In the face of this bull market which has risen by 70%, media reports have said that many investors' returns haven't even matched the market. I think the main reason is a major misjudgment of the nature of this market trend.
You may still remember, after New Year's Day this year, some overseas-trained investment professionals made various "comments" on China's A-share market. The most famous argument was that "the highest opening point this year might be the highest index for the whole year," at that time it was still over 1800 points! The major judgment of whether it's a bull or bear market relates to the determination of the overall operating principle and strategy. In a bear market rebound, unless there's an overall one-time drop of 40% to 50%, and a rebound offers 20%~30% returns, then it's an operation that should be done. But general rebounds shouldn't be acted upon.
The real significant turning point in the market came with the announcement of the 4 trillion yuan investment package at the beginning of November 2008, and the largest interest rate cut of 108 basis points at the end of November, transitioning the stock market fundamentals from a bear to a bull market. After an overall drop of 73%, the nature of each step in the market rise will become clearer. If you cannot determine the nature of whether it's a bull or bear market, you will never go all-in or hold long-term.
Conclusion: Recognizing the big trend of the bull or bear market is the key to making big money and protecting your gains. In a bull market, go heavy and hold long-term; in a bear market, do nothing or only trade light rebounds.