Leading Battle Method

Before the market starts, big stocks usually make a move to grab the starting line. This is also why we encourage everyone to buy "high" stocks that seem hesitant to buy. Here, we need to explain this reason more clearly.

After a market trend starts, all stocks generally rise. Which stocks will the market's funds focus on chasing? What stocks would you buy? Based on years of experience, everyone knows that it is advisable to buy leading stocks, as even a doubling of their value is not considered high. Next up are oversold stocks. This is the consensus of the market.

Who are the leading stocks?Look who is rising fast, rising strongly and resolutely! Leading stocks are defined by the general public in the market, but no one rules who must be a leader and who is not allowed to be a leader. As long as you rise well and the public recognizes you, you will become the leader.

Becoming a leader has many benefits: you have become the focus of market attention and a hot spot for capital pursuit. There are many people chasing the rise and following the trend, which provides more room for upward movement and easier shipment. After escaping unscathed, the major market players will support you to maintain market popularity and keep your banner from falling! You make money without being scolded. Therefore, every major player wants to become a leading stock.

Since becoming a leading stock has so many benefits, the main players will compete. Strive to rise a bit before the market starts, to the point where all the previously trapped stocks are liberated, and as soon as the market starts, rise first. There is no longer a fixed market, so the resistance is naturally low. Profit taking has other follow-up markets to help digest it. This has become a leading stock and a big bull stock.

However, besides requiring some courage, it also requires strength and judgment.

The stock price rose to the previous high point in advance, but the market did not rise. There were too many profit taking trades from individual investors, and the main players could not all take over the market on their own. As a result, the stock price was pushed back, forming a "fake leader". In the early stage, Hisense Electric waited for the stock to rise and then fell back, and there were constantly strengthening individual stocks that compensated for the decline. That's the reason. The main force has arrived early! It's too early, but I can't withstand the selling pressure from individual investors, I just don't have the strength. Those who can withstand it are those with strength!

It would be safer to wait until the market is confirmed to have started before rising, but the leader must not be able to do it - someone else has already risen and been recognized by the market as a leader. The market cannot accommodate more leaders. If we miss one wave, we can only wait for the next wave. Therefore, the latecomers are the main force who cannot see the market trends and cannot keep up with the pace. They cannot even solve the problem of scouting, and they dare not rise ahead of time to withstand the selling pressure of retail investors, so they have no value in following.

The best scenario is that at the beginning of the market, the main force happens to lift the stock price to the previous high point, and then takes advantage of the opportunity to rise and become the leader. Good timing, individual investors were about to make a profit and sell, but found that the market had already started, so they regained their confidence in holding funds. Other individual investors followed suit and became the leader.

Is there any clever way to control such a rhythm? have

First, pull the stock price to the vicinity of the previous high point, only about one board away from the high point. Wait, when the market is about to start, quickly pull a limit up board, and then cross the top. If the market does not come, it will remain in place, with little selling pressure from retail investors and not far from the top. This is a tactic of grabbing the leader.

We call this operation“Grab the starting lineThe starting line is the high point in the early stage. Those who start early will be penalized for being eliminated, while those who start late can only wait for the second round of rebound, and now the market does not give them a chance. Before the market reaches its bottom, those who pull up the stock price and wait horizontally are the candidates for the dark horse. During this period, small fluctuations are inevitable. If you take a short wash and immediately pull back, you will still be a dark horse. As long as you don't miss the starting line.

This situation is very similar to participating in a cross-country race at school, with thousands of students waiting to start on the narrow road inside the school. Each class ranks their most capable student at the front, and if someone tries to run, the teacher will kick them back or even cancel their qualification for the race. After starting, those who run ahead have the advantage of being ahead, that is, they suppress the speed of those behind them and are pushed forward by those behind them. Therefore, there is a significant advantage in being ahead of others. In order to gain this advantage, before starting, those who believe they have the strength will strive to push forward and try to reach a certain row before starting, which is called "grabbing the starting line".

