My autobiography cannot be a tragedy

Chapter 546 EVE
Magic City, a quantitative operation team.

In the staff area, rows of screens are filled with constantly changing K-line charts.

However, there were only a few employees present, and only the servers in the computer room were humming and emitting heat...

Why is it becoming increasingly difficult for investors to make money even though the market seems to be becoming more and more sound?
The answer is simple: scattered soldiers can never defeat regular troops.

In the past, institutions used professional traders to make money, but now they use the program codes of quantitative models to make money. Times have changed and the efficiency of making money has increased.

When you think you are still in PVP and your opponent is a big guy in front of a computer screen, you don't know that your biggest opponent is already a server...

And when you realize that you are in PVE, you will soon find in despair that your highest hand speed is not even a fraction of the opponent's APM (operations per minute).

Ordinary people can challenge computers and may be able to defeat primary, advanced, expert, or even hell-level robots.

However, the next second, the programmer will tell you that there is no upper limit to the difficulty of the robot...

The only opponents of robots are robots!

In the future capital market, the opponent of quantitative trading will only be another quantitative trading...

"Boss Wei, this... this is our revenue statistics for this week."

A middle-aged man dressed like an elite, wearing a suit and tie and Cartier watch, was drinking coffee while nonchalantly taking the report carefully handed to him by his subordinate.

However, after just two glances, the coffee in his mouth almost spit out.

“-6.2%!?” Mr. Wei’s face turned green.

"Are you sure you're not kidding me?"

"This..." The subordinate said cautiously with a nervous look on his face, "I have counted it three times, the data must be correct..."

"Bang!" President Wei threw the report directly on the table and said angrily.

"What a joke! I just went to Hainan for a week's vacation, and you gave me this kind of result when I came back?

In just one week, there was a loss of more than 30 million. How do you want me to explain this to the investors?

Tell me, what was the company's weekly return before I left?"

"On average, -1% to 3%. If you're lucky, you can even get 5%..."

"What about now? Are we facing a stock market crash?" President Wei slammed the table and said angrily.

The subordinate smiled bitterly.

"Boss Wei, we didn't expect this. Everything else is fine, but the main problem is that we suffered a heavy loss on one stock."

"Huh? Which stock is so evil?" President Wei picked up the report with an angry face and read it carefully. He soon found the culprit that caused them heavy losses.

The green “-26.8%” at the back is extremely eye-catching.

"Xu's Group?"

The subordinate gnashed his teeth and said, "Yes, that's it. Most of our negative returns are on this stock. Even if other stocks have a slight surplus, the overall loss has been greatly increased.

To be honest, it's not just our team. Several of our peers who own this stock are also wailing. We are still relatively lucky because our quantitative strategy is not that aggressive.

I heard that Mr. Liu’s 5000 million yuan plate was liquidated yesterday..."

"Hiss~" President Wei took a breath of cold air.

"What's going on with the Xu Group? Although the real estate industry is in a downturn, the market situation shouldn't be so extreme, right?

Could it be that some unexpected and explosive news has come out?"

"No, except that the Xu Group just issued a positive announcement about share repurchases, everything seems calm, and even the stock price has not fluctuated significantly.

But this is where the weird thing happens.

Our quantitative model was working fine before, but recently it has been producing negative returns for a week in a row.”

“Negative returns? What does the technical team do? Since there is a problem with our quantitative strategy, why don’t we modify and maintain it quickly?”

"We have maintained it, but it would have been better if we hadn't maintained it. We lost more money after maintaining it..." The subordinate smiled bitterly.

President Wei stared with his eyes wide open for a long while before forcing himself to calm down.

"Have you found out the reason?"

"Well... although I'm not sure, judging from the trading volume, this stock should have a new heavyweight quantitative player, and the trading funds mobilized are at least 10 billion or more."

"One billion?" Mr. Wei was stunned.

This amount of funds...is not too much, but too little!

You have to know that the Xu Group is a listed company with a market value of nearly 300 billion yuan, with more than billion shares in circulation alone.

According to the standard of 30% to slightly control the market, the amount of funds must be at least around 90 billion.

With 10 billion yuan in funds, one can only be considered a big player at best, and is far from the level of a banker.

In terms of nature, quantitative trading involves using short-term high-frequency operations to obtain large amounts of price difference profits.

Its profitability depends not only on the quality of the quantitative model, but also on the amount of funds.

Big fish eat small fish, small fish eat shrimps, this is true even for quantitative teams!

"Just like that, you've beaten us so badly that we don't know what to do? We have a technical team that costs tens of millions every year, but just some random guy can knock you down?" President Wei said angrily.

"This..." The subordinate was speechless.

It wasn't just our team that was taken down. They killed almost everyone by mistake. If they were touched by someone, they would die. If they were close to someone, they would die...

This opponent is quite speechless.

People in their circle were originally very good at PVE, and it was so fun to cut the leeks.

