How to understand the details of the five gears?Ultra detailed

Mondo Finance Updated on 2024-01-28

Five-level usually refers to the real-time update and display of the number of orders in five different levels of the market in **or other transactions, based on the ** orders of buyers and sellers. **The five gears in the tick chart are: Buy.

1. Buy. 2. Buy.

3. Buy. Fourth, buy five;Sell.

1. Sell. Second, sell.

3. Sell. Fourth, sell five;That is, you can see 5 bids** and 5 sells** at the same time.

The breakdown is the number of transactions in the market and **.

Understanding the five levels of details helps investors better understand the trading situation and trend of the market and make more rational investment decisions.

So, how to understand the details of the five gears?Let's break it down in detail.

First gear: Buy one.

Buy one refers to the highest level of the market where you want to buy a certain ** or commodity. The order quantity of this stall usually represents the total number of items that you want to buy in the market. If the number of orders to buy one is large, it means that there are many people in the market who want to buy this ** or commodity, and the demand in the market is relatively strong.

Second gear: Buy two

Buy 2 is the next highest buy level in the market, and usually represents the second highest buy in the market. The number of orders for this stall is usually smaller, as most people will choose to buy one stall for purchase. However, if the number of orders to buy two is large, it means that the willingness to buy in the market has begun to increase, and investors can pay attention to it moderately.

*Slightly lower than the third tier of buy two.

3. Buy 4 in the 4th gear and buy 5 in the 5th gear.

Fifth gear: Buy five

Buy five refers to the lowest unit of a certain ** or commodity that you want to buy in the market, that is, the lowest ** transaction**. The lower this **, the lower the quantity, indicating that the willingness to buy in the market is lower, and even lower**.

By analogy, the five sell orders are as follows:

First gear: Sell one

Sell one refers to the lowest level in the market that wants to sell a certain ** or commodity, that is, the lowest unfilled ask price. The order quantity of this level usually represents the total number of orders in the market that want to sell the ** or the commodity. If the number of orders to sell one is large, it means that there are many people in the market who want to sell this ** or commodity, and the supply in the market is relatively sufficient.

Second gear: Sell two

Sell 2 is higher than Sell 1 and usually represents the second lowest sell in the market. The number of orders for this level is usually smaller, as most people will choose to sell one level for selling. However, if the number of orders to sell two is large, it means that the willingness to sell in the market has begun to increase, and investors need to pay attention to the market trend.

As well as the third level of this ** is sold.

Third, the fourth gear sells four.

Fifth gear: Sell five

Sell 5 refers to the highest selling price of a certain ** or commodity in the market, that is, the highest ** level that has not been filled. The higher the selling price of the fifth tranche, the smaller the quantity, indicating that the stronger the willingness to sell in the market, the space will be expanded.

Transaction details

The transaction details are the details of the orders that have been filled in the market, including the **, the number of orders and the number of transactions between the buyer and the seller. By observing the transaction details, investors can understand the real-time trading situation of the market, including the flow of main funds and the comparison of the strength of buyers and sellers.

In practice, investors can analyze market trends and investment opportunities by observing the changes in the five grades.

For example, if the number of orders to buy one continues to increase, and the number of orders to sell one continues to decrease, it means that the market demand is gradually increasing, and the supply is gradually weakening, which may indicate the opportunity of ***. On the contrary, if the number of orders to sell one continues to increase, and the number of orders to buy one continues to decrease, it means that the supply of the market is gradually increasing, and the demand is gradually weakening, which may indicate the opportunity of ***.

In addition, investors can also develop more precise investment strategies by observing the changes in the five levels.

For example, when the stock price reaches a high level, if the number of orders to buy one continues to increase, and the number of orders to sell one continues to decrease, it means that the market's willingness to chase higher is gradually increasing, and the willingness to take profits is gradually weakening, which may indicate that the stock price is about to peak. At this time, investors can consider operational strategies such as reducing positions on high prices or taking profits.

On the contrary, when the stock price reaches a low level, if the number of orders to sell one continues to increase and the number of orders to buy one continues to decrease, it means that the market's willingness to kill the decline is gradually increasing, and the willingness to grab** is gradually weakening, which may indicate that the stock price is about to bottom out, and investors can consider operating strategies such as buying dips or diluting costs.

In short, the five-level details are one of the important reference bases for investors to make trading decisions. Investors can understand the real-time trading situation and trend of the market by observing the changes in the five details, and make more rational investment decisions to achieve better investment returns.

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