Do you understand? Does your stock have this action? Do you know why the stocks I recommend to you always seem a bit high? Do you still suffer from acrophobia? Let me tell you another thing: even if these stocks are not leading companies, they still have a certain level of strength, and their upward trend is often impressive.

The flagship strategy is the essence of our ten-year battle in the stock market, and the core idea is: "I am a cheetah, who am I afraid of? Learn to be like a cheetah, fast, fierce, accurate, and predatory

The leading battle method is the highest technique of practical operation, which is a comprehensive reflection of basic analysis, technical analysis, and psychological qualities.

the first partLeading stocks meet five conditions

To become a leader, a stock must meet five basic conditions:

Firstly, leading stocks must start from the daily limit up. Stocks that cannot reach the limit up cannot become leaders. In fact, the limit up board is the most accurate attack signal for both long and short sides, the cradle of all dark horses, and the birthplace of leaders.

Secondly, leading stocks are always low-priced, generally not exceeding 10 yuan. In 2002, the two leading stocks, 000029 Shenshen Fang and 600026 Zhonghai Development, were both priced at only 4 yuan, which is surprisingly similar. Because high priced stocks do not have room for speculation and cannot become leaders, only low-priced stocks can be sought after by investors and become popular lovers - leaders.

Thirdly, the circulating market value of leading stocks should be moderate and suitable for large capital operations. Both large cap stocks and small cap stocks cannot serve as leaders.

Fourthly, leading stocks must simultaneously meet the low price golden cross of daily KDJ, weekly KDJ, and monthly KDJ.

Fifth, leading stocks usually hit the limit up against the market trend at the end of the market's decline and panic, hitting the bottom early or starting before the market, and enduring a round of decline tests.

Part IIIdentification characteristics of leading stocks

The identification of leading stocks requires rich practical experience. In practice, we have summarized the use of two features to identify leading stocks.

Firstly, differentiate from the leading stocks by switching hotspots. Usually, after a sharp decline, the market will switch to new hotspots, such as Shenzhen local stocks in March 2002, led by 00029 Shenshen Fang, and financial securities sector in June 2002, led by 000562 Hongyuan Securities.

Secondly, identify leading stocks based on their high volume nature. There are two types of stock volume expansion: aggressive volume expansion and replenishment volume expansion. If a stock experiences continuous volume expansion for more than three days, it is called aggressive volume expansion. If a stock only has single day volume expansion, it is called replenishment volume expansion. Leading stocks must have aggressive volume expansion characteristics.

Section CKey points and techniques for buying and selling leading stocks

Buying Tips:In actual trading, one should learn to only be a leader, only do limit up when there are hot topics, and choose the target of operation that meets three conditions at the same time:

1. Zhou KDJ has a golden cross below 20;

2. The daily SAR indicator sends out a buy signal for the first time;

3. The first volume increase at the bottom, the first limit up board.

Key points for buying: When leading stocks open the limit up and release water, buy stocks that have not yet opened. If the stock opens high the next day, you can intervene within a range of 1.5% to 3.5% increase.

Selling tips and tricks:

1. Leading stocks that have continuously hit the limit up should be held patiently until they no longer hit the limit up, and sold 10 minutes before the close.

2. The leading stocks that do not continuously hit the daily limit up are judged using the daily SAR indicator. The SAR indicator is a mid line indicator, and the mid line holds the stock until the SAR indicator first turns into a sell signal.

PART IVOperational risk control of leading stocks

The operation of leading stocks should follow strict discipline:

(1) The fundamental requirements for practical operation are objectivity, quantification, and protection. Ambiguous operational situations are absolutely not allowed in actual combat, and market signals are the only and highest principle of practical operation.

(2) If we give precise and strict stop loss points and vow to execute them to the death, then we dare to take any stock because the risk has already been locked in by us. This is the highest practical behavior Bible for real traders.