Who knew that someone from EVE would suddenly break in, as if he was specifically targeting them. Instead of cutting leeks, he just chopped them up like melons and vegetables.

Although he is an opponent, as a technical staff I have to admit defeat. How can we say that he is both skilled and courageous?

With 10 billion yuan in funds, he crushed a number of quantitative teams.

That means that the other party’s strategy model is good enough to offset the other party’s financial advantage to some extent.

No matter how you look at it, this guy is not someone you can easily mess with...

“Well, Mr. Wei, although I don’t know who this mysterious player is, he seems to be only interested in the Xu Group’s stock.

Our technical department's advice is to stop loss in time, avoid this stock, and readjust our quantitative model."

"Stop loss? With a loss of over 30 million, how do you want me to write the year-end report for the shareholders?"

"But... there are so many leeks on the market, we don't need to hang ourselves on this one."

"It's okay. There are thousands of leeks, but I have to harvest this one today!

Humph! A player worth only 10 billion, even if he is a fierce dragon crossing the river, he will have to peel off his skin before he can leave our Huangpu River!"

President Wei does have the confidence to say this. Even though their team is only of medium size, the investors behind them are not ordinary people.

Pick any one of them, and they are all well-known figures in the Yangtze River Delta region.

Even Xu Jinsong of Xu Group is considered to be a member of the same circle.

As far as this stock is concerned, it is definitely their home turf. They have the final say on whether to release good news or bad news, and they are not afraid of the other party making a fuss about this.

He immediately took out his mobile phone and sent a "call to arms" in a chat group called "Qilin Club".

That night, dozens of investment institution leaders secretly stayed in the most luxurious private club in Magic City and did not leave until the early morning...

……

Just after 9:30 the next day, Gao Yuan, who was looking up company development materials, suddenly received a notification from Ling.

"What? The strategies of dozens of quantitative teams have converged..."

Gao Yuan was slightly stunned, then after a moment of thought, she reacted.

Since they can't win in a one-on-one fight, the six major sects are now besieging Guangmingding...

If you can’t beat EVE, just play EEEEEVE!

This was actually a bit of negligence on her part, as she was concentrating entirely on dealing with Xu Jinsong. She didn't expect that the commotion was so big that innocent people would be affected.

And those big and small fish that were affected were obviously a little dissatisfied with this new player who broke in...

"Trouble?"

[It is troublesome if you say it is troublesome, but it is also simpler if you say it is simple. 】

"Oh? How do you mean?" Gao Yuan asked with interest.

[The trouble is, given the amount of capital the other party has, ordinary trading strategies are already difficult to shake the other party. Whether the price goes up or down, the other party basically has the final say.

Judging from the current situation, the other party seems to want to take advantage of the positive news of Xu Group's share repurchase to raise the stock price.

As soon as the market opened this morning, Xu Group's stock opened higher and continued to rise. The current share price is 21.9, and the increase has reached 4 percentage points. 】

Gao Yuan nodded. No matter how good a trading strategy is, it is just a matter of using technology to achieve a great result with just a little effort.

When the opponent is too heavy, weighing over a thousand pounds, your four ounces won't be able to move him.

"How about simple?"

[The simple thing is that our biggest opponent has gone from dozens to just one, which makes it easier to predict.

I have reversed the other party's trading model through their trading data and found their trading loopholes.

Do you remember the British trader named Navinder Singh Sarao whom I told you about? 】

Gao Yuan was stunned for a moment and the corner of her eye twitched slightly.

"You mean... Flash Crash?"

[The answer is yes.]

"How far can it go?" Gao Yuan's eyes showed a hint of excitement.

Unlike a certain behind-the-scenes boss whose name sounds like "language" but whose strategy is relatively conservative, Gao Yuan, who seems to be extremely steady in his work, actually has an uneasy heart.

[I can only say that the maximum fluctuation limit restricts my performance. ]

"Hmm... arrogant! But I like it..."

……

Magic City.

"What actions did the other party take?"

After just one day, there was no more panic on President Wei's face. He returned to his calm self and sipped coffee leisurely in front of his subordinates, his eyes full of confidence.

Along with the entire technical team, his employees were now concentrating on staring at the constantly fluctuating disk surfaces on the dozen or so screens in front of them.

"Not yet... Wait! Yes!"

Mr. Wei leaned forward slightly.

"The other party... the other party is selling off their chips very quickly! In just a short while, they have sold off 3 chips, with a total amount of 6000 million!"

On the fluctuation curve, the stock price was visibly falling, but it was soon pulled back slowly...

"Mr. Wei, our strategy is bullish. The quantitative model is constantly buying up the chips thrown by the other party to maintain the stock price!"

The trader's forehead was sweaty and his fingers were shaking.

God have mercy on him. Normally he only operates funds of 30 to 40 million at most. Today's grand occasion can be regarded as the peak of his life.

"Let him throw it away, ha! Does he think that if he throws away the chips in his hand, he will have a chance to get them back?

