Retail investors are afraid of being trapped when trading stocks, and besides that, the biggest fear is being trapped. What is a duvet cover? It can be understood from two levels. At first, retail investors believed that stocks would rise, so they bought them; Next, the stock did not rise but fell instead.

Basically, every individual investor has experienced being trapped, so what methods can be used to avoid being trapped? Today, the author has compiled 8 methods from various perspectives to prevent being trapped.

Method 1: Plan before taking action

That is to say, before buying a stock, investors should first understand the company's performance, stock market trends, fluctuations, etc., and not blindly follow the trend to buy.

Method 2: When stopping losses, be tough on yourself

Stop loss refers to controlling losses within a certain range. The reason for setting stop loss is to overcome the situation where investors tend to bear losses and get trapped when they copy stocks. Because people tend to get excited and lose their rationality when they are losing money, it is important to set stop losses when trading stocks and strictly follow them.

Method 3: Pay attention to sudden increases in trading volume

For all stocks, the top formation time is usually very short, which requires the main market makers to quickly sell in a short period of time in order to obtain maximum profits. Therefore, when the high trading volume increases, special attention should be paid to whether the stock price has turned from rising to falling. And at this time, don't assume that the stock price will rise just because the trading volume increases.

Method 4: Please ship the goods in the middle of the bearish line

If the stock price opens high and falls on a certain trading day, it is easy for investors to sell their positions. Therefore, it is often better to give up on such stocks than to continue holding them.

Method 5: Technical indicators should be more specialized than excessive

Excessive technical indicators can lead to ambiguous results and often hinder investors from delving deeper into the study and understanding of the essence of any one of these technical indicators. This kind of effect is often very poor, so for technical indicators, we suggest that it is better to only use one or two and then fully understand them.

Method 6: Resolutely stay away from problematic stocks

The so-called problematic stocks refer to those stocks that are problematic. Stocks with significant negative situations reported by some news media. For example, illegal operations have been reported, poor performance, insider operations have been exposed, and many market makers have been implicated. For this type of stock, please intervene cautiously and be vigilant at all times.

Method 7: Do not focus solely on one stock

In general, it is difficult for individual investors to find a stock that can rise well for a long time. Many stocks always have a good day and a bad day tomorrow. So when choosing stocks, investors should not be too limited to the stocks they have previously selected. Of course, if you want to buy for the long term, it's another matter. When selecting stocks, you can take a wide look. More importantly, if you find that the situation of the stocks you have already bought is not correct or the trend is not good, please ship them immediately.

Method 8: Do not listen to messages

Don't listen too much to messages and gossip

Tip 8: Don't believe hearsay, and don't overly trust the analysis results of others. Instead, grasp the operating rules of the stock market, base yourself on the intrinsic value of the company, and then choose the appropriate buying price. Don't be a sacrificial lamb to the market makers, and don't let them reap the harvest.

These are eight aspects that the stock market can prevent from being trapped, and we hope readers can carefully consider them.