$Futu Holdings Ltd (FUTU.US)$ Well the bulls say that this ...
Well the bulls say that this is fake news. However, I am bear on this, I believe that it's more likely true than not... Otherwise, if investors are so confident in the share, why the PUT options volume keep increasing?
Take past examples of Chinese "fake" news that turned out to be right.
1) DIDI: At least 1 day after IPO, report that DIDI is targeted by CCP and will delist from U.S... Now it happened.
2) WEIBO: Rumor in July by Reuters that weibo will be bought out at $80 per share. The buy-out happening now. But not at $80 per share.
Now, China is facing monetary issues and there is not enough demand for RMB in China, Chinese banks are cracking down of ownership of foreign currencies. Off-shore trading will mean that Chinese citizens will have to trade RMB to USD to buy overseas shares. Leading to lower strength of RMB.
I believe the ban will be real.. But as to what type of ban... It could be ban of mainland citizens to trade foreign stocks... But not banning them to trade in China stock market.
Hence, mainland citizens can still trade. Just not in foreign markets. I believe the revenue of FUTU will be impacted as trading volume on FUTU is lowered.
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Pochong : Exactly, I have borrowed shares and sell them straight to the market. Lol~ Please don't increase anymore or I will be bulldozed over.
madman123OP : Not to mention, VIX was so high yesterday.. And Europe banks are raising interest rates. And of course the U.S interest rate hike soon.
And the entire China economy is having such a bad reputation now with retrenchment in many of the tech companies.
China companies listed in U.S. have no hope. Just wait for FUTU to be delisted from the U.S...
娜娜的粉丝 madman123OP: Futu is a Hong Kong company. The audit report conforms to US standards, so how can it be delisted.
SANDRO 善子 娜娜的粉丝:
Pochong madman123OP: Yea I cannot wait for this stock to go under 10 amd stay there. And I will collect my fat profit. $90 in the money. Holy shit~
Path To Wisdom : Watching till now, noted that no sight of confidence by the existing buyers of futu. KIV Futu for now
发发Bear : I some how disagree. Increase demand for RMB, there are many better ways like businesses transaction have to in RMB. Didi biz mainly is in China they many sensitive data and from beginning CCP already against it. For futu, they provide platform to allow ppl to grow their wealth, access opportunities to investment out of China, this good for the country as well too.
oneM : cos anytime bears are losing they can come out with all sorts of news to manipulate. bulls hard to win la....
102379668 : You see, the market is punishing anything that is trading at high multiples and all Chinese stocks. Like I have mentioned earlier, if the delisting ever happens , it will not happen before 2025. Short seller take advantage of such misleading news causing a lot of retail investors to sell at a loss. In my opinion, this stock might not go beyond 50 in the short term but I dont see this dipping below 35 either. I dont want to own this stock so I use options to trade this stock. I had sold a put at a strike price of 30 for 17th Dec 2021 and it expired worthless so I get to keep my premium.
Lynn Ng : well