There are many techniques for stocks, including the use of professional terminology. However, these professional terms are a bit difficult to understand for some stock trading trusts. For example, what does high selling and low buying mean for stocks? Investors who want to know more can learn together with the editor to increase their knowledge base.

High selling and low buying, one of the stock terms, is a wave operation of stocks and the core secret of doing stocks. The most important thing is to grasp the rhythm, sell from the highest point and absorb from the lowest point, thus achieving high selling and low buying.

Selling high and buying low is an effective strategy for stock investment, and it has almost become the motto for investors to trade stocks, but there are few successful ones. Why is that so? Is the difficulty of the operation technique too high? Not really. But it is due to the weakness of human nature, greed. When the stock price in your hands skyrockets, the desire to conquer will change the direction of your thinking and become an infinitely inflated desire for profit. After a wave of gains, you still hold onto the stock and look forward to the second and third waves. Rising one limit up, waiting for the second and third limit up. When the stock price rises and falls, staring at the gradually decreasing price, even when the stock returns to the starting point, the desire to get the highest price has been frozen in one's heart, unwilling to reduce profits or stop loss and lose the opportunity to profit.

Generally speaking, low-level fundraising has a higher safety factor and a higher probability of profit, but waiting for the best opportunity to attract requires patience and endurance. At this time, one should firmly hold onto their beliefs. Low suction, also known as low fishing, bottom fishing, buying at low prices, or taking advantage of low prices to absorb, is a term commonly used by Hong Kong stock market commentators. It refers to investors buying stocks at low levels after a stock has fallen or even hit a new low, hoping to rebound from the bottom of the market. There are three possibilities for buying stocks at a low price:

Stocks may rebound, making investors profit.

Two stocks may fall again, causing investors to incur losses on their books.

Three stocks are trapped.

Provide the following examples for investors' reference:

1、 Stocks that are trading sideways at the bottom and are not affected by the rise or fall of the market are safe to buy at any time, especially when the last bearish candlestick or the start of an upward breakout is the best opportunity to buy low with huge profit margins. Many dark horse stocks in the stock market have experienced such a trend.

2、 The K-line chart has been bearish for a long time, the stock price has fallen several steps, has not stopped falling below all moving averages, the daily trading volume has gradually shrunk, the K value is negative, the J value has been inactive for several days at negative values of 10-20, the divergence rate has been inactive above 1 to 10, and the strength indicator has been inactive below 10. If stocks with one of the above characteristics appear, they will have a certain degree of increase. Stocks with all of the above characteristics will have a huge increase, and profits will not only be reliable but also considerable.

3、 Stocks that run at the bottom of the price box and do not have significant new low technical indicators can be boldly absorbed, and investing in such stocks can yield stable returns.

4、 The market has been stimulated by negative news and has been plummeting for days, with individual stock prices falling to historical lows, mostly by more than 10%. At this time, absorbing any stock can yield unexpected returns.

High throwing and low sucking require decisive and quick entry and exit, a slight hesitation will result in losing the best opportunity. Opportunities are flashes in the flow of time, and it is difficult to obtain similar opportunities after losing them. The opportunities in the stock market are fleeting.

Seizing opportunities and utilizing time differences to make profits is the focus, focal point, and core of stock trading. Profit and loss are determined at this critical moment.

The high throwing and low suction method should pay attention to the following issues during specific operation:

(1) The high throwing and low suction method has certain difficulties in practical operation. In theory, high throwing and low sucking is a very ideal way to solve the problem. In fact, any stock has a certain range of ups and downs in a day for investors to make price differentials. If done well, any stock can also make price differentials, so any stock can also break free.

(2) We should grasp the rhythm and timing of high throwing and low sucking. The key to the high throwing and low sucking method is to grasp the timing and rhythm of high throwing and low sucking. When the stock price rises and reaches its peak, it should be sold in a timely manner, and then patiently wait for the stock price to fall. When the stock price does not fall and there are signs of a bottom rebound, buy. This requires investors to be very familiar with the operating rules of their own stocks, analyze and judge the operating range of the stock price accurately, have a clear understanding and formulate a good investment plan, buy in the bottom area of the stock price and sell resolutely in the top area.

In terms of "operation": sell when the price rises, buy when the price falls

On the basis of the initial "high sell low buy", if the purchased stocks rise or the sold stocks fall, it can be called a positive operation, and the second (reverse) operation carried out is called a positive difference operation. However, it should be noted that the operation that can still obtain positive returns after deducting transaction costs is the true "high selling and low buying". If there is a positive difference before removing transaction costs, but a contrast appears after removing them, this operation may appear to be "high selling and low buying" on the surface, but in reality, it is the opposite.

It is worth mentioning that in terms of trading varieties with high selling and low buying, it can be either a single variety itself or between different varieties that are comparable. In terms of trading timing, it is possible to engage in "high selling and low buying" for a longer period of time, such as six months, a year, or even longer, or to repeatedly operate within a shorter period of time, such as several trading days, the same day, or even a single day when there is a bottom position. In terms of trading results, there is only one requirement: positive operation, positive differential returns, trading more when smooth, waiting and watching when obstructed, and avoiding imbalanced mentality and chasing after gains and losses.

High selling and low buying is one of the effective ways for investors to make profits, but whether from fundamental or technical analysis results, high selling and low buying must be persisted for a certain period of time to succeed. People who know how to sell high and buy low are smart. They know how to seize the opportunities brought by the stock market, but the key is to see the opportunity and how to seize it.

After understanding the meaning of high selling and low buying in stocks, it is also necessary to have some knowledge of its usage techniques. In this way, investors can easily cope with such situations when trading stocks. Welcome everyone to pay more attention to the basics of stock investment and improve their stock trading skills.