If 2% take profit is set, the current price is 1000, and take profit by 980 points. If it doesn't fall to 980, it will rise to 1 100, and the corresponding retreat is 1078.
Extended data
Dynamic profit
Dynamic take profit means that when the invested stock is profitable, investors think that individual stocks have the motivation to continue to rise because the rising pattern of the stock price is intact or the theme is unfinished, so they continue to hold shares until the stock price falls. When the stock price reaches a certain standard, investors take the operation of selling for profit.
Setting standard of dynamic profit position:
1, the price drops.
When the stock price falls by 5%- 10% from the highest price, it will take profit and sell. This is just a reference data. If investors find that the stock price has indeed peaked, they should resolutely sell it even if it does not fall to the standard of 5%.
2. The moving average breaks the position and takes profit.
In a rising market, the moving average follows the stock price. Once the stock price turns around and breaks through the moving average, it will mean that the trend will weaken, and investors should immediately take profits and keep the fruits of victory.
3, the technical form of profit-taking.
When the stock price rises to a certain stage, stagflation occurs, and various head shapes are constructed, we must resolutely take profit.