In-Depth Analysis of the Hot Money Third Board Group

Hot Money “Three-Board” Group In-Depth Analysis [Taogu Ba]

1. What exactly is the Three-Board Group?
   The Three-Board Group is not an official organization, nor is it the name of a certain hot money tycoon. It is a general term for a type of trading team in the A-share market that follows a fixed harvesting pattern, highly coordinated with their seats, and specializes in selling near the 3 consecutive limit-up boards.
   The core logic is very simple: use very small funds, control a tiny market cap, induce buying with a one-word limit-up, and on the third day, directly dump to harvest. The entire process usually takes about 3 days—quick in and out, never holding the battle.

2. Core seat characteristics of the Three-Board Group (Practical Identification)

The Three-Board Group is not a single seat but a highly coordinated group of dozens of brokerages that often appear together on the Dragon and Tiger List. If you see two or more of these seats listed together, it’s basically the Three-Board Group working.

1. Core main seats
   Lianchu Securities Ningbo Branch, Huayuan Securities Shenzhen Branch
   Tianfeng Securities Jiangyin Renmin East Road, Renmin Middle Road
   Huaxin Securities Shanghai Branch, Shanghai Lujiazui
   Yuekai Securities Guangzhou Branch
   China Galaxy Securities Shenzhen Shuibei
   Everbright Securities Wuhan Zhongbei Road
   Guojin Securities Shanghai Fengxian District Jinbi Road

These seats are characterized by: frequently buying and selling together, similar amounts, synchronized rhythm, not dominated by a single seat, but dispersed buying to avoid regulatory focus.

2. Auxiliary and disguise seats
   To conceal their activities, the Three-Board Group heavily uses local branches of small and medium-sized brokerages, and platforms like Eastmoney’s Tibet series, which look like retail investors’ seats, to cover up selling, wash trading, and dispersing chips. Their single trades are usually within a few million yuan, avoiding triggering abnormal trading alerts.

3. Complete operation process of the Three-Board Group (3-day harvesting cycle)

Day 1: First limit-up — Lightning build-up, lock in chips
Stock selection is very strict, only choosing stocks that meet these conditions: extremely small free float market cap, usually 1-3 billion, large shareholders hold a high percentage, very limited tradable chips outside, no institutional holdings, no research reports, not hot main lines, no recent reductions, no negative news, no delisting risks.
Build-up method is very aggressive: slowly buy at low levels at open, then within minutes, directly push to limit-up, with a standard one-line chart and “factory” limit-up, almost no pullback, retail investors can’t react. The order book stacks up to billions, far exceeding normal trading volume, creating a false impression of super strength. Turnover that day is low, most chips are locked by them.

Day 2: Second limit-up — One-word top, inducing buying across the network
On the second day, large orders dominate the opening auction, sealing the stock at a one-word limit-up. They don’t actually buy much; mainly, they use huge order blocks to scare retail investors, making everyone think the stock is super strong and impossible to buy, triggering widespread monitoring and overnight orders. Turnover is extremely low, almost no transactions, aiming to push sentiment to the peak.

Day 3: Third limit-up — Precise dumping, harvesting and exiting
The most critical and brutal day. The core routine of the Three-Board Group: if you couldn’t buy in the first two days, they suddenly give you a chance on the third day—buying in means a big trap. Common dumping methods include: canceling orders to dump before 9:20, with still strong orders, then after 9:20, quickly cancel most orders, open with a limit-up then dump, causing a rapid collapse.
Open with a fake one-line surge, then cancel orders after a few seconds, with tens of thousands of lots dumped in a straight line, causing a free fall. The opening may look like a one-word limit-up with a shakeout, but in reality, it’s gradual distribution, with a final plunge at the close. The last few minutes, they secretly attack, closing the rise limit, then canceling orders to dump, trapping all breakout funds. Once the dump is complete, the stock basically follows an “A” shape decline, with continuous drops, leaving no chance for short-term recovery.

4. How to quickly identify stocks manipulated by the Three-Board Group

You don’t need to look at the Dragon and Tiger List to roughly judge:

• The market cap is very small, significantly lower than other stocks in the same sector.
• The first two limit-ups are impossible to buy, both are one-word or second-limit boards.
• The intraday trend is very rigid and mechanical, with no natural fluctuations.
• No sector linkage, rising independently, indicating “eating alone.”
• More than two seats from the Three-Board Group appear on the Dragon and Tiger List.
• The first limit-up has low turnover, the second limit-up has extremely low turnover, and the third suddenly has high volume.
  If these conditions are met, it’s basically a Three-Board Group stock.

5. Why the Three-Board Group can consistently harvest profits

• The market cap is tiny, so a small amount of funds can control the stock.
• They exploit retail investors’ habit of chasing limit-ups to make money.
• Continuous one-word limit-ups create anxiety of “missing out equals big loss.”
• On the third day, when the stock opens, retail investors can’t resist rushing in, just in time to buy at the top.
• Their costs are extremely low; even if the stock hits the limit-down and dumps, they still profit big.

6. Practical strategies for retail investors

Avoid buying stocks with a market cap below 3 billion that can’t buy the first limit-up in the first two days.
On the third day, don’t chase after the opening limit-up.
If you see multiple seats from the Three-Board Group on the Dragon and Tiger List, and they are holding positions, sell immediately.
If there are no holdings, do not buy; if the order book suddenly shrinks after 9:20, and the stock hits the limit-down, avoid stocks with no logic, no sector, no institutional support—“Three-No Second Boards.”

The Three-Board Group is one of the most extreme and easiest ways for retail investors to suffer big losses in the A-share market. Understanding their routines and refusing to take the last step can help you avoid most of the trap boards and “A-shares killing” scenarios.