Category: Money tips Release Date: 2007-03-18
When a stock is in an upward trend in its K-line diagram of the high and low points were connected into two straight lines, if the formation of two parallel lines inclined to the upper right, which we call ascending channel. In general, the upward trend in the stock price is relatively stable during a given period will always run in the rising channel, increased channel width, depending on the severity of the dealer Zhencangxipan, many investors are accustomed to rising in the channel buy low sell high, do band.
However, the operation of the difficulty does not lie in increased channel identification, but rather when the price break (up or down) to determine how to access and operate. Increased access rules only appear in the upward trend in the period of time, when the main intent to suppress the stock price in order to facilitate its further pulled up, they tend to substantially increase Tongdaoxiagui below. In the case of a long day under the shadow form of a breakthrough, relatively much easier to judge them, such as the day when a long under the shadow of the Yin Xian, indicating that the dealer just lock up the exams, the buyer power is still very strong stock price from the lowest point of the day will soon pull Back to the ascending channel. From the graphical point of view, forming a "false break" and that investors should certainly continue to Chi Chou.
Most stocks rose Tongdaoxiagui below to Xipan often last several days, and to connect the entities in the form of a few days Yinxian, investors should at this time in combination with other market factors, careful to judge the trend of the market outlook. For example, to consider whether the current stock price peaked to early fall when the transaction-intensive areas, because this band will always be a hold-up disk, so stock prices would exert pressure; in addition, an explosion of some sort of relief plate, observe the volume of changes, as well as the cost of the main areas and the current level of profitability. Generally speaking, if a drop in volume Powei did not last, efficient amplification, then the greater the possibility of false break; if the overall trend of a stronger stock, transaction-intensive areas near the front should be cool-headed observation, should not be seen selling in turbulent that is blind to sell, if the trend is relatively stable number of trading days, you can continue to hold. Usually close to a breakthrough performance are: initiative and buying more, off a great deal more use of a single main volume from the previous month significantly larger. For the above characteristics of individual stocks, investors should pay more attention.