The high concentration of chips indicates that the stocks are in the hands of the dealers and the stock price will rise.

The concentration of chips refers to the degree of concentration of chips in a certain stock, that is, the degree to which the chips of an individual stock are controlled by the banker. 50% indicates moderate control, and more than 70% indicates high control. The larger the value and the more concentrated it is, the greater the potential for individual stocks to rise.

Extended information:

Stock concentration, or chip concentration, is used to observe whether a stock has large funds to attract funds.

If the main force repeatedly buys a stock, the concentration of chips in the stock will become higher, showing that the average number of shares held by each shareholder increases and the number of shareholders decreases; conversely, if there is no main force in a stock, Or when the main force completes the shipment, its chip concentration will become lower, showing that the average number of shares held by each shareholder decreases and the number of shareholders increases.

A high degree of market control means that most of the chips in the market are concentrated in the hands of the main players, while unsteady retail investors have very few chips. The chips in the market have reached a certain degree of concentration. The main force is within control of the stock price trend.

Marketers refer to large investors who can influence the market conditions of financial securities. Usually it accounts for more than 50% of the circulation. Sometimes the market maker may not necessarily control 50%, depending on the variety. Generally, 10% to 30% can control the market. Due to the huge trading volume and capital volume, bookmakers rarely appear in the futures market.

The banker is also a shareholder. Market makers usually refer to shareholders who hold a large number of outstanding shares. The banker's position as the market leader of a certain stock can affect or even control its stock price in the secondary market. Bankers and retail investors are a relative concept.

Reference: Baidu Encyclopedia - Chip Concentration