Category: Money tips Release Date: 2005-12-23
"Turnover" also called "turnover rate" refers to a certain period of time the stock market, resale trading frequency and liquidity of the stock to reflect the strength of one of the indicators.
Calculated as follows: turnover rate �turnover �= a certain period of time, volume / shares outstanding × 100%.
Turnover and stock price movements will be combined, you can make certain future stock price predictions and judgments:
1, the higher the stock turnover means that the more active trading in stocks belonging to hot stock. High turnover stocks, often short-term capital chasing the target, the stock flexible, but the risk is also relatively large.
2, whereas the lower turnover, then shows that only few people are concerned about the stock, it usually means the stock movements are more rigid.
3, when the stock price continued to rise for several days, a sharp increase in volume, while the stock price rose fatigue, or even decline of good shows in the high-end stock price volatility, trading volume are amplified, indicating that an institution in the outflow of funds market.
4, after a sharp rise in the stock after that if the stock price rise, volume has gradually decreasing the stock at this time have to rely on people's confidence in the maintenance, indicating the funds are being withdrawn from the stock.
5, in general, when the stock price is low, the same day turnover of around 4% be attracted the attention of investors, they rise on the way should be vigilant more than 10% turnover.
