Statistics show that there are two kinds of transactions with the highest activity in the market at present: one is that industrial capital reduces its shares through block trading, and the other is that professional investors carry out arbitrage trading between block trading and bidding trading. Usually, these two kinds of transactions will exert some pressure on the stock price, the former is indirect and the latter is lagging behind.
Statistics show that about 60% of the non-reduction is completed through block trading. The impact of such transactions on stock prices mostly lies in the psychological level. As soon as the stocks on the block trading list appear, the trend in the next few days is mostly up, and many of them are fierce. It can be understood that the buyers of large transactions are mostly speculators, which is often referred to as bookmakers. It is sometimes difficult for them to raise funds in the normal secondary market, and the financing cost is usually high, so it is relatively simple to raise funds in the block trading market, and there are discounts. Of course, it is not bought to lose money, so there is often a strong upward trend.
Block trading is aimed at a large number of securities transactions. The volume, transaction price and buyers and sellers of each block transaction are announced separately after the close. Finally, it should be understood that block trades are not included in the index calculation, so it has no effect on the index of the day. The more shares traded by major shareholders, the more obvious signs of buying, and the stocks will rise. First, the buying signal When the stock price is very low, the company will buy the company's stock at a certain price. When the dealer absorbs enough chips, he will do the same in order to attract the attention of retail investors. This is the buying signal. Of course, if the dealer washes the dishes, this method will also be adopted when the increase is substantial.
Sell signal
When the stock price has risen a lot and is close to or higher than the highest price in history, it is often a trap to buy in large quantities at this time. If you have washed it two or three times before, this possibility is even greater. At this time, it is best to get out in time. Third, the acquisition signal When an institution or group wants to acquire a listed company, it will sometimes adopt this method.