A stock is a certificate issued by a joint-stock company to prove the shares held by shareholders. It shows that the holder of the stock has ownership of part of the capital of the joint-stock company. Since stocks contain economic benefits and can be marketed, circulated and transferred, stocks are also a type of securities. The stocks of listed companies in my country are traded on the Shanghai Stock Exchange and Shenzhen Stock Exchange, and investors generally open accounts at securities brokerage companies for trading.

Technical Analysis

Technical analysis is a method of analyzing the movement of market prices by analyzing historical charts for the purpose of predicting the future trend of market price changes. Technical analysis is a commonly used analysis method in the securities investment market.

All technical analysis is based on three major assumptions. 1. Market behavior tolerates and digests everything. The meaning of this sentence is: all basic events - economic events, social events, wars, natural disasters and other factors that affect the market will be reflected in price changes. 2. Prices evolve in a trend manner. 3. History will repeat itself.

"Technical Analysis of Stock Market Trends" is a representative work of technical analysis. First published in 1948, as a classic among classics and an authoritative work of technical analysis, "Technical Analysis of Stock Market Trends" is still firmly in an unsurpassed position. [2]

Basic analysis

The basic analysis method evaluates the stock’s performance by analyzing the macroeconomic situation, industry conditions, company operating conditions, etc. that determine the intrinsic value of the stock and affect the stock price. The investment value and reasonable value are compared with the stock market price to form buying and selling recommendations accordingly.

Evolutionary analysis

Evolutionary analysis is based on the theory of evolutionary securities. It takes the life movement characteristics of stock market fluctuations as the main research object, starting from the metabolism, profitability and adaptability of the stock market. Starting from aspects such as sex, plasticity, stress, variability and rhythm, we conduct dynamic tracking research on the direction and space of market fluctuations, and provide a comprehensive method of opportunity and risk assessment for stock trading decisions.

2 Terms Edit

Opening price: refers to the price of the first transaction of the stock after the opening of the day. If there is no transaction price within 30 minutes after the market opens, the closing price of the previous day will be used as the opening price.

Close price: refers to the price of the last stock traded every day, which is the closing price.

Highest price: refers to the highest price among the prices traded on that day. Sometimes the highest price is only one price, and sometimes there is more than one price.

Lowest price: refers to the lowest price among the prices traded on that day. Sometimes the lowest price is only one price, and sometimes there is more than one price.

Ordinary shares

Ordinary shares refer to shares that enjoy ordinary rights in the company's operation and management, profit and property distribution, representing the satisfaction of all debt repayment requirements and the income of preferred shareholders. It is the right to claim corporate profits and residual property after claiming rights and claims. It forms the basis of the company's capital, is a basic form of stock, and is also the largest and most important stock.

The stocks traded on the Shanghai and Shenzhen stock exchanges are ordinary shares. Common stock holders have the following basic rights in proportion to the shares they hold:

(1) The right to participate in company decision-making. Ordinary shareholders have the right to participate in the general meeting of shareholders and have the right to propose, vote and elect, and can also entrust others to exercise their shareholder rights on their behalf.

(2) Profit distribution rights. Common stockholders are entitled to receive dividends from the company's profits. Dividends on common stocks are not fixed and are determined by the company's profitability and its distribution policy. Ordinary shareholders must be entitled to dividend distribution rights only after preferred shareholders receive fixed dividends.

(3) Preferential stock options. If the company needs to expand and issue additional common shares, existing common shareholders have the right to preemptively purchase a certain number of newly issued shares at a specific price lower than the market price in proportion to their shareholdings, thereby maintaining their original ownership of the company. There is proportion.

(4) Residual asset distribution rights. When a company goes bankrupt or is liquidated, if the company's assets remain after repaying its debts, the remainder will be distributed to preferred stockholders first and then to common stockholders.

Preferred shares

are relative to common shares. Mainly refers to the priority over ordinary shares in terms of rights to profit dividends and residual property distribution.

