Rebound: that is, on the way down, some good news suddenly appears, and the main market players will take the opportunity to echo it and use this news to strongly boost the stock index or stock price. However, the general rebound can only last for three consecutive years, and there are few cases of five consecutive years or seven consecutive years. After three consecutive years, it is necessary for the market or stock price to adjust.
If the documents are sorted for 2-3 days, the market or individual stocks continue to rise, indicating that the main institutions should have a decent rebound. However, no matter how fast and strong its rebound speed is, we should closely observe whether its rebound has exceeded the historical peak. If you start looking back near the top, the strength of the top is insufficient, indicating that the gear pressure is high, indicating that the rebound tends to end.
Especially for the rapid rebound market, investors need to restrain the idea of participation and stay away from it. As the saying goes, "the rebound is not the bottom, but the bottom will not rebound." The rebound is not a fundamental reversal of the market trend. After the rebound, the stock market will still fall. The purpose of investors' rebound is to reduce the cost of holding shares and obtain short-term profits. However, the rapid rebound, whether it is rebound space or rebound time, has not left any profit space for investors. Therefore, it is not suitable to participate in the short-term rapid rebound market.
Reversal: The key point is that the most important trend line is effectively broken. This is a very important signal in the judgment of the reversal form, and the trend that has been formed for a long time before is about to reverse. Judging from most standard inversion forms, in the whole process of form completion, there will be a phenomenon that the early pressure line or support line is effectively broken.
If the trend line has not been effectively broken when the form is close to completion, then the form is likely to evolve into a finishing form with a long time span. Even if the main trend line is broken, if it is broken later, it will not be reversed immediately after the end of this pattern. It is more likely that the original upward trend or downward trend will become a sideways arrangement pattern.
All these require some experience to make a correct judgment. Novices should not use better stock trading software without experience. Like my Niugubao, all the indicators in it have detailed instructions on how to use it and how to operate it in what form. It is much more convenient to use. If it really doesn't work, you can pay attention to the cows in the cattle list, which is relatively more secure. I hope I can help you, and I wish you a happy investment!