Light warehouse refers to the share of funds invested in buying stocks, which accounts for a small proportion of the total investment. In other words, there are more remaining funds and a larger proportion of cash held. The following is a detailed introduction of the light warehouse operation skills compiled by Bian Xiao, hoping to help everyone.
Introduction to the specific reasons of light warehouse operation skills
Buying in a light warehouse is a defensive method that is unclear about the market trend and unwilling to give up opportunities. Light positions correspond to heavy positions, that is, holding more stocks and little cash left.
There are three main advantages of light warehouse buying.
First, the stock market is changeable. If the stock falls after the light warehouse purchase, the loss can be reduced;
Second, if the stock price falls after buying a light warehouse, you can make up the position when the stock stops falling to dilute the cost.
Third, after buying a light warehouse, assuming that the stock price rises, you can increase your position. Although I missed the opportunity to buy at a low level, making money is also a great pleasure.
Key points of stock light warehouse operation:
1 In practice, when the market trend is uncertain or weak, we must adhere to the stock short position operation.
2. When the overall market trend is uncertain or the market is in decline, we must adhere to the light warehouse operation. Light warehouse refers to the share of investment funds for buying stocks, accounting for less than 1/3 of the total investment to be made. Generally speaking, there are several situations suitable for investors to choose light warehouse operation: the market direction is unknown. The market is close to the bottom, but it has not yet been determined. The market is declining. The market trend is weakening. The market is extremely poor, but the quality of individual stocks is very good, not far from the bottom. Uncertain about the trend of the stock.
What are heavy positions and light positions?
A position is only the proportion of funds held in your account. Generally speaking, more than 70% are heavy positions and less than 30% are light positions. The higher the position, the greater the risk, but when the market is good, the more profits. The concept of position can be expanded to represent not only the proportion of the funds held in the account to the total funds in the account, but also the proportion of the funds held in the account to all investors' property, so as to more accurately evaluate the impact of investment behavior on life.
Position management is very important in investment. Good position management can minimize your own losses and maximize your profits. For example, when the market is in a state of ups and downs, you should not be heavy, because the market may fall at any time.
The importance of stock light position
There is a metaphor, the price is _, the moving average is a person, there is a rope between the moving average and the price, the moving average is the direction of the trend, and the stock price will always run around the trend. Analyze the trend with technology and then buy; However, due to different understanding of technical analysis, there will be a distance between the price and the trend when buying, and the role of light warehouse will come out at this time. Use a light warehouse to reconcile the distance between the price and the moving average, so that you can keep up with the trend without being too precise. In other words, the light warehouse can improve your fault tolerance and the probability of following the trend, and reduce your death in the darkness before dawn; In the process of trend operation, light warehouse makes it easier for you to survive the fluctuation of adjustment.
With the deeper understanding of technical analysis, you will narrow the distance between the starting point and the trend direction, but there are still mistakes, and the light warehouse can make up for this mistake.
In fact, technical analysis is the process of understanding the stock trend, and there are often two situations to judge the trend: one is error and the other is deviation. The first point is the wrong direction judgment, which belongs to the category of insufficient technical ability; Second, you can't enter the market at the moment when the trend happens, that is, your buying point is often when the trend has already happened, and the price may have been several days ahead of schedule. At this time, as long as you dare to take a heavy position, you will be cleaned up immediately.