The so-called reverse trading on the same day means that the same securities are bought and sold alternately on the same day, or sold and bought again on the same day; In this way, there is a price difference between buying and selling. Due to the large amount of shares held by the fund and abundant funds, this seemingly speculative "upside-down price difference" may not only lead to unfair trade and interest transfer, but also cause huge fluctuations in the stock market.
Characteristics of fund reverse trading on the same day:
1, speculation is enhanced and speculative opportunities are increased, which is very suitable for the operation mode of short-term speculators.
2, because the main force can buy and sell at will, which can lead to the prevalence of knocking, and the main force lures retail investors to change their operation direction with false trading volume.
3. With the increase of the number of retail transactions, the transaction cost can be greatly increased, which is a big advantage for brokers.
4. The increase in the number of transactions and transaction costs of retail investors will lead to the increase in transaction costs, thus increasing the speculative risk.
5. It's easy for the boat of retail investors to turn around, and it's easy to follow up or flee in time.
6. Without the boosting effect of "T+ 1", the amplitude of both stock index and individual stock price can be intensified.
7. If the "T+0" trading method is implemented, it will directly benefit small-cap stocks.