Category: Money Tips Date: 2007-01-28
Talking about here, "250" is not the language of the people verbally harming others, but rather refers to stocks of 250-day moving average, that is, years of line.
Prior to the printing of individual stock price has experienced a breakthrough on the 250-day moving average after the operation strategy, but the most general terms, but there is no "differential diagnosis", it is easy to "mistaken" and lead to a loss. On this basis, the author carried out a number of induction and analysis resulted in a relatively clear operating rules, perhaps we will help.
Rule 1: You must be a breakthrough in daily limit. Limit-board is the main market performance of the most powerful way to break up limit-way 250-day moving average, "liberated" over the past year hold-up chips, the main force of the "motive" is not obvious. If the daily limit can not be sealed, then the main force of more hesitant, or tape do not match, naturally they will not comply with our "admissions standards."
Another important issue is that limit-must be the first time, that is a breakthrough 250-day moving average is the stock's first day of a limit-board, rather than a continuous limit-a "relay" mode of the formation of an upward break. Because, with two or more consecutive limit-up breakthrough, the main may have exhausted once again the strength of upside would be seriously compromised.
In addition, from the historical trend of view, the break up of the 250-day moving average if you have a flat or even go up again, compared with moving averages are still down in the article, its breakthrough in the strength of a larger follow-up.
Rule 2: there is no rose before the break. Some individual stocks limit-indeed the way up broke, but then it is Zhubo down, who will be chasing into the sun from drying at a high level of "Dried fish", which is certainly not on our side.
Rule 3: 3 days +9%. This is the "law of 250 stocks," the key. Some stocks in the realization of "250 break" after continue to rise, this trend is difficult to judge, only dare to take risks for short-term investors in operation; others are due to various reasons, finishing after the break when more than three trading days or even longer, But the callback rate is not large, there may be risks involved. Through observation, usually in the first day of the limit-way in order to achieve a breakthrough in antenna 250, the stock within 2-3 business days callback about 9%, compared to best intervene in time; such as adjusting the time for more than 3 days, indicating that the main may give up , and even raised the ship is suspect.
Rule 4: short-term operation. In the limit-breaking years of line, within 3 days of around 9% of the callback condition is fulfilled, we can Jiancang their favorite stocks. As the short-term gains than anxious middle class stock not suitable for operation (although there is indeed a good trend of the stock center line), but should be in our stock price shot up after buying out the process. In general, if the callback about 9% Jiancang, one or two trading days earn 10 percent more likely.
There is also a short-term operation into a mean, is to set the stop bit. Any operation strategy can not be 100 percent successful, "Rule 250 stocks," Of course no exception. Therefore, once discovered, after buying up stock prices going down, the next play before the break up break point stop loss should be a good choice. Because in that case, before the daily limit has been totally ignored, and the main aims and objectives will have to elusive, but this time stop for the callback to buy about 9% of the investors who lost only 2% less, at least from the perspective of risk-reward ratio is very cost-effective.
The recent leading technology, Hunan Post, technology, aerospace and mechanical and electrical performance of stocks is the "250 limit-law" the best interpretation. As for the National Chiao Tung University Onlly can break through the singing after the way the stock, you are "elusive" aspects of the matter whether spared; while similar to the Aucma, Dimagufen, Minfengtezhi and other stocks, although the graphics are last out of the "250 daily limit," but there had been prior to the sharp rise of course, make us flinch. Can be seen, with living the "250 limit-law", making money is not too difficult.
