Practical skills for selecting top stocks on the price increase list

The probability of a stock entering the rising list eventually evolving into a continuously rising bull stock is relatively high. Choosing a bull stock in the rising list can often achieve twice the result with half the effort. Specific investment skills that need to be mastered include:

Analyze the reasons for the rapid rise of individual stocks on the price increase list

For various rumors, news, themes, and other reasons that stimulate the rapid rise of stock prices, specific situations and approaches should be taken. In most cases, stocks that rise due to the impact of news often lack the necessary main capital to build positions, resulting in weak sustainability, operability, and profit margins. Moreover, during the shipment phase, the main capital often cites positive news to attract investors' buying interest, thereby achieving the goal of smooth shipment. Therefore, investors should be cautious when choosing stocks that are solely affected by news and enter the rising list.

Analyze whether the stocks on the price increase list belong to the current hot topics

There are two methods to determine whether a stock on the price increase list belongs to the current hot spot. One method is to check whether the stock belongs to a sector that is already popular in the market. This method is more obvious and easy to distinguish. Another method is to check if there are any individual stocks on the price chart that belong to the same sector as the stock. Sometimes, new market hotspots emerge in the market, which are completely different from previous hotspots. At this point, investors need to observe how many stocks in the rising list belong to the same sector as the stock. If there are multiple stocks in the top 30 rising stocks belonging to the same sector, it indicates that the stock belongs to a newly emerging hot spot in the market, and investors can also pay close attention to it.

As for the specific number of stocks that need to be listed on the rising list for the same sector to be considered as a newly emerging hot sector, it also needs to be determined based on its sector capacity. Some sectors have a larger capacity and can raise the standard appropriately, but some sectors have a smaller capacity, such as the financial sector, glass sector, etc., and their own sector stocks are relatively small. At this time, investors cannot blindly apply this.

Analyze whether there has been a process of accumulation of volume and energy in the stocks on the price increase list

The movement of funds in the stock market determines the essence of individual stock prices, and the effective intervention of funds is the driving force behind the rise of stock prices. Whether the stocks on the rising list can continue to maintain their strength in the future is closely related to the previous situation of fund intervention. The accumulation process of volume in hot sectors is very important, and only with sufficient intervention of incremental funds can the hot market have sustainability.

For stocks that meet the above three conditions, investors should pay close attention and buy them at the right time, which often results in significant returns.