The KOSPI, which was at 9000, has come down to the 7200 level today.
The proportion of foreigners is high, so it needs to be reduced....It still seems like there's a lot to reduce in the future,
Reducing the proportion above 8000 has been right so far. However, as it falls below that, the positions of foreign investors have also become very ambiguous.
If they buy to raise it, they'll get hit by pension funds and lose money. If they sell, the proportion will continue to decrease, and they won't be able to eat anymore in the current situation.
Foreigners should buy from below 7200 on the KOSPI index.
However, they can't make aggressive purchases like before. If buying momentum picks up, individual investors will leverage and suddenly raise it, but pension funds are ready to sell from the ceiling.
Therefore, it seems that foreigners are looking at the situation in a different way now.
They seem to be keeping their positions to a minimum and trading in the futures market, or using leverage/inverse for short-term profits. This is likely what they will do.
With the pension fund strategy completely exposed, foreigners have lost the way to play tug-of-war.
However, the KOSPI position is also very ambiguous.
Foreigners' conflicts are visible from morning. There were no bomb sell-offs, and around 11 o'clock they stopped selling midway, bought, and even shorted. They tried everything but didn't show a clear position like before.
There is an opinion that foreigners have to buy because many call options expire tomorrow...
However, there are also individual and institutional call option holders abroad. Ultimately, institutions will raise the stock price. Foreigners will just add a little bit of firewood.
I miss the old days when foreigners bought 2~3 trillion won a day...
It's not easy for foreign investment firms to increase their proportion in Korea. It's a country with semiconductor original tools, and individual supply and demand is too small. Moreover, it's not easy to fight against giant pension funds.
Unless there are short-term good news, huge national supply and demand comes in, or the KOSPI index falls below 7000, it seems unlikely that foreigners will actively buy.
