How to look up under the daily limit turnover Money Tips

Category: Money tips Release Date: 2007-03-12

There have been many stock market investors proverb in the vast spread, for example, 'what can the stock market fraud, only the volume curtain alone is real', 'only the volume is constructed out of real money', 'days the amount of high price, in the amount of land 'and so on, in' a huge amount of meaning ', we first saw some of the main banker Kongpan use on inverted right way to beat a fraud, deception, induced investors to enter the vast off-site pre-set good trap in the examples. Particularly in the implementation of Price Limit System

The stock market, for subtle changes in volume between the intentions that we need to distinguish carefully, comprehend, and will not go astray. Price Limit system as a new system after the implementation of, I have the ever-changing stock market, the more turbulent and colorful. Traditional technical analysis suffered a serious challenge, while K-line graphic patterns become very difficult to grasp. The role of fundamental analysis and therefore are particularly important. Under normal circumstances, rising values increase in volume, we will consider the case with the price of the amount of good afternoon's rally will continue, and investors can continue to chase or holdings. If the stock price rising, the volume has failed to effectively cope with larger, indicating the vast number of investors chasing the market higher will not be very strong afternoon rally difficult to sustain long-term investors should be properly Qingcang, adjust the position structure.

However, in the Price Limit system, if a stock price board at the daily limit, there is no more in the turnover, it is on the market shows investors a higher target price, to fetch a higher price in the future, which will not be This price could be easily thrown, the purchaser the amount due to selling too low, buying can not buy, why they do not have much turnover. No. 2, hungry investors, the buyer usually on the basis of the original price, plus a substantial chase to buy, thus, stock prices also continue to maintain the momentum for picking up potential, which further stimulated the off-site the psychological desires of investors in general, which led to a stronger rally. However, when there is limit-time, half-way multi-party can not stick to their positions, were forced to open limit-board, and turnover volume amplification signs indicating off investors to join the ranks of the staff to sell a gradual increase in long-short mutual the strength of this starting to happen, some changes, with the short side, increasing the degree of the main short, the stock will gradually start falling. Under normal circumstances, the rate of reduction is to specify the amount of shrinking the market psychology of investors reluctant sellers, very serious, outside the selling pressure is very light, the market outlook of the stock market as the market development will be determined by the size of the capacity of the main directions. If a fall in price increments of the phenomenon began to appear, then the market investors are bearish on the market outlook Quotes development, most have joined the ranks of the ranks of teams to sell the share price declines will continue to be maintained until the energy of the main short completely released.

However, in the Price Limit system, if the share price appeared lower limit, the buyer usually hopes for investors to continue the second day of sharp decline, be able to buy at lower prices, which will temporarily as a 'stand' of the state . Results in a lack of buying the stock into the circumstances, turnover also appears to be very rare, but the decline in stock prices have continued. In contrast, if the daily limit price above the middle of the power due to the involvement of multi-volume therefore appears to enlarge the phenomenon, indicating a considerable financial strength gradually began to take the initiative to intervene in a planned way, so there will be afternoon Quotes may only or stabilized, the re-emergence of a life.

Based on past experience of actual combat, in the Price Limit system, the stock turnover is shown subtle changes approved so significantly different characteristics:

(1) rose in volume is small, will continue to Zhang Sheng; lower limit of the volume is small, will continue to decline.

(2) rose half-way has been opened the more the number of times longer, and the larger volume, then drop the greater the likelihood Quotes reversal; same token, the lower limit of the half-way has been opened the more the number of times longer, and the turnover The larger, then the greater the likelihood of rising Quotes reversal.

(3) rose earlier closing time, the greater the market outlook fares of strength; lower limit of time to close sooner, the greater the intensity of fall afternoon.

(4) The seal of the buying limit-the number of size and sealed when the daily limit the number of size of the selling power of the size of the buyer and the seller note the extent of this number the greater the probability of continuing the existing trend is the greater the follow-up to the ebb and flow rate are also will be.

However, precisely because of Price Limit System specificity of the above-mentioned points, many of the bookmakers is full use of these to confuse outside the retail investors. In actual operation, if the dealer would like to ship to a huge amount of pay will be the first limit-sealed in order to fully attract the market sentiment. Nature originally wanted to sell the investor would have gained emerged shaken, while other investors will be to chase into the limit-price, but at this moment, the dealer will take the opportunity to withdraw pay, fill sell orders, are naturally very soon will be transferred to the position of the hands of retail investors.

When buying on the disk is almost depleted when the dealer will hang in the limit-board pay in order to further lure more manufacturers rush to buy gas the illusion; as retail investors chase again Pops, bookmakers were again routed to foot the bill removed in front, and so repeated operations, which allows chips quietly unknowingly sell high, so as to achieve the purpose of fleeing village out. With the same token, if the dealer would like to buy chips in order to achieve the purpose of Masukura would be the first to a huge amount of sell orders sealed daily limit in order to fully create the empty side effects of atmosphere, to combat the popularity of the market, prompting investors to off-site sell chips held their own until Xiachu heavy selling, the dealer will first remove the original Guashang Qu quietly sell orders, so that the back line of sell orders routed to the front, then began to buy their own. Thrown outside the spot orders were self-absorbed will do when the dealer will then re-hang out massive lower limit of the daily limit on a single throw, and so repeatedly to operate in order to further increase their own positions.

