As long-term funds, most of them seek a stable investment path. Therefore, how to accurately determine the bottom of a stock and how to invest in batches is an important topic. Here we try to analyze the bottom shape of a stock based on changes in trading volume and explore the best buying point.

Several bottom forms in recent years:

1. Suppression, breaking below the platform, and bottoming out with heavy volume. Most of these stocks have accumulated a certain amount of decline, and then trade sideways at a low level for a considerable period of time. Then they suddenly drop in volume and break through the platform (mostly with the help of the market decline). After releasing huge amounts, they close again, and a bottom is formed.

2. Standard downward channel, sudden explosive increase in volume. Most of these stocks have standard and beautiful downward channels, and suddenly release a huge amount of positive lines on a certain day, forming a bottom. Such stocks can sometimes become short-term dark horses, but most of them will make adjustments after rising.

3. Build double bottoms, three bottoms, and four bottoms. The bottom-building technique for this type of stocks is relatively old. But some funds really like to play this trick. The bottom and top of each wave have a range of up to 50%. Playing it in 3 or 4 waves a year is not bad.

4. Under the low trading volume level, the volume increases when it rises and shrinks when it falls. The amplitude is not large and the trend is sideways. This type of stock is an older method of attracting money, and it is also the most torturous. Generally, there will be a trend of yin and yang separated, two yin and one yang, or two yang and one yin. The bankers of this type of stock are generally not very strong (compared to futures funds), but they have high control over the market and have a long period of being a banker, at least one or two years.

5. Futures funds took over and there was a blowout. There is no bottom for this type of stock, the banker is the bottom, and luck is the bottom. This type of stock is only suitable for short-term capital participation.

6. After quickly doubling the price, it adjusted downward for nearly a year, and the price reached the golden section.

From the perspective of long-term investment, the 1st, 3rd and 4th bottoms are more suitable for long-term capital participation. But the first type needs to be observed every day, otherwise how to know when it will break? The third type has certain risks. It is best to participate in the first few waves, otherwise others will get tired of playing and continue to sink when they reach the bottom of the wave. Then you... Therefore, you must set a stop loss position when participating in this type of stock; the fourth type has the least risk, but the time may be very long, so you need to be very patient. I also want to explain that you must first see whether its relative price is high or low.

Seven-stroke stock selection method

Using most people’s indicator lines, 5-day, 10-day, 30-day and other regular moving average systems, you can easily understand most people’s stock selection methods. ideas and decide on countermeasures. When it comes to stock selection, I think there is only one good stock selection method. Regardless of the long, medium or short term, the method is the same, and it remains true to its original principles.

Condition 1: Different general trends have different choices. When the trend is rising, I choose sector stocks; when the trend is consolidating, stocks that break through are better; when the trend is falling, I will not be in the sector. Even if I do, those stocks other than leading stocks will not be brought up.

Condition 2: Choose the leading stock. If you can't make money on the leading stock, how can you make money on other stocks? Even if I want to do the entire sector, there will always be one player with a relatively concentrated amount of chips as the leader. Similarly, even in oversold rebounds and other market conditions, there are the most concentrated chips.

Condition 3: Try to buy at the end of the trading session. In this way, after the day's graphics are completed, our intentions can be easily seen without being confused.

Condition 4: Don’t be intimidated by the big positive line. There are always some stocks among the top gainers that will do well tomorrow or the day after tomorrow.

Condition 5: Refer to the market. The analysis of the broader market is much simpler than that of individual stocks. In a bull market, there will be more yang and more yin, and in a bear market, there will be more yin and more yang.

Condition 6: Don’t believe the saying that the lower the price, the more you buy. After quantification of risks, it can be found that the risk of buying more when prices fall is much greater than buying more when prices rise. If it falls to the stop loss level, sell decisively.

Condition 7: Follow the trend. But we must understand the principle that things must reverse when they reach their extremes. Will a stock that has risen for five or six days still rise tomorrow? Takeaway: All in all, volume? It is very important that the turnover rate is relatively high. I even like to buy stocks with a turnover rate of more than 15%-20% on that day. This also relates to whether you can exit smoothly after making a profit? Relative to people with relatively large amounts of funds.

Some simple experience: Don’t think it is a good thing when the lower shadow line is pulled out at a high level. It may be because I pulled it up again after selling out some chips to prepare for my continued shipment tomorrow.

High sideways trading or a rise followed by a fall in the late market, or a decline followed by a rise in the late market are probably signs of recent shipments, especially the latter, which indicates that it is no longer interested in fighting!

Studying and judging the intraday bottom pattern and capturing buying points

The study and judgment of the intraday bottom pattern is mainly applicable to two aspects. One is suitable for short-term professional experts to conduct intraday "T+0" " is used in ultra-short-term operations, and the other is used by all investors when implementing buying operations. By studying and judging the intraday bottom form, they can grasp the best buying opportunity.

