The validity of any conclusion is closely related to the conditions, for example, our judgment of the behavior of the main force must also be based on certain common conditions of the main force. Once the main force does not possess these commonalities, the conclusion may not necessarily hold true. For various main players in the market, due to differences in funding sources, participation purposes, operators, and other aspects, it is not easy to make a general conclusion from them in just one sentence. However, since the purpose of the main force is to profit from some basic characteristics of the market, there are still some simple features that we can assume to be unconditionally valid as commonalities of the main force.
The main force must possess the following basic operational methods:
Firstly, open multiple accounts in multiple business departments. Although it is illegal, there are always legal ways to do so. For funds, insurance funds, or QFII funds, as long as they work together, it can also be achieved. Next is to place large buy and sell orders in transactions. The purpose of doing so is to create a false impression of buying or selling in the market, thereby attracting other investors to buy or sell in large quantities. Finally, it is the ability to make large comparisons. This operation method belongs to real-time transactions without transferring ownership, and is currently classified as a violation. However, there are still many ways to achieve legal operations for dispersed business departments and accounts.
Meanwhile, as a specific trader or decision-maker, one must possess the following basic knowledge:
Firstly, the basic form of stock price operation, especially the three forms of platform breakthrough, head and shoulder top (bottom), and double top (bottom). Secondly, there is the relationship between quantity and price, mainly consisting of two types: price increase and quantity increase (bullish) and price decrease and quantity increase (bearish). Finally, there are some common sense in trading, mainly that a large pressure plate will lead to a decline, a large buy order will lead to an increase, and a large trading volume can attract market attention.
The above characteristics can be assumed to be the commonalities of the main force, and most of the analysis conclusions related to the main force in this column also assume that the main force has the above commonalities. Although there may actually be main forces that do not share the above commonalities, the relevant conclusions still hold true, which is also allowed in statistics (as long as these main forces are so few that we can classify them as "low probability" events). It must also be pointed out that some of the basic knowledge required for the main force mentioned above is often incorrect, but the market's understanding of this is still insufficient.