Preferred shares have two rights:

a. When the company distributes profits, shareholders who own preferred shares are distributed before shareholders who hold ordinary shares, and enjoy a fixed amount of rights. Dividends, that is, the dividend rate of preferred stocks are fixed, but the dividends of ordinary stocks are not fixed. They depend on the company's profitability. More profits will be divided, more profits will be divided, less profits will be divided, no profits will be divided, no upper limit, no lower limit.

b. When the company is dissolved and the remaining property is distributed, preferred shares are distributed before common shares.

Blue-chip stocks

refer to the stocks of companies with excellent performance but slow growth. These companies are strong enough to withstand a recession, but they won't give you exciting profits. Because the business of such companies is relatively mature and they do not need to spend a lot of money to expand their business, the main purpose of investing in such companies is to obtain dividends. In addition, when investing in such stocks, the price-to-earnings ratio should not be too high, and pay attention to the historical record of stock prices fluctuating during economic downturns.

Later allotment

Later allotment is a stock that is at a disadvantage compared to ordinary shares when profit or interest dividends and residual property are distributed. Generally, after the ordinary shares are distributed, the remaining interests are redistributed. distribute. If the company's profits are huge and the number of post-placement shares issued is very limited, shareholders who purchase post-placement shares can obtain very high returns. After the issuance of shares, the funds raised generally cannot generate immediate income, and the scope of investors is limited, so the utilization rate is not high. Post-rights issues are generally issued under the following circumstances:

(1) When a company issues new shares to raise funds for equipment expansion, in order not to reduce the dividends to old shares, the new equipment will be issued before the new equipment is officially put into use. Stocks are issued after allotment;

(2) When a company merges, in order to adjust the merger ratio, a part of the allotment is delivered to the shareholders of the merged company;

(3) When there is government investment In a company, before the dividends on privately held stocks reach a certain level, the government holds stocks as a post-rights issue.

Quotation:

Quotation: It is the highest purchase price or lowest bid price quoted by traders in the securities market for a certain security within a certain period of time. The quotation represents the willingness of buyers and sellers. The highest price offered, the purchase price is the price at which buyers are willing to buy a certain security, and the bid price is the price at which sellers are willing to sell. The order of quotation is customary: the price quoted first, the price quoted last. In the stock exchange, there are four types of quotations: one is spoken, the other is expressed by hand gestures, the third is filled in the declaration record form, and the fourth is entered on the computer screen.

Edit 3 Price Limits

Trends of Long Stocks

Price Limits: Refers to the price limit of securities within a trading day, except for securities on the first day of listing. The transaction price shall not increase or decrease by more than 10% relative to the closing price of the previous trading day; orders exceeding the price limit shall be invalid orders.

Bull, long market: Bull refers to investors who are optimistic about the stock market and predict that the stock price will rise, so they buy stocks when the price is low, and then sell when the stock rises to a certain price to obtain profits. Difference income.

Generally speaking, people usually refer to the stock market where the stock price maintains a long-term upward trend as a bull market. The main characteristic of stock price changes in the bull market is a series of large rises and small falls.

Short stock trend

Short, short market: Short is when investors and stock traders believe that although the current stock price is relatively high, they are not optimistic about the prospects of the stock market and expect that the stock price will fall, so Sell ??the borrowed stocks in time and buy them again when the stock price drops to a certain price to obtain the difference in income.

This trading method of selling first and then buying to earn the price difference is called short position. People usually refer to the stock market where the stock price shows a long-term downward trend as a short market. The characteristics of the stock price changes in the short market are a series of big drops and small rises.

Washing: Speculators first drive down the stock price significantly, causing a large number of small stock investors (retail investors) to panic and sell stocks, and then raise the stock price in order to take advantage of the opportunity.