Keep raising the stock price. If the other party leaves at this point, then he is sensible. If he still wants to buy it, then sell it away and let the other party take over at a high price!

I will tell him today that in the face of absolute strength, all resistance is futile!"

With the influx of huge amounts of funds, the stock price continued to hit new highs, and soon reached a high of 22.6. As soon as the afternoon opened, it continued to rise, and the increase soon reached a high of 8%, as if it was about to hit a daily limit.

However, just when Mr. Wei saw that the other party had not taken any action and thought that the other party had finally given up, the stock price suddenly began to fall slowly again.

In just a few minutes, it dropped from 8% to 7%.

"What's going on?" President Wei frowned.

The technician made a few calls and responded quickly.

"Boss Wei, someone is shorting this stock through securities lending and options. It must be the other party's doing!"

President Wei looked stunned.

Damn it, not only did you throw away the chips in your hand, but you even went short. How confident are you in yourself?
However, before Mr. Wei could react, the stock price slowly pulled back by 8%.

Obviously, it is their quantitative strategy that continues to buy.

“How much funds have we used so far?”

"About 30%." The trader replied immediately.

With enough bullets, President Wei felt relieved and sneered.

"Oh! Okay, okay, you won't cry until you see the coffin, right? Let me take it, we'll buy as much as they sell, and push the stock price to the limit!
I want to see how much they have left to fight against us!"

In the face of "absolute strength", the stock price on the market skyrocketed like a rocket, heading straight for the 10% daily limit!

Looking at the rising stock price, President Wei finally revealed a smug smile.

With this wave of limit-up, the other party will lose at least 2%. Do you think that’s the end?

As soon as the market opens tomorrow, he will be able to hit the daily limit again, or even several daily limits in a row!
You should know that short selling and options are leveraged. If a loss of more than ten points is placed on the other party, you may lose half of your principal.

Even the boldest gambler would be frightened to the point of turning pale and selling his money and running away.

The biggest winner is undoubtedly the one who ate the other...

This time, we will earn at least several hundred million, so cool!
"Hehe! They were smart today. They knew they couldn't beat us, so they didn't even use the quantitative model to fight against us.

It is because you, Boss Wei, are so skilled that you defeated this tough opponent with one move and one force, and made him return home in defeat."

Seeing that President Wei was in a good mood, his subordinates immediately flattered him, making President Wei's chubby face smile even more.

It was almost 3pm and the stock market was about to close.

Before Mr. Wei could consider whether to open champagne or Maotai to celebrate in the evening, he just glanced at the screen casually...

"brush!"

A straight green column suddenly appeared in my retina without any warning...

Mr. Wei's smile suddenly stopped.

His eyes were wide open, almost popping out.

Then he rubbed his eyes hard with an incredible look on his face, and continued to stare in amazement.

The whole person just stood there with his mouth open, as if petrified and motionless.

Others also noticed Mr. Wei's abnormality and looked at the screen in confusion, and then...

A group of similar stone sculptures appeared on the scene.

"What's going on? How could the price drop to the limit in an instant?"

President Wei reacted and grabbed his subordinate by the collar and shook him madly.

A flash crash! This is the first time I've seen one in my life!
But I don’t want to witness such history!

A trader nearby was frantically checking the backend data and suddenly broke out in a cold sweat.

“Mr. Wei! It’s…it’s our quantitative model. Our quantitative model is selling like crazy.”

"what?"

Mr. Wei, who thought it was his opponent who placed a huge order, was petrified again when he heard this.

I thought my opponent was too cruel, but it turned out that I was the murderer myself?

"What's going on? Is our model crazy?" Mr. Wei roared.

“No… no, someone used a huge amount of pending orders to mislead our model, causing our model to have the illusion that the stock price had collapsed, which led to the crazy selling.

Because the speed of placing and withdrawing orders was so fast, the stock price hit the limit down in an instant.

The opponent... the opponent seems to have found a loophole in our model!"

"what?!"

President Wei is so Spartan, how can he do this?!
Life is full of ups and downs.

When you think you are in EVP, they quietly switch you back to EVE, letting you experience despair...

That’s right, your own funds have an absolute advantage.

However, your opponent has shown you what absolute strength is from another technical perspective...

"Why don't you quickly shut down the model and switch to manual operation! And bring the stock price back up!"

There was no time to be shocked, as President Wei roared and tried to make amends.

Stay calm, as long as your funds still have an absolute advantage, the limit down is only temporary...

When the time comes, the stock price will have to come back to me the same way it fell.

however……

"It's too late. The other party took advantage of our mistake and closed all the previous short positions. We have already generated a huge amount of transactions near the limit down..."

The next sentence the trader said with a sad face made him fall back on his chair, as if he was falling into an ice cellar.

it's over...

It's all over...

"Crack!"

At this moment, the clock on the wall jumped and pointed to three o'clock...

(End of this chapter)