1、 What are the main considerations for stock selection and market reading?

1. Firstly, focus on the selling points

The process of monitoring the market mainly focuses on whether the risk exceeds expectations, or whether the risk is within your control range. For example, if a stock oscillates around 3%, it is within the normal range of fluctuations. If it falls sharply at the opening, it is an unexpected decline, which may be due to some major events in the market or some major negative events in your stock. At this time, it is time for you to stop loss and leave the market.

After leaving the market, observe your stocks again, carefully analyze and search for relevant information. If there are no negative factors, the stock price should quickly rebound to its original position, and then consider buying back to reduce unnecessary risks. It should also be noted that if your stock is adjusting according to the market, you can give some time and space, as good stocks may also be mistakenly killed.

2. Focus on the hot topics in the market

After excluding risk factors, we can look at where the market opportunities lie. How to find strong stocks in the market? We can observe the performance of hot sectors, and if we find strong sectors during the day's market view, such as more than three stocks with daily limit up, we can focus on them. And check if there are any major positive news in the market, if so.

You can keep a record of this sector, because often big news and good news do not end in a one-time rise. Strong sectors often rise multiple times within a week, or lead the rise for several weeks within a month. This is an effective way to explore strong stocks.

3. Pay attention to market volume and energy

During the normal upward trend of the market, the volume should be relatively stable and not too large or too small. If the stock fluctuates normally, we can rest assured to hold it. If the individual stock you hold has already made a large profit and the volume can gradually shrink during the upward trend, this is a bad signal, and if the stock price also shows a correction, it is a dangerous signal.

If your stock experiences fluctuations, you can consider buying when the market volume can decrease. At this time, the risk is often lower because you bought the stock during the market cooling off period, provided that the stock price does not experience a significant decline.

You don't need to keep an eye on the market all the time, as this can put too much pressure on you and affect your judgment. A calm mind is more important in the investment process. If it weren't for the type of short-term investors who have a huge amount of funds on hand and do T every day, doing price differentials back and forth every day, they should control the time they monitor the market. Buying and selling decisions should be made in advance, even if you want to choose alternative stocks, you can have plenty of time to search for stocks after the market closes, and have enough time to calmly analyze whether the stock has purchasing value.

In short, it is not advisable to over monitor the market. If impulsive trading is frequently observed due to monitoring, one should stay away from the market appropriately. The most important thing in monitoring the market is to pay attention to market risks. Once risks arise, one should immediately exit the market.

　2、 How to choose stocks and view them?

Watching stocks is training your emotional control, the ability to control greed and fear, which is the superstructure. Reviewing is a test of your diligence, accumulation of familiarity with the market, and overall perception of the market, which is the foundation. Both are important. When you are looking at the market, you don't know what to speculate on when many stocks rise. This is because the review is not in place, and there is no foundation. No matter how good the superstructure is, it is useless. Moreover, the training of disk perception is the result of both observation and review, and neither is indispensable.

Simply put, I have a thorough understanding of the fundamentals of over 2000 stocks in the market. I am very familiar with around 2000 stocks in the market, and can tell the codes and fundamentals by their names without having to search around. Then, persist in reviewing every day to see which stocks have recently shown good profitability, that is, the strongest and most consistent trend. These stocks are the targets.

Of course, the current market funds are like wolves and tigers, and you need to have a proactive response. Being a lot ahead of time can make a big profit, even one step ahead can make a profit, and being late to buy involves cultivating a sense of market sentiment through long-term observation and review. There is no specific theory to explain this, it is just a subconscious feeling, or even a conditioned reflex.

My self selected stocks include major sector indices, recently active sector leading stocks, and popular stocks. These are the stocks I choose before the market, not necessarily buying, but I must pay attention to their trends. In terms of technical indicators, I don't look at anything else except for the candlestick chart and trading volume. I don't care about breaking through the intraday or daily chart. What I care about is the timing of the start and how the market follows the trend during the start, and the strength of the market when it falls.

The daily limit up is within one sector, and the next day the profit effect is observed. It is also used as the main alternative stock and is changed once every trading day. If I have to buy stocks, my first choice is the strongest one. As for tomorrow, let the market judge. Since I am buying, of course I am bullish, it depends on whether the market agrees. Select active stocks from the recently active sectors and change them periodically based on the current market.

Choosing before the market may not necessarily lead to buying, as most decisions are made during the market. But the review of the previous day will have a significant impact on the operations of the next day. How to discover good stocks in a timely manner during trading? I often look at the 5-minute price increase chart and find stocks in the total price increase chart during trading. To view the market, you need to look at the rise chart, fall chart, fast rise ranking, recent active sectors (this needs to be classified by yourself, don't use the software's built-in), the overall trend of major individual stocks, indices of Shanghai Stock Exchange, ChiNext, banks and securities firms, and trading volume.

The overall market atmosphere is the most important, followed by the overall attack intensity judgment of the sector, and the K-line is an auxiliary judgment. For individual stocks, I only look at daily K. For the index, occasionally flipping the K-line of small cycles and large cycles, the profit effect of yesterday's limit up board. If it hit the daily limit up yesterday and remains stagnant today, it means that the profit making effect of the market is too poor and should be restrained and wait for changes.