Retracement: In the stock market, the stock price shows a continuous upward trend, and finally reverses back to a certain price due to the rapid rise in stock price. This adjustment phenomenon is called a retracement. Generally speaking, the retracement range of a stock is smaller than the rise range. It usually resumes its original upward trend when it reverses back to about one-third of the previous rise.

Rebound: In the stock market, the stock price shows a continuous downward trend, and the adjustment phenomenon in which the stock price finally reverses and rises to a certain price because the stock price falls too fast is called a rebound. Generally speaking, the rebound amplitude of a stock is smaller than the decline amplitude. It usually resumes its original downward trend when it rebounds to about one-third of the previous decline.

Short buying: Investors predict that the stock price will rise, but their own funds are limited and they cannot purchase a large number of stocks. Therefore, they first pay part of the margin and obtain financing from the bank through a broker to buy the stocks. When the stock price rises, Sell ??it again at a certain price to obtain the profit difference.

Short selling: Investors predict that the stock price will fall, so they pay a mortgage to the broker and borrow the stocks to sell them first. When the stock price falls to a certain price, the stock will be purchased, and then the borrowed stock will be returned, and the profit difference will be obtained.

The more you kill, the more you kill: that is, many heads kill many heads. Investors in the stock market generally believe that the stock price will rise that day, so everyone rushes to buy the stock. However, the stock market situation backfires, and the stock price does not rise significantly. The stock cannot be sold at a high price. Until the end of the stock market, stock holders compete to sell. , resulting in a sharp decline in the closing price of the stock market.

Short squeeze: that is, short sellers squeeze out short sellers. Stock holders in the stock market unanimously believed that the stock would fall sharply that day, so most people rushed to sell short stocks and sold the stock. However, the stock price did not fall significantly that day and they were unable to buy stocks at a low price. Before the end of the stock market, short sellers had no choice but to compete to cover their losses, resulting in a significant increase in the closing price.

Short jump: refers to the stock price starting to jump sharply due to strong bullish or bad news. A gap usually occurs at the beginning or end of a large stock price move.

Short covering: the act of short sellers buying back previously sold stocks.

Hold-up: refers to the trading risk encountered when trading stocks. For example, investors expect that the stock price will rise, but the stock price has been on a downward trend after buying. This phenomenon is called long hold. On the contrary, investors expect the stock price to fall and sell the borrowed shares short, but the stock price keeps rising. This phenomenon is called short holding.

Resistance line: The stock market is affected by bullish information. When the stock price rises to a certain price, long sellers think it is profitable, but in fact there are a large number of sales, causing the stock price to stop rising or even fall back. . In the stock market, the price level when it encounters resistance is generally called a checkpoint, and the checkpoint when the stock price rises is called a resistance line.

Support line: The stock market is affected by bad information. When the stock price falls to a certain price, short sellers think it is profitable and buy a large amount of stocks so that the stock price stops falling and even shows an upward trend. The level when the stock price falls is called the support line.

IPO is initial public offerings. An IPO is the first time a company sells its shares to the public. Typically, a stock company conducts sales through underwriters in accordance with the terms agreed in the issued prospectus or registration statement. Generally speaking, once the initial public listing is completed, the company can apply to be listed on a stock exchange or quotation system.

Higher limit

The highest price limit on the day of trading in the securities market is called the daily limit, and the price at the high limit is called the daily limit price.

4NASDAQ Editor

< p>The transliterated name is "Nasdaq", and its full name is the American "National Association of Securities Dealers Automated Quotation System". It was built in 1971 and was the world's first electronic securities market. The development of Nasdaq and the growth of the U.S. high-tech industry are complementary to each other, and it is regarded as the "cradle of the new U.S. economy."

ST stocks

The Shanghai and Shenzhen Stock Exchanges announced on April 22, 1998 that they would conduct special treatment on stock transactions of listed companies with abnormal financial or other conditions. , due to "special treatment", the abbreviation is preceded by "ST", so this type of stock is called ST stock.

