The characteristic of the market is to constantly create opportunities, but if everyone can seize and benefit from these opportunities, they will no longer be opportunities. Therefore, while the market creates opportunities, it also creates many traps and risks. Therefore, strong stocks are hot, but how to catch up with them? The editor will analyze the following for everyone.

Strong stocks refer to stocks that have steadily risen in the stock market, and their daily turnover rate is generally not less than 5%. Strong stocks may be the leading stocks in a market trend or representative stocks in hot sectors.

How to chase after strong stocks?

1. Chasing the rise with a simple mindset and getting out with a simpler mindset. Many people often use fundamental analysis of a stock to force short-term behavior during the process of chasing gains, and stock analysts will do the same. To be absolute, stocks do not have either high or low performance. There is only a distinction between strong and weak stocks, even if they are junk stocks. This is something that must be understood when chasing up strong stocks.

Trained short-term operators understand that once a strong stock weakens, they are immediately eliminated. Ordinary followers often do not understand this point and instead constantly reinforce it, especially in unfavorable situations where key choices should be made. The weakness of human nature is to lose without knowing how to lose.

2. Don't explain weak trends. This is the key to chasing the rise of strong stocks, and the original intention of chasing the trend is because it has huge fluctuations and opportunities for speculation and arbitrage. Once the trend weakens, people often explain and tolerate it by saying that the market has plummeted and individual stocks are still struggling tenaciously, but this is actually a big mistake.

Operate when the market is in an upward trend or a balanced market, and try not to operate when there is a clear head shape or a clear downward trend in the market. When there is a rise, the trend is strong; when there is a fall, the quality is heavy. When analyzing and operating strong stocks, the focus should still be on turnover rate, market hotspots, and main force intentions. For factors such as performance, growth potential, industry development, and negative news, short-term operations do not need to be overly emphasized.

Chasing the rise of strong stocks not only requires me to buy at the right time, but also to withdraw in a timely manner. It should be noted that after a high rise, there may be a significant decline. Seizing the opportunity to buy strong stocks in a timely manner also requires taking profits in a timely manner.