Limit up board strategy
1. Analysis of the meanings contained in the daily limit up board
Intervention in limit up stocks should focus on short-term speculation. The limit up stocks are generally divided into two types: non opening limit up boards (which are further divided into unlimited short rise and volume still sealed up types), and opening limit up boards (which are divided into foodie, wash up, and sell out types).
1.1 Unlimited short rise type. The movement of stock prices is explained by the intraday comparison of buying and selling forces. The volume still sealed off type may have a slightly lower increase compared to the non volume short rising type. This means that there are some bearish sell offs, but more bullish sell offs, and the buying volume is always huge, refusing to open the market. There has been a miracle in Shenzhen where the number of orders to buy one exceeded its total circulating share capital. The Zhuang family intends to show its extraordinary strength and just wants to tell the seller to buy slowly. The reasons for this situation are mainly due to sudden policy benefits. Institutions received accurate information after the previous day's closing and immediately rushed to buy at the limit up price after today's opening; The second is that the main force of a stock enters a rapid upward phase after absorption, trial trading, and consolidation, or the sector is hot speculated; The third is the potential significant positive news for the stock. Of course, in the past, there were often suspicions of fictitious and fabricated stocks. The main players of individual stocks hoped that the stocks they owned would serve as leaders in the overall market or sector, starting with a certain limit up price and continuously raising several limit up boards to create a profitable effect and attract retail investors to enter the market and follow the market.; The fourth reason is that the main financing period is relatively short and requires quick decision-making. Anyway, it's good to create the illusion of a huge single limit up. Sell your own goods outside, and sometimes after opening, pull up a small amount according to the market trend.
The second scenario of repeatedly opening the limit up board is more complex and should be judged from two aspects: stock price increase and overall trend:
1.2.1 Foodie type. Most of them are at low levels with little recent increase, indicating a good overall trend. In a sluggish or consolidating market, there is no need to buy at this high level. The characteristic is that when the market is just closed, there may be large buy orders hanging in the buy first class, which belong to the main players themselves, and then the large orders are smashed. Anyway, it is a reversal, and the fat water does not flow into the fields of outsiders, causing panic and tempting the main players to sell. After that, small buy orders are hung in the buy market, fluctuating repeatedly, and there is a feeling of being unable to be sealed.
1.2.2 Dish washing type. The stock price is in the middle range and has a certain upward trend. In order to increase market costs and sometimes to sell high and buy low, and earn the price difference, they will also drop their big buy orders or directly hit "non stocks" (not the main force's own goods), fluctuating repeatedly, regardless of the overall trend.
1.2.3 Shipping type. The stock price has already risen, and it doesn't matter whether the trend is hot or cold, because the colder it gets, the more attention it can attract from the entire audience. At this point, you can't put too much of yourself in the buying order, because it's a real shipment. If the main force or before the withdrawal wants to chase the rise and buy, you have to carve a boat and seek a sword.
2. How to determine the false limit up (induced bullish trend)
Under the limit up trading system, the limit up board is the most powerful. However, the opposite is true for extreme situations. When the market is relatively high or difficult to consolidate and fluctuate, the main force may use the limit up board to sell.
2.1 Don't think that the main force that triggers the limit up is the main force's strong operation. Sometimes it's just a small amount of effort. If a stock sells 2 million shares in a day and triggers the limit up, the main force may only have used 200000 shares, or even 100000 shares.
2.2 Stretching straight to 8-9 points without reaching the daily limit up, especially in the early morning trading, when the main force turns downwards after attracting attention and following the trend, it is often tempting to go long and should run quickly.
2.3 Today, it was locked up at the daily limit up, and the next day it opened lower, but still shipped out because those who entered today did not make a profit at the lower opening tomorrow and were unwilling to leave. The main force had to leave ahead of you, and those who did not catch up today thought they had picked up a bargain the next day and followed the trend more frequently. Not only did it hit the daily limit up, but some of the stocks that rose in the end of the day also opened lower the next day to facilitate shipments. (See Hongdu Aviation Map)
2.4 It is taboo to suddenly increase the volume and then quickly shrink, which indicates that the main players have a bad mentality and may also arouse suspicion of chasing after the rise; The fourth is to look at the commission tray. For stocks that are really going to hit the limit up, the displayed buy commission tray is generally not larger than the entrusted sell order, because the main force's real buy orders are timely transactions and cannot be seen. The kind of large buy orders that slowly rise the stock price under the support of the main force can basically be considered as the main force selling and cannot catch up. Another approach is to barely raise the limit up when the stock's technical form is not good, but not lock it up and slowly sell at the limit up position. Even if it closes at the limit up, it cannot go much higher the next day.
