Five life-saving strategies for sudden drops! Practical Skills

As the saying goes, "If you are poor, you will change; if you change, you will become successful." Nothing stays still forever. Times change, and our thinking must also change in order to keep up with the trend of the times. When the road is blocked, changing perspectives may solve the problem easily

The bear market in China is long and the bull market is short. We often encounter more major market crashes than rebounds. So, how should we face a sharp decline in the overall market?

1、 Cautiously grasping the rebound, the market is strong, investors can boldly operate, and even hold heavy positions; The market is fluctuating, and if you can't see the direction of future breakthroughs, try to move as little as possible; If the market weakens, we need to learn to rest and take short positions; If the market rebounds from a oversold, short-term trading is allowed, but stop win and stop loss levels should be set.

2、 Timely stock exchange. After the sharp decline, the stock price plummeted, and investors need to comprehensively examine their stocks. After a lot of speculation in the early stage of the main force, the absolute value of the stock price remains high, and the foam is excessively inflated, especially those who do not rely on the improvement of the internal value of the enterprise, but are purely magnified by the theme concept, and the stock price is high, they should be abandoned and avoided, and only select and retain the varieties that may evolve into strong stocks in the future and absorb them at bargain prices.

3、 Adjust the position structure. Close the position of stocks with a dead end, concentrate limited funds on stocks with potential or lying in the bottom area after heavy losses, aim for opportunities, intervene in batches, and set profit targets. Use band or T0 operations midway to accumulate small profits and achieve victory.

4、 Eating away and reducing losses is better than holding on. Stocks that are bought during a sharp decline in the overall market or a high drop in individual stocks should be sold once they explode, in order to keep the previously held chips from increasing. This kind of selling at high prices, buying back in a timely manner when it falls to a relatively low level, and the erosion and loss reduction of band operations are better than holding on hard. It should be noted that for stocks bought to replenish positions, if you see a relatively high position, you must cash it out in a timely manner, as there is a lot of resistance at the gap between the upper and lower levels, and most stock prices will not rebound in one step.

5、 Enter fresh 'blood'. If the investor's principal is 1 million yuan and the stock market value is only 500000 yuan, the stock price needs to rise 100% to completely unwind. The difficulty can be imagined. If another 500000 yuan is injected at this time, the stock price only needs to rise by 50% to unwind. The prerequisite for entering fresh "blood" is to understand the overall market trend, be familiar with technical and fundamental aspects, and understand the starting point of stock prices.