Category: Money tips Release Date: 2006-03-12
Stock prices and market positioning is always hard to explain a topic, who can calculate which types of enterprises are listed after the location of what is a reasonable price? Why is a net asset per share, the stock was able to only a few dollars to tens of dollars on a price per share traded in the market, because we are now in the calculation of the stock price would likely future cash flows generated by income is also included which, so Whenever a stock listed on our to do its market positioning when faced with considerable experience in risk.
Therefore, we can often see that when a significant rise in the stock into the period and, with the stock price keeps high, the market evaluation of their company's future also will be getting higher and higher, such as the enter the high-tech, develop new projects, investment in a particular industry will generate so many rumors have been constant reports earnings. The secondary market speculation by news of the wave with the company's image or the impression set set is synchronized. If you do this work more successful, then you can do a longer period of time thereafter to change their stock market position. This may produce a misleading investors when the stock began to fall has come to an end, many people would think that the stock will not fall deep in the stock price fell by the way the formation of a platform area for each work type, always be those who think that this is a stabilizing signal to bargain-hunting mentality of intervention. Until this stock a continuous fall and look horrible after, some people will suddenly big mistake, the original is nothing!
How to judge a high technology stocks would not lead to the above-mentioned Yindie shape it? Once the walk in such a way because the stock is too excruciating. Here to tell you from the following aspects to consider this issue: 1, so that the stock is obviously the strength of pre-stocks, which is the main funding manipulate stocks, and its stock price reached the location and even beyond the market's imagination.
2, in its absolute high price before the price-volume Chai Sing certainly a process of rapid pulled from the morphological point of view is a straight line up.
3, and its near the near the top into the volume level is enormous, as large as the contraction is unlikely to once again the extent of recovery. 4, from the top began to fall, fall day, usually not deep, K-line map was arranged a row of small Yin Xiao-yang, the share price and volume fluctuations and the reduction was relatively small.
5, the last point, and most importantly, the unit at a high level significantly slowed down over time, the early rising time.
Stock movements once they meet the above-mentioned five aspects of the conditions, then the afternoon is likely to form a continuous Yindie shape, leave as soon as possible. For Yindie form of stocks investors should be careful not been easy, particularly bargain-hunting, although many times along the way will result in stabilizing the illusion bottomed, but the amount can be as long as no significant change in the bottom of the very unstable.
Under normal circumstances, are generally accompanied by occasional Yindie The decline in market, but also immeasurable in the long term slow down the end there will be a heavy volume of rapid diving under the jump-type process, so really not far from the bottom. But that does not mean that Quotes can immediately took a new turn since the Yindie bottomed after the cycle is usually longer. There may be based on the formation of a partial rebound in the form of a small V-shaped recovery of part of the plunge in the space, and then began to form at the bottom of a small box, the amount may be gradually able to resume after the stronger.