Category: Money Tips Date: 2006-11-26
The market is changing and the only correct one. Sometimes we buy a stock after its share price does toward the direction we expected, but before we sell it a profit may be turned down, and makes the hands of the gradual disappearance of the original and even become a loss of earnings ; which may sometimes be found in our just buying this may be a mistake to judge, if we die clutching his position and hold and look forward to one day there will be a miracle, the result may be a loss of constantly increasing the amount of
.
Therefore, how to lock acquired profits, how to preserve the assets of a timely manner has become a successful investment is very important point. We must remember that only the hand of the proceeds are the genuine benefits.
Guppy suggested, investment behavior is not impulsive, but should be a planned act of the performance of such a scheme as follows: Rather than analyzing the trend we have adopted short and long term, and through technical indicators (eg, Guppy bottom line) of the auxiliary to determine the time and price approach, and we buy each transaction, immediately after the exit strategy worked out, such a trading scheme is complete. Through the strict implementation of the trading scheme, we can maximize their investment odds.
Period from the previous section where we have already learned about the care than the last line (CBL) can be used to determine the time to buy, then how to use the Guppy leave the protection of the penultimate line to determine the date and prices?
Method is very simple, once a day closing price above the admission price line, we have implemented the next day to buy after the calculation of stop-loss price immediately changed hands: one, from the highest point of the current trends start the countdown back to find the lower than the lowest price to which the article; 2, along the lowest section of the price back again, the countdown, to find a lower price than the lowest section; 3, along the second draw to find the lowest price the price level of care than the bottom line is to leave the set price; 4, once a day below the closing price of this last line, we sell out the next day.
Note that the bottom line than the established Gu is a dynamic stop-loss levels, we every day after the close of the highest price in accordance with the latest recalculation of stop-loss price. An upward trend as long as the continuation of stop-loss price will correspondingly. When the stop-loss price is higher than admission prices, our account began to profit.
With regard to the penultimate line in the use of some specific issues, we will elaborate in the next phase column. (SG Financial Research Institute, Tong Dian-lin Wu Qing-yun)
Edited in the gold-line