Ten Application Principles Of Volume And Price Selection

Insight into the mystery of stock price changes. volume It is the driving force of price changes, and its position in the technical analysis of real combat is self-evident. Here we will introduce the basic law of volume change -- the application rule of volume and price.

First kind Volume and price Stock selection method unlimited volume trading

1) under the price limit system, the first unlimited volume of stock will continue until the market will continue to fall until there is a large number of rebounds or reversals. Similarly, the first unlimited stock price will continue to rise until there is a large number of returns to reverse or reverse.

Second kinds of volume and price selection method -- low volume trading

2) there are always reasons for heavy volume: in the high price area, some of the main players are always hitting the bill, often placing large sales orders at some prices, and then eating them to show their courage to attract the market to follow the trend of the eyeball, or to buy large quantities of buying at some key points to show that they have great determination to support the market. If there is a drop in the low position, it can be explained that the organization is changing the market or preparing to pull up a wave.

Third kinds of price and stock selection method -- low position Shrinkage Arrangement

3) after the stock price has fallen for a long time, the volume has bottomed out, and the share price has rebounded. However, the volume has not increased with the increase of the price. The stock price has gone up again to the bottom of the previous period. Sometimes it is higher than the bottom of the previous period. But when the second bottom turnover is obviously lower than the bottom of the first floor, there is no driving force for the decline.

Fourth kinds of price and stock selection method -- breaking out

4) regardless of the amount of the fall, if the shape (moving average, trend line, neckline, box) is broken, it must be stopped in time to win.

Fifth kinds of price and stock selection method -- high clearance

5) a long black area in the high price area can not be swallowed up if the two big Yang can not be swallowed up. It means that the sky price is set up and should be cleared in time.

Sixth kinds of price and stock selection method - no sky high price

6) trading volume has reached a record high, but the stock price will not return to the high level on the next day, indicating that the stock price must return to the stock market. Similarly, if the volume of the volume reaches a new low and the price will no longer fall, the stock price will rebound.

Seventh kinds of price and stock selection method -- low volume price rise

7) in a short market, when a wave of volume and price can break through the rebound of the previous high point, it often indicates the end of the bear market. In a bull market, if the volume of volume is higher again after the price is high, it often indicates the end of the bull market, and the bear market is about to start.

Eighth kinds of price and stock selection method -- land price

8) the relative volume in the rising trend, and the stock price falling to the important average (5, 10, 30), are often excellent short-term buying points.

Ninth kinds of price and stock selection method -- low pile heap

9) there are generally two characteristics in the volume of the black horse stock at the bottom: one is the sudden enlargement of the trading volume at the bottom of the low level from a certain day, and then maintains a certain amplitude, almost every day at this level. The share price rises slightly on the daily chart, and the Cross stars appear frequently when it falls. The other is that the volume gradually expands from a certain day and maintains this trend of enlargement. The stock price often shows a slight continuous increase, which means that the main force has no patience or time to buy goods slowly, and the stock price has to be pushed up and pulled up.

Tenth kinds of price and stock selection method -- low breakthrough platform

10) at the bottom of the stock price consolidation, the fluctuation of stock price gradually diminished; the volume of trading volume increased to the maximum, and the stock price broke through the Zhongyang board and stood on the 10 day moving average. The volume continued to enlarge the stock price and continued to collect the stock line, leaving the base price for three days. This is the best short line buying point, and it is also a perfect sample for the matching of volume and price.