Bitget Dialogue with Trader Shiguang: Finding the Discrepancy Between Price and Value
He always leaves room for his judgments to be falsified.With 7 years of experience in the A-share market, having gone through the cryptocurrency market, and now returning to traditional assets, Shiguang, as a Bitget VIP trader, is focusing more on U.S. stock contract trading.
Having traversed different markets, he is increasingly certain that what truly interests him is not chasing the next price wave, but rather finding the misalignment between price and value.
When the market is in panic, he looks for undervalued assets; when valuations are too high, he is willing to take the opposite side of the market. But this does not mean he always thinks he is right. On the contrary, he always leaves room for his judgments to be falsified.
Daring to go against the trend, but not stubborn. This is our deepest impression of Shiguang.
- The market provides price, he seeks value
"Buy cheap, sell low" is the most direct summary of Shiguang's trading approach.
Prices can be very low or very high, but what he truly cares about is: what kind of value corresponds to this asset behind the scenes?
In Shiguang's view, market prices reflect the collective pricing of all participants for an asset at the moment, representing the consensus of the market at that time. However, consensus changes with emotions, expectations, and capital flows; it describes the "now" and does not necessarily represent the true value of the asset.
This sense of distance between price and value is the trading intuition formed from Shiguang's years of trading experience.
He does not assume that an asset is more valuable just because its price has risen; nor does he think an asset has become worthless just because its price has fallen. For him, price is primarily a market signal, not a trading conclusion. Trading opportunities only arise when price deviates from value.
As he puts it:
"Price tells you how the market is right now, what everyone is thinking, but it doesn't necessarily tell you how much it is truly worth."
- Assess value first, then wait for price
After forming his own judgment, Shiguang does not rush to trade.
For him, "buy cheap" first means waiting for the price to reach a level worth entering. Therefore, he will first form a judgment on the asset's value, then wait for the market to provide a more suitable price that falls within his entry range, thus capturing this "misalignment."
This also means he does not need to participate in every price fluctuation. When the price does not enter his judgment range, he can continue to wait; when an opportunity arises, he executes his judgment.
But this judgment also needs to be validated. Shiguang sets clear risk boundaries for his trades; when the overall account loss reaches about 5%, he chooses to exit rather than continue waiting for the market to return to his expectations.
First form your own judgment, then wait for the price to provide an opportunity; if the judgment holds, execute it; if the judgment fails, exit.
- From macro to individual stocks, how to form judgments?
So, how does a trader judge whether there is a misalignment between "price" and "value"?
Shiguang's answer is to look at macro, fundamentals, and technicals together.
Macro determines what he looks at. Federal Reserve policies, non-farm payrolls, geopolitical issues, U.S. Treasury yields, oil prices… these pieces of information are not isolated news to him, but rather the background for judging market conditions and capital flows. When factors like interest rates and geopolitical issues change market risk appetite, he further observes which industries and assets may be affected.
Fundamentals determine why he trades. If a company's fundamentals have not deteriorated significantly, but its stock price has dropped sharply due to market panic, he will judge whether this decline is a value reassessment or a temporary deviation caused by emotions. If it is the latter, he will look for prices that have been depressed by emotions, thus seizing this "misalignment." This is also why he is willing to seek opportunities in panic.
Technicals help him decide when to trade. He mainly observes trends at the 1-hour and daily levels, as well as changes in trading volume. A daily trend forming, accompanied by increased volume, is an important signal for him to judge that the market may continue; while high volume at a peak that fails to continue rising may also become the basis for his exit.
Shiguang's judgment is a process of gradually converging layers: macro looks at the environment, fundamentals look at value, and technicals find the timing.
- From A-shares to Crypto, then to U.S. stocks: seeking a more suitable trading environment for judgment
Shiguang's trading path spans several completely different markets. But if we look at these experiences through his trading logic, he has always focused on the assets themselves and the factors that influence asset value.
This also means that external variables such as interest rates, oil prices, geopolitical issues, and macro policies can all become references for judging a company's and market's trends. Therefore, he needs a platform that can observe information from different assets and markets together, supporting efficient decision-making.
At Bitget, he mainly trades U.S. stock contracts and captures trading clues through market discovery and hot topic pushes; 24/7 U.S. stock trading, coverage of over 1000 stocks and ETFs, and a unified account allow multi-asset trading to be completed on the same platform.
For Shiguang, VIP further supplements this trading system: from industry dynamics and strategy content to Level 2 data, helping him consolidate scattered multi-asset information into a basis for judging asset value.
- Beyond market consensus, retain your own judgment
Having traversed A-shares, cryptocurrency, and now U.S. stock contract trading, Shiguang is always searching for that point of misalignment between market price and asset value.
But what truly validates this trading approach is always retaining his own judgment and setting boundaries for that judgment.
He is willing to seek opportunities in market panic and dares to go against market consensus, waiting for misalignments to appear; but when price and facts gradually prove that the original judgment is not valid, he is also willing to stop and acknowledge that the original judgment needs to be revised.
Perhaps this is Shiguang's way of interacting with the market: daring to go against the trend, but not stubborn; adhering to his own judgment while respecting the answers given by the market.
The market will always provide new prices, and what Shiguang wants to do is always to retain a judgment that belongs to him beyond the price.
++This article is compiled based on an interview with trader Shiguang. The views expressed in the text represent the interviewee's personal opinions and do not constitute any investment advice. Contract trading is highly risky and may lead to total loss of principal. Please make decisions cautiously based on your own risk tolerance.++
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