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Characteristics of C wave

Among the many technical analysis methods, the one that can not only provide a macroscopic vision, but also microscopically explain every small fluctuation is the wave theory.

Using wave theory to analyze trends, the most important task is to correctly identify the market trend, clearly count the relationship between waves, and correctly judge where the current price is. Waves can make the right investment decisions.

C wave is the end point of the correction wave.

C wave should be further divided into five lower-level waves. The five waves of C wave represent the entire adjustment process of the market, and the market will turn back upward.

In a flat correction wave, wave C will mostly be lower than wave A. The common magic number ratio is 1, that is to say, wave A and wave C are the same length.

On the other hand, when wave ABC runs in a zigzag pattern, the lengths of waves A and C will tend to be the same. In other words,

The low point of wave C will naturally be lower than the bottom of wave A.

Following the B wave is the C wave. The completion of the B wave suddenly wakes up many market players. The bullish market has ended.

Looking forward to the hope of continuing to rise. Completely shattered, so the market began to fall across the board. In terms of nature, its destructive power is relatively strong.

C wave is a downward wave with strong destructive power. The decline is relatively strong, the decline is large, it lasts for a long time, and there is a comprehensive decline.

For example, after an effective rebound, it reaches a new low again, which is an obvious C wave characteristic.

Characteristics and operation methods of the big C wave decline

The big C wave is a unilateral decline, with almost no big rebound, negative decline, and long time, which is almost impossible for retail investors. Operational,

But you can participate appropriately at the low level in the middle of wave C.

If the big C wave unfolds in a depleting form, then investors should pay attention to:

Once the big B wave rebound ends, the first wave of decline will be the fastest and most brutal correction , the amplitude is also the largest, followed by the second wave, and the third wave is even smaller, so it gradually declines. Future operating strategies need to be prepared in advance to deal with this trend.

It would be much better if you run a double zigzag pattern, so that the entire adjustment time will not be prolonged.

Characteristics of the late stage of the C-wave decline

1. All technical support levels are broken down

2. All stock commentators are unanimously bearish

3. Stock holders sell regardless of cost and engage in a meat-cutting competition

4. No one dares to buy the bottom again, lest they fall into the abyss

Further decline will usher in strategic buying opportunities . Those who dare to buy will definitely be the 5% of people who make money.