Some long-term investors may think that they are based on medium and long-term investment, and the buying price is higher, so there is no big problem. In fact, this view is very wrong. The certainty of the buying point in the game is similar to the ending in Go. Its own value may not be objective, but in the game of masters, sometimes just one or two closing mistakes will reverse the outcome of the entire game. burden.

The same is true in the stock market. The intraday oscillation amplitude of individual stocks is usually between 1% and 5%. Assuming that an investor only operates back and forth 5 times a year, if he does not care The price difference between high and low in each firm offer operation is 3% higher or 3% lower sale. Then, in one year, 30% of the profit will be lost just in the firm offer operation. 30% may not be considered a profit. What an astronomical figure, but you must know that Buffett's annual profit is only 30%.

In actual intraday operations, due to their particularity, there are many factors that do not need to be considered, such as fundamental factors, financial factors, trend factors, pressure areas, resistance areas, investors Complex factors such as the degree of profitability do not need to be considered, because these factors have already been fully considered when formulating the specific operation plan. In actual intraday operations, the focus is to consider three intraday factors: price, form, and real-time trading volume. Among them, the focus of intraday buying operations is to analyze and participate based on the intraday patterns. The main forms of intraday bottoms are:

Intraday arc bottom. Arc bottom refers to the bottom pattern where the stock price trajectory is arc-shaped. The reason for the formation of this pattern is that some long funds are building positions in a small and gradual manner, which shows that the stock price has found the support of the stage bottom. Its theoretical rise is usually twice the rise from the lowest price to the neckline. It should be noted that the intraday arc bottom is more effective when used to analyze individual stocks, but the arc bottom in the index often does not necessarily lead to a decent rise.

V-shaped bottom in the market. Commonly known as "pointy bottom", the pattern trend is like a V shape. It has the shortest formation time, is the most difficult to study and judge, and has the highest risk of participation. But this type has the strongest explosive power, and if you grasp it well, you can make profits quickly. Its formation is often caused by the main force's deliberate suppression, which makes the stock price temporarily excessively oversold, resulting in an intraday retaliatory upward trend. This is an intraday form most favored by short-term experts.

Intraday double bottom. The stock price trend resembles the letter W, also known as a W-shaped bottom. It is a relatively reliable intraday reversal pattern. The focus of research and judgment on this pattern is whether the real-time trading volume will show bottom divergence characteristics when the stock price goes to the bottom on the right. If the real-time trading volume does not produce a divergence, W This type of bottom may transform into other types, such as multiple bottoms. Even if the transformed form rises, its upward momentum will be weak. This type of intraday bottom pattern is relatively easy to study and judge. It takes a long time to form the pattern and is highly maneuverable. It is suitable for short-term enthusiasts or ordinary investors to choose buying points.

Intraday head and shoulders bottom. Its shape shows three distinct troughs, with the middle trough being lower than the other two troughs. The focus of the study and judgment of the head and shoulders bottom is the volume ratio and the neckline. The volume ratio should be in a moderately enlarged state, and the volume on the right shoulder should be significantly greater than the volume on the left shoulder. If the stock price successfully breaks through the neckline based on volume coordination, it will be the best buying point for this pattern during the session. When participating in this form of speculation, you should pay attention to the high or low position of the stock price. Lower positions often have better participation value.

The plate has a flat bottom. This is a unique form only in the market. After the opening of the market, the trend of some stocks has been very dull. The stock price almost moves sideways along a straight line. The fluctuation range of the stock price is very small, sometimes even the difference is only a few cents. However, when the market opens in the afternoon or is approaching the market close, such stocks will suddenly experience an intraday blowout. If investors pay attention to observation, follow up closely, and set up an intraday warning function on the trading software, once discovered, the transaction will be completed immediately. The volume suddenly increases sharply, and you can attack accurately and timely to obtain considerable short-term gains during the session.

Tips for catching skyrocketing stocks

There are four stages of stock price fluctuations, and they must be distinguished between tops and bottoms;

The first day of the rising trend is the first day of the long snake. Seven inches.

If you want to choose, choose the first day. The trading volume will increase in the market outlook.

Continuous increments will lead to success, but continuous reductions will lead to giving up.

To increase the volume, you also need to look at the technical level, and after looking at the resistance, you need to look at the support.

The closer the support is, the more solid it is, and the farther the resistance is, the more elevated it is.

After that, we have to look at the shape. The right shoulder of the head and shoulders bottom is the key;

On the first day when the right shoulder is activated, the position is opened below the neckline;

Breakthrough If the neckline is effective, there will be room for a sharp rise in the later period.

Swing experts look at the wave shape, and bull stocks mostly move in five waves.

One, two, and three are rising waves, and the third wave is an explosion wave.

On the first day of the three waves, be brave and resourceful and dare to take heavy positions.

In the decisive battle, you need to find the main force, and look for the sector among the startup stocks.

One stock is difficult to start, and 3 stocks of the same type form a sector.

The main force of the sector has revealed its true form, and the opportunity for a decisive battle will come.

Looking for the leader in the sector, stocks with big themes are prone to skyrocketing

Some operating skills when capturing leading stocks