Because the seller's power in the market is great, the stock price keeps falling steadily. When the buyer's power completely controlled the whole market, after the seller's power disappeared, almost all the lost land was recovered at the speed of falling, which made the stock price rise sharply. Therefore, the operation of the stock price on the chart has formed a V-shaped trajectory. V-shaped reversal is a very strong and common reversal form in actual combat, which often appears when the market fluctuates violently and the stock price changes sharply in the opposite direction.

The V-shaped trend can be divided into the following parts.

1. Descending stage: Usually, the left side of the V-shape descends very steeply and lasts for a short time.

2. Inverted V-shape refers to the form opposite to positive V-shape. When the stock price rose all the way to a relatively high level, it suddenly turned around and fell rapidly at 180 degrees, forming an inverted V shape on the graph. For example, Daya Technology's sharp decline after peaking in June 20001year is an inverted V-shape;

2. Positive V-shape refers to a sudden and rapid rebound after falling to a relatively low level, and a "V" appears on the graph, such as the 325-point reversal of 1994, and the rebound from 13 1 in 2003.

3. Recovery stage: Then the stock price rebounded from the low point, and the trading volume also increased.

4. Stretching V-shape refers to the horizontal fluctuation for a period of time after the formation of V-shape or inverted V-shape trend, and then continue its V-shape trend. In actual combat, most V's are like this. For example, on June 6, 2003, the upswing of Times New Materials after hitting the bottom with a hammer was a stretching V-shape.

5. turning point: the bottom of the V-shape is very sharp. Generally speaking, it only takes three or two trading days to form this inflection point, and the number of transactions at this low point has increased significantly. Sometimes the turning point occurs in a panic trading day.

The trend of "extending V-shape" is actually the deformation of "V-shape trend". When there is a wandering area that extends the V-shaped trend, you can buy at the low point of the wandering area and wait for the completion of the whole type. The extended V-shaped trend is in the rising or falling stage, and some of them are in the rampage area. This is because some people have no confidence in the pattern during the formation of this trend. When this force is digested, the stock price will continue to complete the whole pattern. In the process of V-shaped trend formation, there is variation in the rising (or falling) stage, and some stock prices appear in the horizontal trading area, then break through the wandering area and continue to complete the whole pattern. Extended V-shaped and V-shaped trends have the same forecasting ability.