Category: Money tips Release Date: 2006-04-02
Author: to read the tape on the City
Band operation is in a volatile trading in the broader market to obtain short-term gains when the best operating skills, and that the operation of this flexible approach can also effectively avoid market risks, preserve and develop the market feels financial strength. A full-band operation involves buying, selling and stock-picking investment in three key points.
1, band type of operation of stock picking. Band operation is more suitable stage there will be no stocks at the bottom to lead to the heavy volume of natural phenomena, the amount of energy efficient amplification suggests that there is actively involved in incremental funding. Because retail funds will not be bad in the fundamentals and technicals to go bad under a double blow to rush Jiancang, so, when the heavy volume illustrates some of the fleeing Kong Huangpan being regardless of cost, while the heavy volume when the stock price does not fall precisely to maintain proof of took the opportunity of a mainstream funds are Jiancang. Therefore, we can infer that the unit in the next Quotes are in very short-term opportunity.
Second, band operation of the buying opportunity, we must refer to bottomed central area, repeated shocks bottomed Quotes will naturally tend to the formation of a central area, broad market will be repeatedly circled around this central area, when the index rose too fast, they will be re-landed on the central area; when the Index fell over, would bounce back. According to this feature investors can choose in the broader market fell away from its bottom to lead to the central area, this is the best time to actively buy stocks.
3, band operation time to sell, it should be, as the case may be. In the broader market bottoming process, there will be multiple pulse rising market, but the real breakthrough rally only once. Identify whether the rally is the most important breakthrough is based on the nature of stock price volatility and trading volume, volatility and volume can be as steady contraction reached a critical point, the outbreak of rapidly rising market, belong to a breakthrough rising market, when investors chase stocks that may be appropriate. For other pulse-type rally, robust techniques are not skilled investors or short-term investors are advised not to participate, if the hands of the individual stocks held by a profit can be took the opportunity to sell.
