Mastering key buying points is essential for achieving a leap in stock trading through practical skills

1. Platform support

The stock price fluctuates continuously within a certain range, and may rise to a certain point once or multiple times

When it was nearby, it fell and continued to fluctuate until one day it effectively broke through this point. During the continuous fluctuation of stock prices, a large number of chips are accumulated in this range due to the attraction of main funds. When the stock price rebounds after breaking through the previous fluctuation platform, if the stock price falls below this chip platform line, the offline profitable chips will suffer losses, which is often something that the main funds do not want to happen. So whether it's digging holes and washing up the market after the main force rises or for other reasons, they are likely to protect this key price point when they retrace to prevent themselves from losing money. Based on this principle, the key buying point is when the stock price breaks through the trading intensive zone and returns to near the upper part of the range.

2. The range formed by the opening price and lowest price of the first bullish candlestick in the rising three methods

Any investor with a basic understanding of technology knows that the rising three methods are a form of rising relay. On the first day, a large bullish candlestick rose, followed by a slight correction for several consecutive days, but the closing price did not break the opening price of the previous bullish candlestick. Finally, the correction space was regained on a bullish candlestick, and the upward trend was restored.

A bullish candlestick indicates a strong stock with a main force, followed by a double or triple bearish candlestick. This suggests that someone may be suppressing or selling. If the main force is focusing on selling, they will not protect the market from falling below the low point of the previous bullish candlestick during a correction, and the subsequent bullish candlestick will definitely not approach the highest point of the previous bearish candlestick, because it will free up all the funds involved in the correction process, and the main force will not be so foolish. So, the range between the lowest price and closing price of the first bullish candlestick is a crucial left buying point, but this method requires strict stop loss measures, usually set below the lowest point of the first bullish candlestick.

3. Three crows in the low position

After a long period of decline, the stock price has already experienced a significant drop, usually exceeding 30% or even 50%. The downward trend has basically slowed down significantly, and the stock price is gradually oscillating at a low level. Suddenly, three relatively weak bearish candlesticks appeared on the market again, but the trading volume significantly decreased with the sharp decline. This indicates that the bearish side has reached the end of its strength in this downward trend, and the force to continue to decline in the future is obvious but strong. The next possibility is a multi-party counterattack. After this pattern appears, the stock price often prepares for an upward trend, and when it closes after three (or more) bearish lines and stops falling, it is a very good opportunity to intervene.

operating principle

(1) The three bearish candlesticks in this pattern are all required to be large bearish candlesticks, and the drop of each candlestick should not be less than 3%, while the total drop of the three candlesticks should not be less than 10%. The larger the drop, the higher the effectiveness.

(2) During the process of the three bearish candlesticks falling, there was a significant decrease in volume.

(3) If the third bearish candlestick is the largest of the three bearish candlesticks, the probability of bottoming out in the future will be higher, and the rebound will be stronger.

(4) The intervention point after the signal appears should be near the closing price of the third bearish candlestick, and the stop loss should be placed near the lowest point.

4. Jumping Cross Star

This pattern usually occurs when the overall market situation is not good. Because the main force originally planned to rise and break through on the same day, jumping up and short at the opening indicates that the market maker has the potential to rise. However, they did not encounter a sharp drop in the market and found it difficult to go against the trend, so they had to accept a cross star. When the market is not doing well, the main players still have the willingness to protect the market, which means that the short gap of the day has not been filled, indicating the determination of the main market makers to go long. Although the stock price may continue to consolidate horizontally for a few days, the market will still be optimistic. Once the market improves, it will climb up the pole! So, this type of jumping cross star is a rare opportunity to get on the car, a godsend!

Operating skills

(1) The jumping cross star usually appears near the top of a sideways consolidation area, which may confuse investors. However, as a bullish candlestick completely envelops the cross star entity the next day, the stock price begins to rise. With the support of the moving average, investors can boldly intervene.

(2) When the stock price is consolidating horizontally in the upper range, once it rebounds to near the 20 day average price line, or even briefly falls below the 20 day average price line, it is a good buying point.

(3) When the moving averages of each period are close to each other and support each other, and the trading volume is coordinated, the probability of forming a short-term stock price breakout point through the resonance of multiple indicators' bullish signals is greater. At this time, it is an excellent opportunity to buy.