Champion Trader What should you do if you buy a stock that loses more than 30? After reading it, I h

Mondo Finance Updated on 2024-02-01

Many years ago, in a Yugoslav movie "Walter Defends Sarajevo", there is such a scene, near the end of the movie, on the oil train, Guise asks Walter, "Can you blow up the train without explosives?" Walter smiled and said, "Whoever lives can see!" Guise smiled knowingly. I think many traders who have experienced the sharp fall by cutting losses before the big fall will also understand that "whoever is alive can see!" ". When there is a turning signal, the stop loss is not always right, but not the stop loss is necessarily wrong. Know that losing money can also be the right thing to do.

Unraveling the cover of stocks

After being imprisoned, most people will think that they have lost money, but this is actually a wrong idea. As long as the shareholders still have the holdings in their hands and do not cut the meat and clear the position, then they should not be considered to have lost money. If the new shareholders hold high-performance stocks in their hands, and the investment environment of the market has not deteriorated, then there is still room for holding shares. Therefore, there is no need for new investors to panic because they are locked in for a while. In this case, you should continue to hold shares and wait and see how things develop, and in the end, you may turn losses into profits. This method is the method of covering shares and unwrapping.

Generally speaking, the stock wrapping method is generally used during a bull market or at the end of a bear market. The core application principle of the stock wrapping method is to fluctuate around value, which determines that the stock wrapping method is suitable for high-performance growth stocks.

The method of covering shares and unhedging has the advantages of not increasing capital investment, not too difficult to operate, and less energy. Of course, this method, like other methods, has certain drawbacks. Due to the need to hold shares, a large amount of funds in the hands of shareholders cannot be liquidated, and they are powerless when they encounter other better opportunities, and they may even encounter long-term holdings. When you encounter long-term holdings and can't get rid of them, you can only choose to cut the meat and clear the position. Therefore, new shareholders should pay attention to the following points when using the method of unwrapping the shares:

1. The method of covering stocks is suitable for the end of the bear market. Because the stock price has basically fallen to the bottom area at this time, shareholders will panic sell only to bring more losses, so they should hold the stock and wait and see.

2. Cover the good but not the bad. Due to the support of good fundamentals, many high-performing stocks that were originally deeply hedged can often become leading stocks when the bear market turns into a bull market, and it will be very easy to unbundle in this case.

3. Cover low but not high. The *** that is covered must be at the bottom, otherwise the stock price will be ** in the process of covering the stock. If the stock price is relatively high, you should take methods such as stop-loss unhedging to unwrap.

4. Distinguish the nature of **. Distinguish whether the trapped ** is speculative ** or investment**. If it is based on the basic situation of the listed company, from the perspective of investment, there is no need to care about the temporary ups and downs of the stock price. When new shareholders use the method of covering shares and unwrapping, they must pay attention to the timing of use and the general environment where they are located, and if necessary, they must change the unbundle method in time to avoid falling into a situation where they are getting more and more rigid and deeper.

Margin replenishment of the two methods

Many people understand margin call as just a way to amortize the cost after hedging, but this is not comprehensive. The essence of margin call is to increase the weight**, which is that the investor already holds a certain **, and in some cases makes additional investments in it, these "situations" are basically divided into two categories: increase the weight when making a profit and amortize the cost at a low level when losing money.

In particular, the inverted pyramid method is more dangerous, and a little paralysis not only makes the original correct profit loss exhausted, but also easy to be trapped in a high position. Because every price increase indicates an increase in risk. Sometimes, the stock price has already started before the additional ** has risen to its desired price.

When the stock price falls to a certain extent, in order to reduce the cost of holding shares, it will make up the position, which is a passive method with greater risk. First of all, if you lose money after ***, it means that you bought the wrong **, if you buy the wrong ** to cover the position, it is obviously a reinvestment of the mistake, which is not done by smart people; At the same time, if the stock price falls again after the margin call, the mentality is very easy to be unstable, and many irrational behaviors will be made, resulting in mistakes again and again, which are difficult to recover. Therefore, it is necessary to be very careful with the low call. The general principle is that the weaker stocks in the opponent should not be easily replenished. Some investors are short-sighted and believe that if they lose money on the ** ticket, they have to make up for it on that ** ticket. In fact, if A shares lose money and earn back in B shares, the effect is exactly the same, there is no need to go all the way to the black and die at the tip of the horns. The prerequisites for margin call are:

1) At present**has really bottomed out, **there is no room**. If ** has stabilized, it can be replenished, otherwise it cannot be replenished.

2) The stock price has been significantly oversold and has deviated from its intrinsic value.

3) The fundamentals of ** have not deteriorated, that is, the reason for ** still exists. The basic method of margin call is as follows:

1) The price must be opened to cover the position, preferably above 10. Don't make up your position easily when you are in a continuous decline, so as not to buy again and again, and spoil your mentality.

2) Margin replenishment can be made in batches, and the amount is not easily increased. For the first time, only 1 2 of the original ** was made, and four or two were allocated a thousand catties, which could still spread the cost, and had the initiative.

