China s stock market adheres to the principle of buy a full position below 25 and sell a full posit

Mondo Finance Updated on 2024-03-04

The market does not create victims, but investors turn themselves into victims. Each trader is in control of his or her own destiny.

Most successful speculators only have a 35%-50% success rate, and they succeed not because they can do it well*** but because the size of the trades they make money on is much larger than the size of the trades that lose money. This requires a high degree of self-control.

Successful investing requires inner control more than anything else, and this is the first step on the road to success. Investors who are committed to developing self-control will ultimately succeed.

Secondly, there is a maxim: "Patience is an investment, and patience is a prerequisite for success." "* Investing in courage and strategy is necessary, and patience is indispensable.

Good endurance must be cultivated to play, which is often the difference between success and failure in an investment. Many investors do not have low analytical skills or lack of investment experience, but lack a high degree of endurance.

Finally, a mature, stable and profitable person is open-minded, plain-minded, and humble to people and things. Some people say that a person who is a ** has to go through a few more reincarnations than most people, because he has walked the road he should take and experienced the test of death and life. So, his mentality has become better and his heart has become bigger.

China**: Adhere to the "buy below 25 full positions, sell above 80 full positions", write to 200 million shareholders!

RSI indicators: overbought and oversold

When the RSI falls below the 80 level, it should be sold immediately.

Case:

On March 25, 2011, Ordos increased the volume**, and on the 6th of the same day, the RSI entered the overbought area (above 80), and it is not suitable to buy at this time, and the shareholders should reduce their positions on the same day or the next day to avoid risks. On March 29, the stock price opened lower and moved lower, and on the 6th, the RSI fell below the 80 position, at which point the stock holders should immediately liquidate their positions.

When the RSI breaks above the 20 level upwards, it can be ***

Case:

On June 20, 2011, the Angel Yeast stock price**, RSI entered the oversold area, and at the end of the day, you can go long on dips. The next day, the stock closed out of the doji, indicating that there is a possibility of **. On June 22, the stock price increased **, and the RSI line broke through the position of 20 upward, and at this time, you can increase your position appropriately.

RSI indicators: low golden cross and high death cross

After the 6-day RSI broke through the 12-day RSI upward, and then broke through the 24-day RSI, the golden cross formed at this time can show that the bullish strength is gradually increasing, and the bullish signal is stronger.

When the RSI indicator forms a golden cross, accompanied by the amplification of volume, it indicates that the bullish power is gradually increasing, and the bullish signal will be stronger.

The lower the golden cross pattern, the greater the space for the stock price.

Case:

In the early part of June 23, the stock price entered the bottoming stage. On June 23, the 6-day RSI line formed a low golden cross below 50, and the 12-day and 24-day RSI lines continued to break upward. This is a strong ** signal.

Case:

On August 4, the 6-day RSI line broke the 12-day RSI line to **, forming a high-level death fork, which should be sold immediately. The next day, the 6-day RSI line fell below the 24-day RSI line and entered the low area below 50, and the bearish signal became stronger. However, if there is a death cross in the low area below 50, it may be sold at a low price.

Case:

The RSI indicator of Shuguang shares formed a W bottom pattern in August, which is the time to open a position. On September 5th, the stock increased the limit, and the bottom of the chart was also formed, and the bottom signal was confirmed, and the position can be increased at this time.

Case:

ST Samsung's stock price is in the ** stage, but the 6-day RSI line formed an M top in the overbought zone. After the RSI line formed the first head, the RSI line resumed its upward trend on the 6th, and the stock price continued**. When the stock price hit a new high**, and with the amplification of trading volume, the 6-day RSI line formed a second head. At this time, the best time to sell at the end of the market is to sell.

Precautions

1. RSI greater than 50 is a strong market, and higher than 80 enters the overbought area, which is easy to form a short-term pullback; Less than 50 is a weak market, and less than 20 enters the oversold area, which is easy to form a short-term **. The RSI was originally below 50 and then reversed upwards to break through the 50 mark, indicating that the stock price has strengthened; The RSI was originally above 50 and then reversed downward and fell below the 50 mark, indicating that the stock price has weakened. However, there is often a passivation phenomenon of overbought but not falling, oversold but not rising, and the RSI value has little role in research and judgment.

2. Generally, there are two RSIs, long and short-term, and the short-term RSI is greater than the long-term RSI for the long market, and vice versa for the short market. When the short-term RSI is in the oversold area below 20 and crosses the long-term RSI from bottom to top, it is a buy signal. When the short-term RSI is in the overbought area above 80 and crosses the long-term RSI from top to bottom, it is a sell signal.

3. Pattern analysis has been widely used in RSI, which can be used as a buying and selling signal based on reversal patterns such as head and shoulders top or bottom, double head or bottom in the overbought or oversold area.

4. When the stock price is lower than one wave, and the RSI is higher than one wave, the bottom diverges, and the stock price is easy to reverse**. When the stock price is higher than one wave, but the RSI is lower than one wave, the stock price is easy to reverse for the top divergence**.

Shadow test disk

Shadows are one of the tools to observe the strength of resistance and support, but they are also often manipulated by large funds.

The ** with a long upper shadow does not necessarily face huge selling pressure, and the long lower shadow does not necessarily have great support.

The test disc is a cause of the upper shadow. The main force may test the market when pulling a new high or rushing the resistance level to test the size of the selling pressure above.

Box type, flag type finishing and washing.

Box consolidation means that when the stock price rises to a certain price, it is suppressed by the main force**, and when it goes down to another price, there is a main force to protect the disk or a new long to absorb.

The horizontal resistance line formed by the connection of the upper highs and the horizontal support line formed by the connection of the lower lows are horizontally parallel.

Flag-shaped consolidation refers to the main force that begins to control and suppress the stock price after the stock price rises to a considerable extent, but after the stock price declines much, the main force begins to protect the disk or new bulls settle in, and the stock price continues to rise.

Concave bottom "double telescopic" tactics

The so-called "multiplier contraction" is the combination of "elongation column and concave multiplier column", and "concave bottom multiplier contraction" is to pay attention to the "concave bottom" of the company's stock price market trend when the "multiple expansion" state appears.

You should be able to accurately find the concave bottom of the unit, which is the valley bottom line. At the beginning of the trough, two black columns of BC appeared, the volume column gradually doubled, and the bottom of the price column was raised.

If the three quantitative columns of ABC are combined, column B will be slightly reduced on the basis of column A, and columns C and B will be "doubled".

The relationship between these two negative columns is "multiplication", and the average height of the two negative columns and the A column of BC is also "multiplication", which is a typical "negative reduction column".

As long as there is a "yang over yin" development behind the C-pillar, it is the best time for enterprises to intervene. There are two trading boards in the back.

Looking at the three DEF columns, the F column is twice as shrunk as the D column, and the average height of the EF two columns is also a shrinkage relative to the D column, which is a typical "double yin".

When there is a density of limit genes, it is the prelude to the limit burst.

Investment insights

If you want to maintain a good attitude in investment, you can grasp it from the aspect of controlling and formulating an investment plan. Imagine that you have an operating account with a million funds, and you go to buy a few hundred shares or a thousand shares, because the ** is lighter, the fluctuation of the stock price has little impact on the mentality.

If you are fully involved in a **, your mood will fluctuate up and down with the fluctuation of the stock price, and the trend of the stock price has a greater impact on the investment mentality.

When executing a set of constant trading methods, the executor cannot change the pre-determined trading methods at will according to his or her own wishes.

The risk controller should strictly inspect the execution of the transaction, strictly implement the risk control discipline, and control the last and most important pass of the transaction.

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