For those small partners who are involved in investment, whether you are involved in stock investment or fund investment, I personally think that the trend of the sector is a very important indicator. If we can choose the corresponding stocks according to the trend of the sector, our judgment on the market will be more accurate, and we can also make continuous judgments according to the current market, which will help us make correct investment decisions.

First, the trend of the sector is greater than that of individual stocks.

Let me just give you an example. If we are currently involved in the stock selection of consumer stocks, many people may choose Kweichow Moutai directly, because Kweichow Moutai is the best stock in the liquor sector in the consumer sector, and such stock selection logic is the stock in the sector trend. If we choose individual stocks directly, it is difficult for us to judge the current stock market through the trend of individual stocks, and it is also difficult to decide the buying time.

Second, we can further understand the market through the trend of the plate. ?

There is a very interesting phenomenon in the A-share market. The market is coming, and basically the whole sector will rise to varying degrees. In the process of pulling up the plate, the first one is the relatively high-quality stocks in the plate, followed by the relatively backward stocks. In a bull market, there is usually a phenomenon of plate rotation. At this time, you can choose related stocks according to the rotation of the plate, and you can also configure your own operation strategy according to the rotation of the plate.

Third, the general trend is better than the small trend.

This truth is actually very simple. The market trend is better than the plate trend, and the plate trend is better than the individual stock trend. From a macro point of view, we will find that the trend of each stock will fluctuate with the trend of the market, and the trend of the plate is in the middle of the trend of the market and the trend of individual stocks. It is precisely for this reason that we should pay close attention to the trend of the sector, understand the current industry market through the trend of the whole sector, and then choose the stocks that suit us in the relevant markets.