2. There are many points in the chip distribution map, such as the density and divergence of chips, the color, cost, labeling and chip concentration of chips, which can be explained in detail through the stock chip distribution map.
3. The patterns in the chip layout can be divided into dense patterns and divergent patterns. When a stock stays at a certain price for a long time and forms a large turnover, all chips will gather in this price range, forming a "peak" shape, which is called chip-intensive peak.
4. On the contrary, when the chips of a stock are not concentrated in a price range, they are relatively evenly distributed in different price ranges, forming a divergent pattern of chip distribution. At this point, the chips bought by investors are scattered in the buying price range.
There are three colors of chips, green, blue and red. Green indicates that the chips are at a loss, and blue indicates the average cost of all chips in the market that day. Red indicates chips that are profitable at the current price.
Extended data:
(1) On the chip distribution map, stock chips are represented by columns, length represents quantity, and positions represent the cost of holding these chips. With the daily trading, the chip distribution map is not static, but will flow with the trading. These are very helpful for investors to understand the basic knowledge of stocks. For example, investor A buys some stocks at a low price and sells them to investor B at a high price. The reaction on the chip distribution map is that the high-priced chips are increasing and the low-priced chips are decreasing, so we can clearly see how many chips there are at each price and how much they account for the total circulation on the chip distribution map.
(2) The upper part of the chip distribution chart represents loss chips, the line with blue line in the middle represents average cost line, and the lower part represents profit chips. Low unimodal density is the main attraction to build positions. The longer the single peak is, the higher the density is, indicating that the more sufficient the main suction is, the greater the subsequent upswing is. Bimodal density means that the stock price has strong resistance and support. When the stock price is concentrated in the upper part, it often encounters liquidation pressure and falls back due to resistance. When the stock price is concentrated in the lower part, it will often be absorbed and rebounded. In the long run, the peak and valley between the two peaks may be filled up and become unimodal density. Multi-peaks are densely distributed in two or more price areas, forming more than two dense peaks, and the principle is the same as that of double peaks; Cost deviation refers to the relatively uniform distribution of chips, and the same degree of transactions occurred in the process of falling and rising.