In the above circumstances, people have seen the huge sale of a single fact, has only just fiction, far from sufficient to judge the market outlook as part of our trip basis for future development, we are operating in practice, in order to avoid these phenomena to mislead our thinking , resulting in wrong behavior, you must pay close attention to shut up daily limit of subtle changes in the trading of a single state. Must also determine whether there is frequent in which the peg for a single phenomenon, Price Limit how often is opened, and the volume each day between the subtle changes and increase or decrease in volume status and so on, thus to make the right judgments, adjust their own specific operations. In the Price Limit system, since a major benefit to the sudden appearance of bad news, the stock price so unexpected reasons, the Change accompanied by rapid and there is no volume, so their result is falling, investors are at a high level is stuck, and the fitted range is generally darker; up, the shareholders are basically a profit, and profit levels are generally large, therefore, Ta Kong investors also have a kind of remorse psychology.

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Therefore, when, after several consecutive daily limit, there are several situations that may arise following:

(1) The shareholders due to the high hold-up, subsequently holding a 'dead pigs are not afraid of happy hot' psychology. The already heavy losses, even if does not sell shares fall any further; even back up a little bit reluctant to sell chips, anyway, has lost money, so market sell-off but has become extremely light up, a little good news, prone to a daily limit on board a strong rebound.

(2) is because of a high level lock-in more chips, which start on the plunge of the price, they will become in the future after the election of a strong rally resistance, the market due to their promotion when crossing this threshold is not easy, Unless there is significant good news, otherwise it is bound to occur due to drop or sideways, in which many time-consuming.

(3) in the general extent, the stock price fall more heavily in stocks, in the future picks up again, here the greater the resistance encountered, the less easy to cross checkpoints to go out.

By the same token, once a few consecutive limit-after, there are several situations that may arise following:

(1) A big city with the market sentiment seething atmosphere of outside investors affected by this effect will normally have a higher desire for profit and therefore the less up to sell more shares, thus forming a kind of boundless Air up the momentum for.

(2) Once the big city, a bad element, since the market shares held by investors at this time the extent profits basically have a very rich, therefore, has a strong sell into power, it is prone to daily limit.

(3) The shares in the general extent, down to the fares of start point and when, are not that easy to strike at the support, the part of the pre-Ta Kong in the normal circumstances, also have admitted bargain-hunting, prompting the stock price picked up a rebound.

Thus, in general, extent, volume up when the daily limit is small, it means that the Quotes of the original trend will continue to develop; volume once to enlarge, then the Quotes of the original trend reversal is imminent. However, the size of the level of stock turnover, and because the size of its stock Liutong Pan into uneven, but different, therefore, when used in practice, we usually use to judge 'massive' method of analysis, multi-its somewhere in the size of the stock turnover determined the size of its validity and strength.

How to observe the volume

The stock market, there is an old saying: "Technical indicators for the ever-changing, trading volume is the real deal." We can say that the size of turnover, directly indicates the long-short market, the two sides of the market at some point the technical form of the final level of acceptance. Now, the writer's two kinds of typical situations to make some analysis.

1, moderate heavy volume. This refers to a turnover of individual stocks continued to slump in the early stage after the sudden appearance of a similar "Yamagata" heavy volume as a continuous mild form. This heavy volume form, known as "the amount of the heap." Stock appears at the bottom of the "quantity heap" phenomenon, the general strength can prove that funds involved. But that does not mean that investors can immediately intervene, generally at the bottom of a moderate heavy volume stocks, the stock price will increase with the amount, the amount of shrinkage when the stock price will be adjusted appropriately. Such adjustment is not a fixed time mode, as little as 10 days, as many as several months, so at this time must be in batches Buying investors, and the reasons in support of the buying has not been proven wrong time, there is enough patience to wait. Important to note that when stock prices rose moderately heavy volume, after the adjustment should not be less than the heavy volume of its early lows, as adjusted, if less than the cost of the main Jiancang area, or at least explain the market sell-off is still very great, may be adjusted market outlook is greater.

2, sudden massive release. Analyzing such trends, it should be divided into several different situations to treat. In general, the process put up huge amount usually indicates the strength of the use of multi-exhausted, afternoon continue to rise will be difficult. Fell in the process of massive general Kongfangliliang mostly focused on the last release, the possibility of afternoon to continue deep down is very small, short-term rebound may be in front of. Another case is contrarian contribution, the empty sound of shouting in the market when a heavy volume upside, resulting in a very eye-catching effect. Such stocks often only one or two days of the stock market, and then drop has accelerated, so many heavy volume day upside follow-up investors are stuck with.

After the transaction is the buyers and sellers to reach a consensus arising from! That at some price, buyers and sellers of supply and demand balance, the largest contract, which is the largest trading volume. If the offer deviated in order to maintain a large amount of the contract, and only adjust the price, can there be traded. Then formed a Change! I now invite all to participate in a survey:

Suppose you bought a stock, this stock could be dropped over a long period, dropped to historically low levels. But there is also a considerable contraction of the volume. Yang Xian, appeared in a heavy volume the next day to continue Yang Xian, but the slight decrease in volume of the previous day. Will the volume at this time is how it formed? Now a few points are given as follows:

1, can stay up the last one is definitely the deep set, and the early cut of the flesh, he would sell in the first root heavy volume Yangxian do?

2, if there is new funding for admission, he whom the transaction is to it?

3 is a knock do? That was when he took the chip do?

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