The main peak of low chips takes a long time to form, which is an important position cost area for main investors. The main position cost can not only support the stock price, but also support it frequently.
If the market is not good, the main position cost makes the stock price adjust back from the high position to the upper limit of the chip peak. We can see that there are many cases of stock price rebound. After the cost price of main positions rebounded many times, the low point kept rising.
After the stock price rebounded, it peaked for the first time: the stock price rose sharply after leaving the main peak of the chip, and the price of the main position rose sharply, which made the profit margin of investors increase rapidly.
Extended data:
Matters needing attention in the application of investor analysis:
1, the dynamic transaction intensive area only plays a certain role in the stock index or stock price in a short time. With the passage of time and the improvement of turnover rate, its role will become smaller and smaller. The real impact may only be psychological.
2. When the market or individual stocks rush or fall into obstacles, there will be a "transaction-intensive area" to explain the phenomenon. But it is definitely not the "dense area" that plays a decisive role in the market in the end.
The important enlightenment that small and medium-sized investors should get is that, in operation, if the stock you hold moves upward and meets the pre-intensive area, don't be easily "frightened", especially when the stock price just stops in the pre-intensive area.
If your stock changes completely after adjustment (generally above 100%), and the trading volume continues to increase during the rising process, then this resistance level is too high, and it will not be heavy when it breaks through.
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