Five tips for short-term stock selection and practical skills

Many investors don't know how to choose stocks, but it's not difficult either. Every key player will leave a mark. Let's take a look at what kind of stocks to buy and what kind of stocks can be "honed" into bull stocks:

Stock selection method:

1. Pressure level breakthrough buying method. The core of this buying method is "do not buy without breaking through". This buying method involves buying when the stock price successfully breaks through the previous neck line level, breaks through the box, breaks through the rising triangle K-line combination, or breaks through important moving averages. Especially when breaking through these pressure levels without a pullback, buying should be resolute if the limit up is exceeded.

2. Effective volume buying method. The core of this is "not increasing volume, not buying". When a stock rises, it must be accompanied by trading volume. When a stock starts, its daily trading volume often needs to break through the 50 day daily trading volume line for 5 days. When the daily trading volume can continue to exceed the 50 day daily trading volume line for 3 days, there will often be a wave of market trend afterwards, and buying stocks at this time is relatively safe.

3. Buying method with moving average support level. The core of it is to "buy stocks online", such as buying on the 5-day moving average. When preparing to buy a stock, do not rush to chase the high, buy when it rebounds to the vicinity of the 5-day moving average. You can even place an order directly on the 5-day moving average price at the opening, buy if it can be traded, and give up if it cannot be traded. Stocks that have performed well in the uptrend will have their stock prices fall back on the 5-day moving average every day, which gives us the opportunity to buy on dips.

4. Trend line support level buying method. This method has similarities with the moving average support level buying method, but the difference is that it mainly buys and sells stocks based on their operating trend. On the daily chart, an upward channel is drawn according to the upward trend of the stock's operation, and the stock price retraces to the lower track of the trend line to buy, rises to the upper track to sell, and then buys again when it retraces to the lower track, thus repeating the operation. Some also do box operations, buying on the lower track and selling on the upper track of the box.

5. K-line buying method. Collect and study various strong candlestick patterns, such as "big candlestick", "flat bottomed candlestick", "morning star", "single needle bottoming out", "parallel candlestick", and "red three soldiers". For example, someone who specializes in "Red Three Soldiers" (three consecutive small bullish lines), combined with trading volume and other technical indicators, can still achieve a high success rate in their operations. When we usually want to buy a stock that has just formed an upward trend, if a small bearish candlestick or cross star appears above the 5-day moving average, the trading volume decreases, and the turnover rate is very low, this is the best time to buy. After buying, it is likely to be a large bullish candlestick the next day.

In the stock market, a battlefield without gunpowder, repeating a simple task well is the greatest success.

2、 Methods and steps for determining whether a stock has the potential to rise:

1) Firstly, predict the possible trading volume for the whole day. The formula is: (the number of minutes from 9:30 in 240 minutes to the time of viewing) There is already trading volume, so when using this formula, please note:

Often, the earlier the time and the closer it is to 9:30, the greater the deviation from the actual trading volume of the day.

2. Generally, the trading volume of the first 15 minutes, 30 minutes, and 45 minutes is used to predict the trading volume for the whole day. If it is too early, it will be distorted, because the trading volume is generally large and dense shortly after the opening, and if it is too late, it will lose its predictive significance.

2、 If the stock price is at a mid low level in terms of form and short-term technical indicators are also at a mid low level, then pay attention to the following 5 things:

If the 'intraday forecast result for the current day's volume and energy' is significantly greater than yesterday's volume and energy, with an increase of more than double, there is a higher possibility of incremental funds.

2. When viewing individual stocks, the DDX indicator at the bottom of the chart shows that the cumulative DDX value of funds flowing into individual stocks is positive, the larger the better. If there is continuous inflow, it is even better.

If the stock price deviates far from the resistance level, it may experience a significant increase on the same day.

4. Pay attention to finding buying points during intraday downturns, especially when the market experiences a sharp decline.

5. If the stock price of the stock fluctuates horizontally with small fluctuations regardless of the intraday rise or fall of the market, once it rises, it is important to intervene decisively at the moment of the rise, especially if there are consecutive large buy orders during the day. This is the time for the stock price to rise. By analyzing the relationship between quantity and energy, stock price and stock index volatility, and continuous large buy orders, it is possible to predict that stocks will rise during the trading session.

In summary, when the stock price is at a mid to low level and the volume can significantly increase, there is an opportunity for intraday upward movement in stocks with consecutive large buy orders. Especially for stocks that are far from the resistance level, there may be significant short-term opportunities.

3、 If the stock price is at a mid to high level and short-term technical indicators are also at a mid to high level, especially if the stock price is not far from the previous high and other resistance levels, then attention should be paid to:

1. If the volume can significantly increase and the stock price actually declines, it is a signal that requires high vigilance during the trading session. It is not ruled out that someone may make large shipments, which can be judged based on whether there are large sell orders during the trading session.

If a large amount or even an astronomical amount is released at a high level, even if there is still a rise, it is still a residual wave. If you haven't eaten the head and body of the fish, you can give up eating the tail of the fish. After all, although the tail of the fish can be eaten, it has less meat and more spines.