Stock trading expert talks about bottom fishing operation skills and practical skills

The key to bottom fishing:

1. Short term bottom trick: a three-day sharp decline followed by a rebound;

2. Mid line bottom tip: Land quantity and price can rebound;

3. Long term bottom trick: After years of deep decline, love is at the bottom.

Bottom fishing signal:

1. Transaction volume. Anything can deceive people, but the trading volume won't. One day, various indices began to increase in volume, which refers to the trading volume higher than the previous decline process, of course, the larger the better. With trading volume, it means there are funds to buy at the bottom. That's the most direct signal for you to enter. The trading volume must be sustained.

2. Head, shoulders, and bottom. Head and shoulder bottoms usually appear at the bottom of the market. After continuously hitting new lows, the stock price begins to rebound upwards. After the rebound ends, the stock price fails to continue hitting new lows and starts to rise above the previous low point. When the stock price rises, the previous high point, which is the neck line, is the time to bottom out.

3. Arc bottom. At the bottom of the market, the energy of the bears is gradually weakening, but the advantages of multiple forces are not suddenly increasing, but slowly emerging. This often occurs, but it is also difficult to judge. But one characteristic is that the K-line entity is very small, but it gradually increases.

Confirm the necessary conditions at the bottom and the principles for bottom fishing operations:

1. Don't expect to copy the lowest point

Most stock investors believe that a rebound is the bottom and are worried about missing the buying opportunity, which may prevent them from chasing higher the next day. However, as seizing a rebound is a high-risk behavior, it is recommended that stock investors do not hope to buy a lowest point by copying the bottom. Therefore, wait for the bottom pattern to mature before buying in large quantities to avoid being trapped by the lowest point during a downtrend.

2. Don't be superstitious about bottom measurements

Everyone knows that prices fall and volumes shrink, but volumes can still shrink. So we should wait for the overall market index to stabilize before confirming the rapid increase in daily volume for three consecutive days.

3. Don't think the bottom is a day

As the saying goes, 'the sky high price lasts for three days, the low price lasts for a hundred days'. Generally speaking, there are several forms of bottom, and W bottom and circular bottom are the more common ones. Never try to grab the V-shaped bottom, because the V-shaped bottom is often just a right shoulder, and there is a possibility of being trapped when buying.

Bottom fishing techniques:

1. Island reversal bottom fishing

After forming a depleted gap at the end of an upward or downward trend, the stock price continues to move in the same direction. After completing a top or bottom pattern for a week or more, it begins to move in the opposite direction, and then jumps short again at the previous depleted gap price, forming a breakthrough gap and reversing the downward or upward trend. Due to the fact that the two gaps occur at approximately the same price point, and the entire concentrated area of the market looks like an isolated island on the graph, it is called an island reversal. The emergence of island reversal results in a sharp decline or rise in stock prices.

2. Head, shoulders, bottom, and bottom copying

Many people are familiar with the head, shoulder, and bottom form, which is the most commonly seen form in actual price patterns and also the most famous and reliable reversal breakthrough form. It can generally be divided into two types: head shoulder top shape and head shoulder bottom shape. Many people also know its power. Once it is formed, if you can hold it firmly, it can definitely make you soft handed, or even achieve unimaginable success.

3. W-shaped bottom copying

Many times, bottom fishing is done halfway up the mountain. If you steal chicken, you won't be able to eat the rice, and even go deep. How can you avoid this situation from happening? Next, the author will introduce a very classic W bottom fishing tactic in practical operation. The formation of the bottom of W is mainly due to the significant decline, the emergence of land volume, and the low willingness of investors to sell. After the first rise was initiated, they encountered resistance and returned to the starting point of the first rising bottom, accumulating momentum and forming investment opportunities. The vicinity of the early low point is a good buying point for buying at the bottom.