[Stocks/FX] Do stock prices rise after a Large Shareholding Report? [Explained by a Pro]
The sharp-tongued sister of Stocks/FX here♪ (▶Twitter)
The person behind the sister worked as a fund manager (I'm a former institutional investor), and now I live independently as a stock investor♪
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[Stocks/FX] Do stock prices rise when a Large Shareholding Report is issued? [Explained by a Pro]
"Are stocks that have a Large Shareholding Report issued likely to rise?" I get this question quite often♪
(▶ Read the link for how to ask questions and notes♪)
To give you the conclusion,"It is dangerous to rely solely on Large Shareholding Reports"♪ (If you could win just by doing that, even beginners could become billionaires♪) I'll explain it using a concrete example♪ It's about
"KIYO Learning (TSE: 7353)"
which Goldman Sachs(*) held in large quantities♪ (※) Goldman Sachs = An institutional investor that, along with JP Morgan, ABN AMRO, etc., has thegreatest impact on Japanese stock prices
.
Here is the stock price chart for KIYO Learning♪
( ▼ Click to enlarge the image♪ )
You can see Goldman's position status from the Large Shareholding Report♪
(I have attached the proof image of Goldman's Large Shareholding Report at the very bottom of this article♪)
◯ The three blue arrows on the left are "entry points where Goldman bought a large amount of stock"
◯ The three green arrows on the right are "dates when Goldman sold the stock"
♪ You can clearly see that they"bought at the top and ended up selling at a low price"♪
People who have been reading this blog carefully and getting better might think, "Goldman must have averaged down on the 2nd and 3rd blue arrows and sold at the 1st green arrow to make a profit!"♪ However, at that time, Goldman had already bought about 6.36% at the first blue arrow (peak price), and only bought 0.09% at the second and 1.21% at the third♪ This wasn't enough to lower their average holding price, so they couldn't escape.
As a result, Goldman reduced their holdings by only 0.39%, 0.80%, and 1.10% on the days of the three green arrows, and they still hold 5.30% with unrealized losses to this day♪
If someone had bought the stock after seeing Goldman's large holdings, what would have happened to them? They would have suffered a massive loss of "minus 74%" as the stock price went from the 5000 yen range to the 1300 yen range♪
However, you cannot determine if Goldman themselves suffered a crushing defeat just from the Large Shareholding Report and the stock price chart alone♪
"Regarding (1) Did Goldman simply fail miserably?, (2) Did they not care about the capital gains from the start?, or (3) Are they using a different scheme to make a profit?", I plan to release a thorough explanation eventually♪
(◀ If this sounds interesting, please follow "Twitter"Twitter and "BOOKERS I just registered for"BOOKERS I just registered for and wait patiently for the new post♪)
While KIYO Learning plummeted after a Large Shareholding Report, "River Eletec", which I introduced on this blog, rose significantly!♪
By comparing these, in other words,
<<The essence lies not in the "fact that an institution holds a large number of shares," but in "deducing and guessing the situation and purpose behind why that institution holds a large number of shares." >>
Remember that!♪
Was this helpful this time too?♪
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Let's keep doing our best together!♪
Bonus images
Here is the position status for Goldman's "KIYO Learning (TSE: 7353)"♪
(A total of 6 pages of proof that Goldman was trading on the days marked with 3 blue arrows and 3 green arrows)
Please use this as a reference for your investments!♪
__
※Notes
◯ Explanations are for reference only. (Sometimes I might be wrong)
Please make final decisions at your own risk.
◯ Please read "this link" before sending questions!♪
If your question is selected, it might lead to a follow-up article or a new article. Sorry if it doesn't get selected!♪
◯ Please read "here" for detailed notes!♪
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