3. Chasing price increases focuses on the five major elements of energy, price, quantity, and time shape
The best choice for chasing the limit up boardSubject matter(Pay attention to various policy news, conduct in-depth and detailed research, except for those recommended by haters), orNew stock(After a few days of listing, there was a slight consolidation, but on a certain day, it suddenly jumped short and opened higher, hitting the limit up); Next is selectionThe stock price has been consolidating at the bottom for a long timeFor stocks that have not risen significantly by the limit up, have not been heavily hyped up, or have speculative themes, stocks that have exhausted their negative effects, it is best to belong to the hot market sectors, and in extreme cases, even the leaders in the hot topics; After a period of upward movement, the strong consolidation of the three selected strong stocks ends (usually stocks that have completed a cross chart consolidation should pay special attention, as their opportunities outweigh risks. The final trading volume of consolidation is significantly reduced) and then rises again to the limit up. (At this point, the stop loss level is the lowest point of the cross star after effectively falling below the starting large or medium bullish line.). It's better to hit the limit up suddenly after a period of consolidation than to hit the limit up again after a continuous rise.
3.1 Key points for chasing after the limit up:
a. When the overall moving average is in a bullish position, the trend of individual stocks must be upward, and the bullish line must have volume;
b. Below the stock price, there are most of the main chips or the stock price is in a trading intensive area or near the main cost area where the price is relatively low, or there is a large volume breaking through the intensive lock up area (strong market) or the unlimited eating lock up area (indicating that the chips are relatively stable, indicating that most of the chips were locked in by the market makers in the early stage); On the day when the main force is launched, the turnover rate should be at least 3% in emergency situations, preferably above 4.5%, and ideally above 6.2%. Stocks that rise in the form of torrential rain and wind are generally continuous and successful.
c.The stock price is not high(However, it is necessary to prevent technical pullbacks in the downward trend or high limit up shipments), break through the previous high point (the larger the trend of the stock can be seen on the weekly chart, and the longer the time, the more effective it is). If the stock price is still at a relatively low level or if the stock price has risen but still has a good upward trend, it is acceptable;
d. The small negative and positive entities adjusted after the trading limit should be small, and the volume should be significantly reduced (for example, the volume should depend on the position of the stock price and the situation of the market in the same period);
e. When buying, it is best to keep the bearish candlestick near the 5-day moving average and not far from it;
f. The moving average system is arranged in a bullish or quasi bullish pattern, especially the 30 day moving average is always upward (not flat!). The rising chart is beautiful.
g. The most powerful long-term combinations, arranged in order of strength, are: Rising Sun, Rising Sun, Dawn Star, Breaking Head, Breaking Feet, Massive Long Yang or Low Opening Long Yang, Massive New High, Long Rising Shadow, Small Yang Star, Cross Star, and even Small Yin Star
After releasing a large amount of yin, use two to three consecutive yang sticks and then eat the large yin stick.
3.2 When buying limit up stocks, the following points should be noted:
3.2.1 In extremely strong markets, especially when around 5 stocks hit the daily limit up, it is important to boldly follow the limit up board. A very weak market should not catch up with the limit up board, as the probability is relatively small.
3.2.2 When the entire sector is launched, it is important to catch up with the leader who reaches the limit up first, especially in bull markets or extremely strong markets. To catch up, it is important to follow the first limit up leader. The limit up of leading stocks is better than following the trend; It's better to have stocks of the same class that follow the trend and hit the limit up than not having stocks of the same class that follow the trend and hit the limit up.
3.2.3 It is necessary to hit the limit up. If the limit up is not reached (even a one point difference is not allowed), do not chase after it. Once you find that the main force has a volume of three digits or more entering the limit up board (institutional large orders are usually a horn for the stock price to rise), immediately chase after it and act quickly Hard.
3.2.4 Search the price increase ranking list in a timely manner during the trading session, and check the current prices of stocks close to the limit up Determine whether it can be used as an intervention target based on the previous trend and the size of the circulating market. When the increase reaches 9% or more, be prepared to buy to prevent the main large orders from hitting the limit up and not being able to buy. After the limit up, the trading volume shrinks quickly. It would be even better if there were no transactions for several consecutive minutes. It also depends on the size of the closed orders in the first few minutes before the closing, of course, the larger ones are better.
3.2.5 The trading volume released by the chasing stocks on the same day should not be too large, usually 1-2 times that of the previous day, and can be calculated simply half an hour after the opening of the day.
3.2.6 We must adhere to this operational style and not show any abnormal thinking, in order to avoid getting caught up in other stocks and losing the opportunity to attack when the market has no limit up.
3.3 Tips for chasing the daily limit up in strong markets
Generally speaking, when there is no limit up stock during a period of market downturn, if there is a strong rebound or reversal to catch up with the first limit up stock, the stock is likely to be the leader in the future, and even if it rebounds, it will be much stronger than other stocks. When a market trend comes, immediately go to the Shanghai and Shenzhen Price Index to check the top rising stocks, identify which sector has the most stocks and significant price increases, and determine who is the first to increase in volume and trading volume, ranking among the top three in the entire sector. If you want to buy, buy the leading stock, it is the stock with the largest upside potential. If they are the leaders, they should meet the following characteristics:
A first appeared on the strong stock selection list.
The main force has already bought goods in advance, and after a period of consolidation, it began to rise.
When C is pulled up, antenna 5 rises at a 70 degree angle without any nodes in the middle. Stocks with 5 antennas and no nodes above 70 degrees have seen significant increases. After the first wave of rise ends, the second wave of correction is completed, and it will be picked up when the 30 antenna (limit of 60) approaches the stock price.
D market support is actually policy support.
