The saying goes, 'It's hard to buy a dragon with a thousand dollars.' Leading stocks usually have a fierce upward trend, but they don't always rise. Sometimes there may be a fierce pullback, and we have to wait for the opportunity to buy after it rises. This is the essence of the 'dragon turning back' strategy.

So the timing for us to buy such stocks must be when the short-term increase in the stock is too large, the short-term profit capital is abundant, there are few buying orders and heavy selling pressure, and the main force is preparing to raise the stock price in the future. We need to use the gap of suppressing the stock price to wash out the market and buy the Longhuitou individual stocks.

The stock selection requirements for the Dragon Return strategy:

1. First of all, if we say 'Dragon Return', it must be a leading stock, at least a concept stock with theme support and in line with current market trends. The absolute leader or phased leader of a sector, their first bearish candlestick or first adjustment. The dragon head can be Dragon 1, or at worst Dragon 2.

2. During the process of lifting, it is necessary to increase the volume and effectively increase it; There must be several limit up boards. Without a limit up board, the strength is not enough to gather popularity, and the rebound strength is not too strong, which can easily lead to complex adjustments.

3. In the process of early upward movement, there must be accumulation of quantity and energy; During the process of consolidation and decline, try to minimize the volume as much as possible, and the better without a decent rebound.

4. The adjustment time is 3-10 trading days, with an ideal range of 5-7 trading days. Insufficient adjustment within less than 3 trading days can easily affect the strength and intensity of the second wave; More than 10 trading days is too long, and due to human forgetfulness, it is difficult to gather popularity again.

5. During the correction process of the "Dragon Return" stock, if it stops falling near key support levels or important moving averages, its reliability increases; If the reason for a strong stock experiencing a "dragon turn" is due to a significant decline in the overall market, the operability of such strong stocks will be very good

Buy with confidence:

1. Radical type: can buy near the 5-day moving average when strong stocks retrace; Or a 15% callback at the highest point.

2. Steady type: can be bought when the strong stock rebounds to near the 10 day line. Or a 20% callback at the highest point

[Attention]

1. The difficulty of the Dragon's Return strategy lies in judging whether the stock price has stabilized and the important support level, as well as grasping the point of another explosion;

2. The important support level can be determined based on the candlestick chart and chip peak. If the stock price falls below the important support level, it is necessary to stop losses in a timely manner;

3. The dragon turning strategy, combined with the intraday trading pattern, volume price relationship, sector effect, and overall market situation, has a very high accuracy in making comprehensive judgments.