The decline in shrinkage after the plunge may be due to the fact that the bad news that led to the stock decline has not been digested, so the funds in the market are still in a cautious state. For example, the company has great bad news. Although the market sentiment has not returned after a round of sharp decline, investors have lost patience with the daily shrinkage of Yinxian, so people are selling every day. This gloomy model may have a high probability of falling in the market outlook.

At this time, investors should judge whether the stock has bottomed out. If it is far from the nearest support level, they can reduce their positions before operating.