_永夜_

Talk with pictures, #KORU

The importance of having good market analysis + a good host to question and interview = the market gives opportunities today.

Based on last night’s article, today’s results are only going long.

Good luck.

$BNB Yesterday I looked at the news. Let’s all take a look together—Binance guy No. 1 #CZ的言语风采

Before the market opens tomorrow, it’s likely that Korean stock-related stocks will see a rally! Specifically, keep an eye on Korea’s triple index for equities, Samsung, and SK Hynix.

Today is Sunday, and Korea’s capital markets are closed. There are two key regulatory and policy developments worth noting today:

🏦 Easing restrictions on foreign investors’ KRW trading and KRW-denominated bond pledges (latest as of July 19)

The Korean Ministry of Economy and Finance, the central bank, and financial regulators jointly announced measures to further promote the internationalization of the won and support the KRW exchange rate by easing restrictions on foreign investors’ KRW transactions:

It allows foreign financial institutions to borrow KRW through a temporary overdraft facility, with KRW-denominated bonds as collateral.

Starting in September, pre-registered foreign institutions’ KRW transfers between institutions will not require prior reporting for most capital transactions, and banks will only need to verify basic account information.

This is seen as aligning with the won being included in the WGBI (World Government Bond Index) and as easing pressure on foreign investors to sell Korean stocks amid FX-related losses.

📊 Ongoing tightening of regulation on single-stock leveraged ETFs

The Korean government further commented on single-stock leveraged ETFs that have recently triggered severe volatility in the stock market (mainly linked to Samsung Electronics and SK Hynix):

Kim Yong-beom, chief policy adviser to the President, said forced delisting is not realistic (the scale exceeds 100 trillion won), but more improvement measures will be studied—for example, restricting rebalancing windows and adjusting derivative risk management.

Earlier, it was announced that starting in August, the basic margin would be raised from 10 million KRW to 30 million KRW in cash. Starting in November, the trading unit would be tightened from 1 share to 20 shares, and new listings of single-stock leveraged products would be banned.

📈 Background: Recap of last week’s market turbulence

On Thursday, July 16, the Bank of Korea raised rates for the first time in more than three and a half years by 25 bp to 2.75%. Combined with the leveraged ETF selloff, the KOSPI fell about 6.4% that day and at one point triggered the “Sidecar” and circuit-breaker mechanisms.

Since the late-June peak, the KOSPI has retreated nearly 25% in total, and the forward P/E has fallen to the lowest level since 2004. Goldman Sachs and UBS believe the current valuations offer a positive risk-reward profile.

20260719 18:21 (afternoon)
ETH-$1866 bullish until Monday morning
KORU-18.77 bullish until Monday morning

Binance will list Tencent, Alibaba, and Xiaomi. For everyone to make some money, they’re also working hard. After two days, they all went on trading contracts, in coordination with a period of time afterward for a tech-stock listing. Everyone has the chance to earn a bit—remember to add these three big-name brands #BABAUSDT . This is to pull all the funds into the traffic pool, so that liquidity keeps getting better, which is beneficial for the virtual currency market. Exactly how to operate will be told to everyone later—don’t miss the chance to make some money. For now, I’ll post this first to see how much traffic there is. I’ll explain in the comments post tomorrow. I’m sleepy now, so I’m going to sleep first.

July 17, 2026 South Korea Day of Suffering: during the opening of the Korean stock market, it fell and refused to turn back. During the afternoon session, it stayed rather friendly and held the lower price. In the evening session, it got smashed deep, and then it surged up aggressively. Tomorrow in South Korea, when you wake up together, check the prices from the morning of July 18: the price came back, but the position is gone.

When trading, you need to know what it is—KORU.

As for South Korea leveraged ETF KORU, at its core it is a short-term trading tool that seeks “3x daily returns,” and it carries extremely high risk.

Its full name is the Direxion Daily MSCI South Korea Bull 3X ETF. Its key features are as follows:

· High leverage and high risk: It tracks the Korean large-cap stock index (e.g., Samsung, SK Hynix) and aims to provide 300% of the index’s single-day return. But this double-edged sword also means that if the Korean stock market falls, losses will be amplified threefold. Its annualized volatility over the past 5 years is as high as 131.7%, and its maximum drawdown has reached -89.71%. Note: it only guarantees the leveraged effect on a single day and is not suitable for long-term holding; due to the compounding effect, it will create losses.
· Fees and holdings: The net expense ratio is 1.32%. It does not directly buy stocks in full. Instead, it uses financial derivatives (swap contracts) to apply leverage. Core holdings include iShares MSCI Korea ETF (EWY) and various swap contracts.
· Recent developments: Just today (July 15, 2026), KORU executed a “1-for-20” stock split (Forward Split). This only breaks 1 share into 20 shares, lowering the price per share—you do not change the total value of your holdings. 481.11/20 = 24.0555. After 9:30 p.m. tonight, the previously locked-in share quantity will become 20 times the original, and the holding price will become 1/20. At that time, if there is no ex-dividend adjustment, you might feel like you suddenly have huge profits and losses. But you don’t. The maximum possible loss is a U.S. market gap up or a trading halt. Large gains and losses may occur.

· Derivative risks: In the cryptocurrency market (e.g., Binance), there are derivatives that stack up to as much as 50x leverage on top of KORU—effectively betting on 150x volatility of Korean stocks. The risk is extremely high and there is a lack of regulation. Ordinary investors, please stay far away.

Investment note: If you are not a professional day trader, and you cannot tolerate the risk that your principal could become zero in the short term, you must avoid such leveraged ETFs.

Focus on the Korean stock market itself. The top five weighted stocks in the MSCI Korea Index are truly the “trend indicators.” According to official MSCI data (as of the end of June 2026), they are: SK Hynix (20.18%), Samsung Electronics (14.48%), SK Square (6.82%), Samsung Electro-Mechanics (5.32%), and Hyundai Motor (2.86%). Adding them up: 20.18% + 14.48% + 6.82% + 5.32% + 2.86% = 49.66%, nearly half. For a “3x” product, that would be 1.5x.