In trading, successful traders will always remain calm, observe and analyze the market, but more importantly, correct themselves. We need to understand that the nature of trading is simple and repetitive, build our own trading systems and rules, and always stick to them. If we look at the market too complexly, it becomes incredibly complex;If we treat the market simply, it is simple. The importance of reducing the number of transactions is the result of countless lessons learned about money losses. We need to understand that a trading market is a market that accommodates a variety of trading methods, which can be speculative or investorative.
Expanding: Successful traders not only focus on observing the market, but more importantly, reflect and adjust themselves. In trading, we are often faced with many choices and decisions, but we must remain calm and rational. Trading is not complicated, it is just a simple and repetitive process. We must establish our own trading system and rules, and always adhere to the implementation, not to be swayed by market fluctuations and **. The importance of reducing the number of trades is a valuable lesson we have learned from countless losses. We must understand that the trading market is a market that accommodates a variety of trading styles, and we can choose to speculate or invest in order to achieve success.
In the current **, ** is just a money-making chip for many shareholders, and they do not care about the value of the company to which they belong, but whether this ** can increase in price. This mindset has made investing similar to gambling, and gambling is very difficult to survive in. We need to realize that there are not only ** in the A** field, but also the bookmakers who have a lot of information and financial chips - that is, listed companies. The dealer bought at the low level, sold at the high level, and finally took over by the first, forming a situation of cutting leeks.
Expanding: The current **is an unhealthy**, and many **see **as a bargaining chip, they do not care about the value of the company they belong to, but about the rise and fall of this **. This gambling-like mentality makes it difficult for them to succeed in **. However, there are not only ordinary ** in the A** field, but also bookmakers - that is, listed companies, who have a lot of information and financial chips at their disposal. The dealer buys at the low level, sells at the high level, and finally takes over by the **, which forms the well-known scene of cutting leeks. We need to realize that it is not only about individual investment behavior, but also about the operation of market makers and listed companies, so we should look at it from a global perspective.
3. In the consolidation stage, the main funds will be operated in the form of absorbing chips, that is, absorbing chips when the stock price is **, and using large orders to lower the stock price when the stock price is **. They will enter the bottom zone in batches and buy the lower they get. They will continue to suppress the stock price until they become discouraged, and then they will suck up a lot of chips and launch an attack.
In an upward trend, when the stock price is at a staged high, the main funds will gather chips to the high level. Once the stock price starts, the main capital will use the price of 1% of the chip profit as the target price. This is because the holding cost of the main fund is generally very low, and it is likely to be lower than the price at which the margin of the chips is 1%. Therefore, when the stock price ** reaches this target price, the main funds will re-enter the market.
A wash pattern is when the stock price opens high and then quickly kills and closes out a solid black candle with almost no lower shadow. The next day, the stock price does not open lower, but opens higher and rises rapidly. This form of shuffling usually indicates that the main funds hold fewer chips, and they want to quickly raise the stock price, and are not willing to carry out more ** shuffling.
Rectangular consolidation is when the stock price remains at the same height**. This pattern is also known as a box movement because the stock price goes up and down in the box. Although the box movement is more abrasive, once the effective breakthrough is upward, the profit margin is still large.
In the market, people tend to cheer when the market is booming and complain when the market is shining. The market is a place where greed is always pursued, and greed often makes people lose their minds. Therefore, we should keep a normal mind and not blindly pursue profits, but formulate a reasonable investment strategy according to our own risk tolerance and investment goals. At the same time, we must also learn to be satisfied and not to pursue high returns excessively, because in the ** market, returns and risks are complementary to each other. Only by maintaining a calm mind and being content can we be more stable in our investments and obtain more sustainable returns.