"Three Faces And One Line" Stock Selection Method

"Three front-line" is a comprehensive method of stock selection, mainly used to determine the mainstream hot spot of the market, and then choose the potential stocks from the mainstream hot spot. The so-called "three sides" means Individual stock Fundamentals, technology Three elements, namely, the surface and the news surface, and comprehensively analyze these factors, and finally combine the main line of speculation in the current market. Investment Varieties.

First look at the "line", which is the main line of the market, the mainstream hot spot. Every wave of market has the soul of a wave of market. Mainstream funds usually build positions in related plates and stocks. When selecting stocks, we can only focus on this main line so as to seize the main contradiction. For example, the hot market in 2003, from auto stocks to financial stocks, to ex dividend stocks, and then to iron and steel stocks and port stocks, the plate transformation seems dazzled, but carefully analyzed, each outstanding plate has the characteristics of "blue chip" and "blue chip". These stocks all have excellent performance and good dividend distribution scheme. That is to say, the soul of this market is the value discovery process of blue chips, and it is best to pick stocks from these stocks. During the period, although there are fragmentary performances in the ST shares and the bad performance restructured stocks, they are DC and not mainstream.

The so-called "three sides" includes fundamentals, technical aspects and main aspects. High quality fundamentals are the most important factors for choosing a dark horse. High quality basic bread includes: the industry belongs to the sunrise industry; the company occupies a leading position in the industry (or leading position); the product has competitive advantages and has good ability to distribute dividends. Technology is also an important reference factor for choosing the right place to buy. Good technology includes: technical indicators are better; technological forms are breaking upward, or building up a good rising channel, or long-term bottoming; there are signs of starting in the near future; it is best to push up the market with small solar panels, and do not have a big line. The main side (capital side) also has a decisive impact on the rise and fall of the stock price. Judging the trend of the main force, a simple and direct method is to judge from the volume of transactions. The bottom is huge volume, and there are obvious changes in the market, which means that large funds should be involved. By combining the three sides together, we can grasp the leading varieties in the mainstream hot spot.