T+1 settlement system

Since January 1995 Starting from the 1st, in order to ensure the stability of the stock market and prevent excessive speculation, the stock market implements a "T+1" settlement system. Stocks purchased on that day cannot be sold until the next trading day. At the same time, "T+1" settlement system is still implemented for funds. 0", that is, the funds withdrawn on the same day can be used immediately. This settlement method is suitable for my country's A-share, fund, and treasury bond transactions.

Principles of the international stock market:

1. Except for securities supervision, which is a government agency, exchanges, securities firms and listed companies are all privately owned;

2. Except for taxation, The government does not have any direct interest in the stock market and is only a stock market referee;

3. Investors buy stocks to become shareholders of listed companies and receive quarterly/annual cash returns;

4. Listed companies that do not generate cash returns must be eliminated from the stock market in a timely manner;

5. All companies and individuals are equal before the new stock listing subscription rules;

6. Most countries prohibit pure speculation "Margin and securities lending, especially stock index futures";

7. Any fraud once verified will be severely punished as a criminal and expelled from the stock market;

The stock market effect: Investors and listed companies are sustainable ***win.

Another model:

1. Securities regulatory agencies, exchanges, and institutions (major securities firms and major listed companies) are all owned by the government;

2. In addition to taxation, government-affiliated institutions have great interests in the stock market and the government is the referee of the stock market;

3. Investors buy stocks and become nominal "shareholders" of listed companies, but there is no cash return and only "six out of ten get two free" Class expansion has caused stocks to continue to depreciate, causing the "stock market" to objectively become a casino betting on the level of "stock prices" or "indexes" in order to make profits; under this model, only state-owned institutions with strong capital are the permanent winners;

4. The value of stocks is not directly related to the performance of related listed companies. The "price" of ST (junk) stocks can be as high as possible, and no matter how low it is, it will not be eliminated from the stock market;

5. New stocks When listed, most of the shares are directly allocated internally by senior executives of state-owned institutions; a small number of shares are shared by retail investors who hold a certain proportion of old stocks;

6. After the introduction of margin trading, especially stock index futures, short selling (institutions only (Need to sell a certain number of stocks) than long (institutions must buy a large number of stocks), the cost is low, the risk is small, and the profit is stable;

7. Fraud is becoming common. Once an incident occurs, downplay "administrative penalties" instead of Will withdraw from the stock market.

The effect of the stock market: Except for a few extremely smart and lucky investors, only state-owned institutions maintain sustainable profits.

5 Stock trading editor

That is, the opening price, closing price, highest price, and lowest price are at the same price. It can be divided into the following situations: (1) Price limit: The price is opened at the price limit at the opening of the market. Until the close of the market, the price limit has not been opened. The transactions are at the highest price throughout the day, indicating that the buying volume is strong and the stock is a strong stock. (2) Lower limit: The price is opened at the lower limit price at the opening of the market. Until the close of the market, the lower limit has not been opened. The transactions are at the lowest price throughout the day, indicating that the selling volume is heavy and the stock is a weak stock. (3) The trading was very deserted, with only one price level being traded throughout the day.

6 Trading Hours Edit

Monday to Friday (excluding statutory holidays)

9:30 a.m. --11:30 p.m. 13:00 p.m. -- 15:00[2]

Bidding transaction

(1) Bidding principle: price priority, time priority. Buy orders with a higher price take precedence over buy orders with a lower price, and sell orders with a lower price take precedence over sell orders with a higher price; orders with the same price take precedence in chronological order.

(2) Bidding method: collective bidding at 9:15--9:25 am; continuous bidding at 9:30--11:30 am and 13:00--15:00 pm (for Valid orders are processed on a case-by-case basis).

