Category: Money tips Release Date: 2006-03-10
In the operation of huge amounts of capital, due to various reasons, the test market of natural areas is often essential to support the work piece. Example, after carrying out the operation of phased out of some of the chips, but fell back again after the operation, this time to test the market there is a support area of work, only the support area of the market will it be possible to determine accurately truly Stock for the operation of the flow.
The stock dropped to a certain degree the future we will generally adopt the so-called classical method to calculate the approximate support area, such as using the average line, in the short-term technical indicators or even four-dimensional space theory and so on, but if we look carefully will find that some These methods have one common feature: a lack of theoretical basis. In particular, the stock had already been pre-Trader's operations, markets, real cash cow is more difficult to digest, so the best way is to let the market itself to tell the operator instead.
What is the market really support the region? There should be at least two basic conditions, one selling rare in this region the second is buying in this region is relatively large. So, as long as these two events in the same time, the market appears to show that the real support region is likely to occur.
As for lodging in the main tend to increase in number of list, so for investors only from the disk on the look out for lodging is difficult to directly, but the main is much easier because the main market to know the real number of pending order. If the market for lodging on a true multi-one-is more than obvious when the space is likely to be supported by a single region, but this alone is not enough, because the balance of price alone will not be throwing a lot of stage cabinets, so Trader must be proactive tests, the test method is Zapan.
Moments up to two pens with a list following a large number of accumulated orders Zadiao priced. Such shares will be rendered like diving, but it is possible that in the support area, so do not use large sell orders for the next pressure, that is, not pegged to sell at lower prices alone. If that is the support area then the pressure out of the low-cost selling by the market alone would absorb its share price rise for the future will bring more pressure on the profitability of plate.
Zapan change in the future is the key.
If the lower price and gradually pressed a lot of sell orders then explain the current market price does not really support area.
If you do not pay will be able to make a lot of stock back to the original price, then get further support for regional recognition. In order to rest assured that buying a gradual increase in the case of repeat Zapan behavior.
If the stock price quickly back into place and immediately a large number of orders, there may be unopposed disk, which for the Trader is a test involving judgments of intent to drive competitors, etc., but this is beyond the topic of this article.
To find markets through the support of regional Zapan seem unreasonable, but it is very effective for the Trader.
Note: This article referred to in the real trading market for lodging only Trader itself most clearly seen on the market list, there may be a mixture of the main list. Another article also does not consider the broader market situation.