dropped to 65%.
Judging from the data, retail investors' large-scale selling at low prices is a positive signal, which means that the market has bottomed out and it is difficult to go down.
In a round of downward market, the main players and institutions will run away first, and they are the pioneers of short selling, while retail investors will hold on to the end until their faith collapses, and then they will sell their stocks, which is the last wave of short selling in the market. Retail investors have sold all their chips, and the market short selling has been almost digested! Have you sold your stocks?
