Currently, many people in the market are keen on short-term trading, which indeed has many advantages:

1、 The holding period is short, ranging from one or two days to seven or eight days, just like a sparrow feeding, quickly moving to avoid the risk of a significant decline. Most people believe that frequent stock turnover is dangerous, but accepting a series of small losses to avoid mistakes results in a high turnover rate that reduces risk.

2、 Profit is immediate, eliminating long waiting times and allowing for rapid capital appreciation.

3、 Full of excitement, more enjoyment of making money.

4、 Never miss any profit opportunity, the opportunity cost is relatively low.

In fact, many investors engage in short-term operations with good intentions, but the result is either repeated cutting or being trapped tightly, resulting in heavy losses.

There are two main reasons for this:

1、 The transaction cost is too high. At present, the trading costs in the stock market are relatively high.

2、 The success rate of transactions is low. Ordinary investors generally hope for fast in and fast out, but lack an effective trading method and can only follow their feelings. However, feelings in the stock market are unreliable, resulting in short-term to medium-term, medium-term to long-term, and long-term to dedicated trades.

The short-term fluctuations of stock prices are constrained by various factors, with a high degree of randomness, and indeed exhibit a characteristic of strolling randomly. For example, flipping a coin is a random motion, and it is impossible to accurately guess its result, at most with 50% accuracy. If short-term trading has only 50% accuracy, the funds will lose at least 10% after 10 trades. If the success rate of short-term trading cannot be improved, the risk of short-term operations is unbearable. We have found that short-term simulation funds operated by professional analysts often have a yield of -20%, indicating the difficulty of short-term trading.

After years of research and practical verification, the author has found an ideal short-term trading model - the short-term high-volume long yang buying and selling rule.

First, let's introduce the principle of the short-term high-volume long yang rule. Experience has shown that short-term speculators must closely monitor the movement of funds, especially large funds, in the stock market. Because the short-term fluctuations of stocks in the stock market are determined by the amount of funds injected into the market. Due to light trading and random fluctuations in stock prices, it is difficult to determine the direction of short-term movements and the volatility is too small to have operational value. Only stocks with large capital operations in the short term have short-term operational value. When trading volume increases and the battle between long and short sides intensifies, the stock price shows good elasticity. I found that this elasticity pattern is extremely strong, and using this pattern, I have summarized the short-term high-volume long yang buying and selling rule. The success rate of this rule is over 80% (buying and selling within 2-5 days with a price difference of 5% or more can be considered successful in short-term operations).

Short term high volume long yang trading rules:

60 minutes is a short-term fluctuation, accounting for 1/4 of a day, and using the K-line combination and volume price relationship on the 60 minute chart as a buying point for short periods is an excellent super short-term strategy.

1. Select stocks that have recently experienced a sudden and continuous increase in trading volume, with a daily turnover rate of over 3% (the larger the better) and a significant rise of over 7% (preferably with a limit up) for observation. Ma moving average (5,10) golden cross. Its main feature is a large trading volume red bar accompanied by a long bullish line, causing the stock price to quickly break out of the consolidation zone. Its turnover rate is between 3% and 20%. Ideally, this trading volume should be the highest in 1-2 months.

The increase in trading volume may be stimulated by positive news, such as better performance and allocation plans, the determination of major cooperation projects, etc. But we do not recommend following up immediately with a large volume. There are various reasons that can lead to a sudden surge in stock volume, and most investors like to follow up immediately, but they are prone to falling into the trap of market makers pulling up and changing hands.

2. After discovering the target, do not rush to intervene and call up a 60 minute K-line combination for tracking and observation.

Even the strongest stocks will rebound, in order to avoid being trapped at the highest level, it is necessary to wait until the rebound before buying.

3. After a short-term surge in volume, there will inevitably be a contraction and correction in the stock. According to the 60 minute candlestick combination of the stock, when the stock price shrinks and falls, it enters the entity of the bullish line on the 60 minute candlestick chart with a long bullish trend. At this point, the trading volume has decreased (the daily trading volume at the buying point is about 1/8 of the large amount), and the stock price has stabilized. The short-term selling pressure has been exhausted, and generally, this point can ensure that the stock price rises as soon as it is bought, fully exerting short-term efficiency.

4. The duration of the decline is generally 1-7 days, and the length of time depends on the quality of the market.

5. Enjoy the pleasure of rising immediately after buying. It usually surpasses the top of a wave within 2-3 days.

6. Profit above 5%. 3% of the high point of a wave can be used as a stop win point.

7. If there is a major unexpected change, we will decisively exit at the buying price until the loss price is reached.

This method can also be used as the optimal entry point for buying mid line potential stocks, with a higher success rate.

The above solves the problem of "buying", so how to sell stocks? Although it has been mentioned earlier that there is no risk of being trapped or cut, it is important to remember that it is not 100% accurate. We must face our mistakes calmly and keep in mind the concept of stop loss. Not understanding stop loss is dangerous. Stop loss is a fuse that protects one's assets.

Short term buying of stocks is a hope for an immediate upward trend, as the saying goes, catching the main uptrend. If the main rising wave does not arrive as scheduled, is it waiting or ending? I think it should still end. Existence is reasonable, there is no perfect marksman in the stock market. If the Bollinger Bands issue a strong warning signal, don't expect it to be false this time, because the freedom of short-term speculative funds comes first.