Category: Money tips Release Date: 2006-03-08
Zhuang Gu's life-cycle analysis will not only help investors to tap the Zhuanggu opportunities, but also help investors avoid the risk of diving Zhuanggu.
Phase I: Select PLAY Object
As can be seen from past experience, the bookmakers before the PLAY, the most important point is how to select an object, which is often a bearing on the success of PLAY, because selecting the right object, can there be small and medium investors to follow suit, will it be possible to maximize to ensure the smooth shipment process. From the current market Zhuanggu common point of view, small-cap stocks the most likely to become Zhuanggu. Prior to 1999, select PLAY object only require a small flow of capital. With the passage of time, especially the prevalence of asset restructuring, selection criteria to gradually shift the total share capital. If the listed company's total share capital of the small, in the high-growth industries, we can ensure continued high rate of delivery turn, and then you can maximize profits. Of course, there are exceptions, large cap stocks very low stock price could also become an object of interest making such stocks mostly the result of a long-term weakness, the disdain for most investors, therefore, "abandoned as I prefer the" theory makes such individual stocks become Zhuanggu. In addition, some bookmakers were superb, there are likely to hold up such a large market capitalization stocks in circulation.
The second phase: to collect bargaining chips
In selecting the right object after the start of the chips on the collection phase. Makers are often not viewed favorably in the market when the chips to bargain-hunting, of which the most typical way is to release bad news on listed companies, stock prices fell sharply, it begins to absorb approach. Pre-losing daily news, performance early warning gap left by each gapped in the subsequent 23 trading days have been remedied quickly. Sometimes, the general trend of the poor will also become a bargaining chip makers an opportunity to absorb, especially for new shares and the sub-shares is concerned, because the market is sluggish, the trend of these stocks are good, some of the original shareholders have let out of its original low-cost chips mainstream funds previously collected from time to time to sell chips, resulting in sell-off a great illusion, thus making new shares and sub-IPO share price has seen a rapid decline of the situation, while just down the process of making that can be collected from the Kongpan chips, thus, shares and sub-shares has become a Zhuanggu, it is also shares in the IPO and the sub-prone dark horse causes.
The third stage: heavy volume and Xichou, lift
Of course, Zhuanggu technical characteristics of the largest collection of chips is the volume continued to enlarge, because only the larger volume in order to illustrate the continued outside the capital approach, technical analysis theory, referred to the "quantity is not a lie "that is the reason. The volume continues to enlarge to a certain time, at least three trading days or more, then, the unit may be Zhuanggu. Followed the general trend is that Xichou stage, because many small investors are well versed in technical analysis, so they continued to enlarge after seeing the volume, in general, of which those who would follow the trend of bold intervention has increased the dealer pull the high cost and price pressures, so the dealer chose Xi Pan, which could follow the trend of those who make low-out, it can also make the average market costs, reduce the lift of the future by selling pressure. And Xi Pan signs In general, there are two main features of such a first, Xi Pan, when the amount can be shrunk to the second is its stock price can not fall to below 20 day MA, because 20-day moving average has been long regarded as a short-term lifeline, if the 20 day MA is effectively fallen through, follow-up to trend would cause great negative impact. This characteristic is often the Zhuanggu early start to see. Phase IV: ship
When Zhuanggu experienced accumulation, Xichou, lift later, entered the final stage --- shipping, this is also the ultimate aim of Zhuanggu. Therefore, how to seize the shipment Zhuanggu sign has become a leading small and medium investors to get out of step spheres have the highest priority. Zhuanggu present form before shipping the technology is concerned, the main shipping are the following forms: First, hot plate reached Ding Fei, the high heavy volume to form a single needle Department of stagflation. The second is the use of diluted heavy volume assumed a style of attracting Tianquan market to follow suit, in this way will cut out Tianquan out. Third, the parties involved technical analysis as the market advances in the theory that speculators create new shipping methods, namely, first at a high level pull down a platform, or move to suppress a period of say 10% of space, and then make a break up or even re - high, put on a wave of momentum to pull in order to attract small investors to follow suit.
Since many small and medium investors to stock analysts, the market such as worship of the image of the article, together with the parties involved stressed that the current market fundamental analysis of listed companies, bookmakers are starting to use public information to achieve the purpose of shipment. So, if investors see that listed companies publish the image in the media following publication of articles, we should carefully try to figure out its purpose, after all, the market is not a free lunch.
In addition, it is worth reminding that in the background of intensified market supervision, many chip makers have a way to fulfill the desire, in this context, some Zhuanggu taken straight Big Bargain wholesale shipments lower limit practices, This shipping method would appear that there is not much tricky, but the harm is also the largest, because not only be cause for alarm, but also a confusing, because many investors see the stock in a continuous limit down, stock prices nearly cut short After that they can rebound, but is often set in deep.