Then there are short-term and long-term fluctuations.

When the price is at a high level after a wave of continuous rise, as long as it does not continue to rise continuously, there will be repeated fluctuations or retracement; After a round of continuous decline, as long as it does not continue and continues to fall, there will be repeated fluctuations or rebounds.

In this way, after the market continues to rise or fall, it generally needs a process of shaking, sorting and gaining momentum at a high or low level in a wide or narrow range. Only through this process will there be a big market.

Another situation is that in the process of high or low rise or fall, it suddenly falls or rises, and it falls or rises rapidly. Generally, there will be a big retracement or rebound market, even a big one, and the period may be not short, that is, a long-term wide oscillation or process, which usually indicates that the previous continuous rise or fall market has ended and is about to reverse. If this oscillation is repeated twice, the amplitude of the last oscillation is greater than the lowest or highest point of the previous oscillation, and the inversion can be basically confirmed with certainty.

(1) The high and wide oscillation after the sharp rise means that the market has ended and will soon reverse downward;

(2) The low-level wide oscillation after the sharp drop also means that the market has ended and will soon reverse upward;