The low single-mode density is formed by the sufficient change of the pointer of the current counter at the low position. With the continuous decline of the stock price, the high chips were cut into pieces in despair, and finally they were taken over and digested by many low parties, eventually forming a low-level single-peak dense state. The disappearance of cost above the peak of low density means the disappearance of space force.
High-density peak means that the main force tends to be separated by high gravity. There are two possibilities for the later trend. First, the high position is enough to change hands, the main force has already taken profits, and the market is about to reverse; Second, the main force is highly reorganized, and a new round of market will be launched.
Extended data:
1. Low status:
(1) share price experienced a round of plunge, forming a low-density state.
(2) After a long period of decline, the stock price forms a low-density state.
(3) There is almost no chip distribution at the peak of low density.
(4) The longer the low-density time is, the more likely the market will break out and the stronger the power will be.
2. High status:
(1) After a round of sharp rise, the stock price reached a high-density peak.
(2) After a long period of high sideways consolidation, the stock price has formed a dense peak.
(3) Below the high density peak, there is almost no chip distribution.
This requires an effective judgment on the direction of the high trend. If the stock price breaks through the highest point, it means that the market is reversed. If the stock price breaks through the high-density peak, it means the beginning of a new round of market.