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Why are many people hesitant to buy A-shares now, even though they are cheap?

Here is the English translation of the article:

1. If retail investors don't sell, the main force can't get the chips. Only with sufficient exchange of chips can the market perform well. If you keep singing bullish, it will affect the main force's absorption of goods and the market trend. The bull market will not die until the bear market stops.

This fan friend overly deifies the ability of the main force and overestimates the spread of my articles. My daily reading volume of thousands or tens of thousands cannot affect the decisions of 200 million retail investors. More than 99.99% of retail investors have not seen my articles. And among the readers who have seen my articles, there are also many people who disagree with my views.

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In addition, the main force does not have the ability to decide the overall trend of the market, at most it can only decide the short-term trend. Whether it is public funds, private funds, social security funds, or Northbound funds, etc., almost all the main force funds are now in a loss. If they had the ability to decide the rise and fall of the market, they would have pulled up the index long ago, instead of being trapped like this now?

In 2015, when the stock market plummeted, the national team used trillions of funds to support the market, which was already the largest main force in the history of A-shares. As a result, the national team was still trapped for several years after buying, and it was not until after 2020 that the A-share market appeared a bull market.

Remember! History is ultimately created by the masses, not by a certain person or institution. Individuals and institutions can only guide the direction, and the ultimate decisive force still comes from the grassroots masses.

2. No matter how low the bottom is, it is useless without incremental funds entering the market. No matter what kind of investment philosophy, style, or operation method, it is futile without capital to drive it! Don't say there is always a time to rise or that gold will always shine. It should be known that the funds of retail investors cannot keep buying, and even the most determined value investors will be eroded in the endless decline! Under the registration system, don't think that running ahead or lying in ambush can be one step ahead!

This fan friend is a "capital-only theory" person. He believes that the market is meaningless even with value investment if there is no incremental capital entering to drive it. This view is obviously wrong. Even if there is no incremental capital in the market, in the long run, the market will also be driven by the effect of survival of the fittest, bad companies' stocks will be continuously abandoned or even delisted, and good companies' stocks will fall relatively less and may even hit historical highs.

If it were not the case, the stock price of Kweichow Moutai would have been suppressed to below 10 yuan by the market long ago, and it would not still be at a high stock price of more than 1700 yuan now. No matter when and where, the market always values quality, and the stocks of companies with good quality will definitely fall less in the long run and rise more.

In addition, the market cannot always lack funds. We need to have a long-term investment belief that society is continuously progressing and people will become richer and richer. When there is incremental capital inflow in the market, it will inevitably first flow into the stocks of high-quality companies. The principle of value investment, buying something worth 1 yuan for 5 jiao, will never be outdated.3 There are always times when the market explodes, but it's uncertain whether it will happen next month, next year, or the year after...

The view that the market cannot be precisely predicted and has a certain degree of uncertainty. Some fans think that investing full of "uncertainty" is meaningless. They always pursue certainty in their investments. They want to know which year or even which month the stock market will definitely rise, which stock will definitely rise, and hope for a certain conclusion.

In fact, the people who make a lot of money in this world are those who embrace "uncertainty" to earn money. It is precisely because something has uncertainty and risk that many people lose the courage to participate, which gives us the opportunity to make a lot of money. Like bank deposits with certainty, how can we earn more income than others?

In the stock market, it is precisely because many people cannot determine whether it is the bottom now that we have the opportunity to buy high-quality stocks at a low price. If everyone is 100% sure that it is the bottom now or next year, how can we have the opportunity to buy at a low price?

4 It is highly unlikely that there will be a bull market. Please see if the total market value of the Chinese stock market supports it? Do we have global monopolistic companies like Microsoft, Amazon, Tesla, Apple, Coca-Cola, and Sam's?

Firstly, our country has many world-class first-class enterprises. For example, Huawei's 5G communication technology is the best in the world, CATL's power battery production has been the first for four consecutive years, Longi Green Energy is the world's largest silicon wafer merchant, and Hikvision's product market share is also the best in the world. Many of our companies are currently in the top three in the world, and some companies have even achieved global monopoly in their industries.

Secondly, do not compare teenagers with adults. Our country's economic development has only been for a few decades, and there will definitely be a certain gap compared with developed countries that have had a foundation of economic development for hundreds of years. However, this gap is getting smaller and smaller over time.

The listed companies in our country have strong growth potential, and many excellent companies are in the process of continuous growth. Otherwise, the United States would not have been suppressing our excellent companies in recent years, fearing that our companies would surpass the United States. In the past 10 years, the trend of domestic substitution is underway, and every year, some global patent technologies are broken through by our country, achieving domestic substitution.

Overemphasizing the current strength of foreign companies and neglecting the development potential of our companies is a problem in values and investment philosophy.This is a translation of the provided text into English:

5. This is what you call "Chicken Soup for the Soul."

Chicken Soup for the Soul is something that you drink and it has no effect. However, the "chicken soup" I offer might lead you to financial freedom once you drink it. If you truly follow my advice and have faith in the nation's fortune, firmly holding onto a basket of excellent company stocks for the long term, and persist in long-term holding, I believe you will eventually thank me.

In summary, during a bear market, stock prices are very cheap, yet many people are afraid to buy. The reason is that they lack the correct investment philosophy, and they do not have the ability to recognize the value right in front of them.

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