7 Trading unit editing

(1) The trading unit of a stock is "share", 100 shares = 1 lot, and the entrusted purchase quantity must be 100 shares or an integral multiple thereof; < /p>

(2) The trading unit of the fund is "shares", 100 shares = 1 lot, and the entrusted purchase quantity must be 100 shares or an integral multiple thereof;

(3) Treasury bonds The trading unit of convertible bonds is "lot", face value of 1,000 yuan = 1 lot, and the entrusted purchase quantity must be 1 lot or an integer multiple thereof;

(4) When the entrusted quantity cannot be fully traded or dividends distributed Odd shares may appear when giving out shares (less than 1 lot is an odd lot). Odd shares can only be sold on an entrustment basis, but cannot be bought on an entrustment basis.

8 Quotation unit editing

The quotation unit is "share" for stocks; the quotation unit is "share" for funds; the quotation unit is "lot" for bonds. For example: The market price shows "Shenzhen Development Bank A" 30 yuan, which means the current price of "Shenzhen Development Bank A" shares is 30 yuan/share.

The minimum change unit of transaction order price: A shares, funds, and bonds are RMB 0.01 yuan; Shenzhen B is HKD 0.01; Shanghai B is USD 0.001; Shanghai bond repurchase is RMB 0.005.

9 Editing of Price Limits

In one trading day, except for securities listed on the first day, the trading price of each security must not rise or fall relative to the closing price of the previous trading day. Exceeding 10%, orders exceeding the price limit are invalid orders.

"ST" and "*ST"

Stocks with "ST" and "*ST" in front of the stock name indicate that the listed company has suffered continuous losses in the past two years. Or if the company has suffered losses for one year, but the net assets fall below the face value, or there is a major illegal act during the company's operation, the exchange will carry out special treatment for the company's stock transactions. The daily price limit for stock trading is 5%.

10 Order Cancellation Edit

Investors can cancel the order before the order is completed.

Edit 11 Notes

Introduction to stock market knowledge: Issues that novice traders need to pay attention to. Novices who have just entered the stock market are in a state of confusion. There are many mistakes in trading and investment, and they often You will pay a lot of tuition in vain, so novices need to pay attention to many issues when trading. Here are some of the most basic issues that need attention, hoping to help novice investors avoid detours.

1. Courage to face the stock market

Since investors choose to invest in the stock market, they should have the courage to face the stock market and avoid negative emotions such as fear. Investing in stocks is nothing more than profit and loss. When it comes to losses, if a buying point appears based on your own indicators, you will decisively open a position to buy. When a selling point appears, you will sell without hesitation.

2. Don’t regret your investment

There are many factors that affect the stock price trend in the stock market, and there is often randomness. Therefore, every trading investment cannot be guaranteed to be foolproof, but Once you have made your own analysis of the investment, don’t feel regretful anymore, as this will only increase negative emotions and affect your next operation. Novice investors should regard winning and losing as common military affairs, and resolutely set up profit-taking and stop-loss points.

3. Maintain a correct investment mentality

Remind all stock investors to maintain a correct mentality when investing. We all know that fear and greed are human nature and are also taboos in investment. For novice investors, overcoming their own negative mentality has become the primary issue. When there is a profitable market, you must have the courage to chase the rise. If you are timid, you will eventually be eliminated; at the same time, do not be greedy for too much in stock selection. Choose stocks with investment value according to the capital situation. When the market rises, you should act according to your ability and do not blindly overdraw. ;Sell decisively when the profit-taking point is reached.

4. Good at waiting for opportunities

Successful investors can often endure loneliness and wait for good opportunities to come. The stock market often experiences repeated swings, so don't be impatient. Investors will inevitably have the mentality of getting rich overnight, wishing that their stocks would hit the limit every day, so they would fill their positions all day long to chase the rise and fall, but before they knew it, they had lost more than half of their money. Only then did I suddenly realize that I had sold the stocks that I should have continued to hold, and I still had the stocks that I should have sold. I didn’t wait for the corresponding opportunity to operate, and it was too late to regret it.