In general, the key to margin coverage is to choose the ** that can rise, rather than the ** that can fall sharply. Because only the ** that can rise can bring huge profits to investors. If the original holdings of ** shares are sluggish and lack upward momentum, and investors must insist on making up their positions, it will inevitably increase their investment burden.

Untie the three methods of share exchange

When the index is gradually improving, investors who often hold mainstream hot spots can easily outperform the general trend and achieve good returns, while investors who choose the wrong sector often see the index growing rapidly, but they encounter the embarrassment of "making money from the index". At this time, if investors blindly wait for the hot spot to happen to their own holdings of ** is unrealistic and passive, they should choose an active investment strategy - stock exchange.

The so-called stock exchange is to sell a certain stock that does not conform to the market trend and use the cashed funds to have more upside potential. Stock swap is an active investment strategy, which can make the investor's portfolio look new in a short period of time, make the investment structure be reasonably allocated, and can adapt to the changes in the current market, so that investors can avoid the risk of vulnerable stocks while striving for greater profits. There are the following steps and tips for implementing a stock swap investment strategy:

1. Master the rules of share exchange. Stock swap is an active unhedging strategy, which, if properly applied, can effectively reduce costs and increase unhedging opportunities. But the stock exchange is also the most risky solution, once the operation is wrong, it will lose the wife and the soldiers. Therefore, investors should be very cautious when converting shares.

2. Study and judge the general trend. In the exchange of shares, we must accurately judge the development direction of the overall trend of the market, as well as the rotation and differentiation of hot spots. Only when the overall trend of the market is recognized and the stock index is confirmed to be running in a stable trend, the ** that you intend to sell will have a clear ** trend, and the *** you intend to swap in is not far from the bottom area, it is suitable to use the stock swap strategy. When you are in the channel, you should take other ways of doing things, and you must not rush to swap shares, and only when the stock index confirms that it has stabilized, you can consider a share swap.

3. Observe the amount of energy. When investors select the ** they intend to swap into, they should pay close attention to the trading volume changes of the stock. When the trading volume is excessively amplified, the upward momentum of the stock price is consumed too quickly, or the market makers who settle in it make huge profits, it is often easy to peak and fall, and it is not suitable for stock exchange; When the trading volume is too small, and some even only dozens or hundreds of lots are traded a day, some investors with larger funds cannot rush to exchange shares, because there are simply not enough selling orders in the market for them to implement the stock exchange operation.

4. Featured**. Stock swaps require accurate stock selection, and investors need to pay close attention to and choose the best of the mainstream hot sectors, and pay attention to the strong and weak.

Finally, in the ever-changing world, it is better to learn how to prevent the condom than to learn how to uncover the trick. Many friends lack experience, and when they are in prison, they tend to mess with themselves, expanding their economic losses. Therefore, for investors, how to prevent ** prison or less ** is particularly important.

1. Take the initiative to stop loss when the direction is wrong. Active stop-loss when the direction is wrong is known as one of the core of the trader. When the selected ** is in the wrong direction and does not run upward, you can quickly stop the loss without the stock price ** to ***. The wrong direction here does not mean that once the chip is thrown immediately, if it falls, then the investor will have a high probability of losing the profit brought by the ***. And when ** is obviously formed, there are obvious reversal signals such as the evening star and the T-shaped shape of the rising stage, and when the first negative line is formed after its appearance, it is necessary to stop loss in time, which is a good opportunity to leave the market to avoid large losses.

2. Stop loss at technical support level. The technical support stop loss is a very practical operation technique to avoid excessive trading losses, and the *** is set at the current support point. There is a real or false breakout in the stock price downward, which means that investors have a 50% probability of losing their current chips. Therefore, when the stock price falls below the 10th **, that is, the position set by ***, it is quickly thrown; It is best to sell in time when the stop-loss setting positions such as falling below the multiple tops and head and shoulders top neckline; Wait a minute. Therefore, when the first trend falls below the technical support level, what investors need to do is to throw chips to prevent the formation of greater risks in the later stage and avoid the unbearable losses that may be formed in the later stage.

In short, don't take chances, because when your money loses from 100,000 to 90,000, the loss ratio is 10%, and the profit ratio you need to recover from 90,000 to 100,000 is only 111%。If you lose from 100,000 to 750,000 yuan, the loss ratio is 25%, and the profit ratio if you want to return the principal is 333%。If you lose from 100,000 to 50,000, the loss ratio is 50%, and you need 100% to make a profit in order to recover your capital. In the market, it is not difficult to find a **50%**, but to ride and sit on a **100% dark horse, I am afraid it depends more on luck. As the saying goes, stay in the green mountains, and don't be afraid of no firewood. The meaning of a stop loss is to ensure that you have a chance to make a comeback.

Once the error is formed, the loss is a foregone conclusion, and no matter how good the remedy is, it will not help. Therefore, if you want to make a profit without taking any risks, you must learn from your own mistakes, summarize lessons and lessons, and use these correct experiences to guide future investment decisions.

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