1, the movement of stock price is a capital behavior in the final analysis. As the number of people and funds sold exceeded the number of people and funds bought, the stock price continued to fall.
2. Generally speaking, there are large funds with profit-taking intentions, or there is bad news in the external market, and the stock price is stimulated, which leads to a decline. China's stock market adopts the price limit system, that is, in order to curb excessive speculation, the regulatory authorities limit the daily price of stocks, which is generally controlled at around 10%. When the stock falls more than 10% of the opening price of the day, the stock triggers the down limit and stops falling, but the trading does not stop. And stock trading is a two-way behavior. If one party sells, it must be bought by the corresponding party to complete the transaction.
3. So, in this case, all the sellers in the market joined hands to smash the stock price to the limit. At this time, the number of selling orders in the market far exceeds the number of buying orders, which leads to the emergence of the mentality of "reluctant to sell" of stock holders. Under the influence of the decrease of stock buyers and their reluctance to buy, the trading volume of stocks decreased obviously, while the willingness of stock sellers continued to rise. Therefore, in this case, in order to complete the transaction, the buyer must take the initiative to complete the transaction, thus forming a "one sale and one purchase" transaction behavior, realizing the change of hands of the stock and completing the trading activities. In this case, the limit can be sold, but you must wait for the buyer to take the initiative to clinch a deal.