1、 Transaction volume. The stock proverb goes, 'Quantity leads price.' Quantity is the forerunner of price, and the rise in stock price must be accompanied by quantity. The increase in trading volume means an increase in turnover rate, an increase in average holding cost, and a reduction in upper range selling pressure, which is why stock prices continue to rise. Sometimes, when the banker's chips are well locked in, the stock price may also shrink and rise, but the situation of shrinking and rising will not last long, otherwise the average holding cost cannot be increased, the selling pressure increases significantly, and the stock lacks sustained upward momentum. Therefore, short-term operations must choose stocks with high volume, especially paying attention to stocks with high volume at the bottom.
Short term trading can cause stock prices to soar and plummet. Short term experts should not only learn how to take profits, but also learn one important thing: cutting meat. To have the courage to participate in short-term operations, one must have the courage to admit defeat. Keep the green mountains here, don't be afraid of running out of firewood. When you make a judgment mistake and buy a falling stock, you should sell it decisively to prevent deep hedging. The lost mulberry and elm trees are harvested in the east corner. As long as one is good at summarizing the reasons for judgment errors, it can also be considered as a compensation for cutting flesh. When trading stocks in the short term, it is important to fast in and out, and set a stop loss level that depends on individual circumstances. The specific value can be 5% or 10%. If the stock price falls below the stop loss level, it is necessary to sell decisively and not hold onto illusions. Even if the stock price still has the potential to rise, one should avoid risks and exit the market, strictly following the stop loss level.