What is the most exciting thing for stock traders? Perhaps it just caught the limit up board!

When everyone is optimistic about a certain stock, they rush to buy it, which leads to a shortage of supply for that stock. Later buyers can only wait in line at the limit up position. Investors who buy on the limit up board may make huge profits due to a short-term surge, or suffer heavy losses due to a short-term sharp drop. So two types of investors emerged, one bravely chasing and the other watching from afar, with some eager to try.

Stock investors who buy at the limit up hope to block the limit up and continue to rise the next day. But often it is difficult to buy or falls after buying, and the probability of hitting the limit up board is not high. And investors who buy on the limit up board are often worried about continuing to rise after selling, as well as fearing that holding will lead to a decline.

So how should we chase the limit up board?

Firstly, it is necessary to choose a familiar variety and conduct necessary research to understand the fundamentals of the stock to be purchased before pursuing it.

Secondly, we need to choose the right timing. Buy at the first time, that is, buy at the first limit up board, and do not buy at the limit up price, opening or sudden drop.

Again, it is important to plan carefully. On the basis of ensuring the safety of the main position, a small amount of funds should be used to chase the limit up board; Secondly, it is necessary to buy in batches to ensure that there are funds available to make up for the decline. Generally, one-third to one-half can be bought during the first chase; Thirdly, we should buy more and more as we fall. Since we dare to chase after high prices, we should boldly replenish our positions during a pullback. Many people dare to chase after rising prices and dare not buy or will not buy when falling, mainly due to unstable mentality and poor planning. I dare not replenish my position because I am afraid and fearful of falling, and I cannot replenish my position because I lack a plan and am at a loss.

Finally, the goal is clear. Plan ahead with 'one board to go' and 'two boards to go', don't hesitate and miss the opportunity. We should also have a clear understanding of the risks and losses that may be faced after chasing the limit up board, set stop losses, and draw a "bottom line" for the chasing limit up board stocks. As soon as this "bottom line" is broken, we must resolutely leave.