Even the most impressive stocks, if you can't grasp their selling points well, the money you earn won't be yours; Even the worst stocks can ensure profitability if they grasp their selling points well.
Recently, many investors have left me messages saying that they have made money in this market trend and hope to talk about the selling points of stocks so that everyone can successfully make a profit and leave.
Wen Yu understands everyone's feelings very well. No matter how much money is earned on paper, it is always uneasy if it is not pocketed, so selling points is crucial. Only by selling well can one earn more. Even the most impressive stocks, if you can't grasp their selling points well, the money you earn won't be yours; Even the worst stocks can ensure profitability if they grasp their selling points well.
Firstly, MACD top divergence
MACD is not unfamiliar to everyone. Wen Yu has discussed it in detail in the previous article, and I believe many friends have an impression of it. The application range of MACD is very wide, from short-term to medium-term and then to long-term, MACD can play a certain role. Due to the high sensitivity of short-term MACD top divergence, Wenyu MACD top divergence is the first selling point of the short term.
Top divergence refers to the divergence between the stock price and the indicator during the rising phase, where the stock price reaches a new high and the MACD reaches a new low. The reason for the divergence of MACD peak is simple, that is, during the process of stock rise, the momentum of long positions gradually decreases. Although the stock price continues to rise under inertia, the indicator begins to weaken.
MACD top divergence is very sensitive and often occurs in bullish trends. It is the first signal of stock reversal and our best selling point in the short term. For short-term investors, it is necessary to sell for safe haven when the daily level deviates, start reducing positions when the 60 minute level deviates, and remain cautious when the 30 minute level deviates. This is a must do.
Secondly, the High Altitude Cross Star
Cross stars are also well-known as an important reversal signal. Here, Wen Yu emphasizes that high position cross stars are very dangerous, and one should be highly vigilant when encountering such situations.
Generally speaking, a cross star indicates that both long and short sides are fiercely competing at this price point, but the strength is similar, and neither side can gain the upper hand. However, the appearance of a cross star bearish trend at a high level is not favorable. Due to the dominance of bulls in the early stage, the stock price has risen sharply, but now it has become evenly matched, so the momentum has lost. As long as the bears continue to work hard, the probability of the stock price falling is high.
However, not all high-level cross stars are selling points, and it is also necessary to judge based on the relationship between price and volume. The "long head and short tail" cross star is obviously killed during the bullish upward attack process. Although the cross star was eventually taken, the upward trend has weakened. Combined with the high volume of the Cross Star, it indicates that there is a significant amount of high-level selling, which is a major killer for stock price declines!
Thirdly, multiple impacts have led to pressure level corrections
Pressure level is also a very common technical indicator, mainly formed by the accumulation of chips in historical stages, which has a certain pressure effect on the short-term rise of stocks.
When monitoring the market, it should be noted that many stocks experience significant pressure, and when the stock price reaches the pressure level, it often triggers multiple shocks. Once the volume breaks through the pressure level, the stock is like a wild horse out of control, soaring upwards. However, if stocks fall under pressure and strong stocks fluctuate and adjust for a period of time before rebounding, weak stocks will directly reverse and begin to decline.
