Category: Money tips Release Date: 2006-05-09
Engage in sociology must be understood "human nature", engage in stock investments must understand that "shares" of, more precisely, engage in stock investments should also understand the "human weakness." Many features of the stock market is reflecting the result of human weakness, the difference between the dependencies, "to beat the stock market must first overcome its own," said human nature to overcome their own weaknesses.
Among the weaknesses of human nature, gambling is an important aspect of the so-called gambling is expected to also a "gambling." Short-sellers are betting the stock market fell, with the Securities Lending shorting to make money, bulls are betting the stock market rise, with increased overdraft to buy the stock. In addition to the weakness of human nature of gambling, there are greed and fear, which is inherent weaknesses of human nature. Person's mood change is also along the optimistic to pessimistic, and from the turn pessimistic optimism, the cycle of the cycle, without human weaknesses, the financial game there will be no attraction. Greed and fear is a contradiction with each other also in this respect. I remember in the first round of the bull market, a seven-ten days old, see my children and grandchildren were all made money on the stock market, his son accumulation of her life used to purchase the "development" of stocks, his son is the oldest investors, listening to said the mother so open, but also buy the stock, naturally very pleased to have promised, to 16 yuan / Unit to buy "deep development." Stock heating up, "Shenzhen Development" is led step by step, such as stock price rose to 60 yuan / share, the old lady Fanlaifuqu could not sleep, feeling that he has experienced both old and new society, which shares are too scary, and the world can there be so pay any business, even doubled to rise, she could no longer sleep at night for my son to wake up and told him to bring the stock to sell tomorrow, can not, son Mankoudaying, but it did not help her to sell. After a certain number of days, the stock has gone up a large portion of, the old lady know that her son did not help her sell the stock, is glad his son foresight, at this moment, she actually believed that the stock should be so up, and she sleep every day sense, no longer involved in the stock Maibu Mai, and, unfortunately, is the "deep development" along risen to 80 yuan on the back, and we have no one to take over the share price of 5% per day rate of decline, they blame themselves when the old lady at this time greedy, and otherwise had sold the stock. Old lady totally do not understand the stock market, but an intuition, whether it is new and the old society, how can there be so well earns ah! But she once believed that the stock should be such a rise, the risk also come into play. People's expectations of stock prices is to follow the "Matthew" approach of development, long-term gains will discourage people from getting higher and higher expectations, but also makes a long-term decline in the market outlook, the more bearish expectations of the more or . Because people alternately optimistic and pessimistic, each return is along the same line of interpretation, the stock market becomes predictable.
Technical analysis is the study of market behavior, that is, through market posed by the chart patterns, to speculate the future price movements, but the practical application of this method, the analysis of persons are vulnerable to the impact of the subjective consciousness of individuals arrive at different judge, in order to reduce the subjectivity of judging the chart, the market gradually developed a number of data calculation method can be used to support individual graphic patterns for the perception and identification, the analysis more objective, these formulas is called technical indicators.
Shares of the human sexual response, stocks, according to human nature to interpret, so the stock market is full of greed, fear and gambling nature. Interestingly, such as "PLAY", "blue chip", "red chips" These words are from the gambling industry, the introduction of the term, we can see the stock market and the gambling industry, there is a definite source of it.
Understanding of human nature, helps to understand the nature of shares. Of shares of a stock, and stock fundamentals, but also with the dealer's activities.