Today I will share with you the tips for using [Inverted N Pattern]: Legend 1: Legend 2: Graphical characteristics of [Inverted N Pattern]: 1) After the stock price or market rises for a round of upward, it enters the high-level wide fluctuation area. 2) One day when the wide ran

Today I share with you the [Inverted N Pattern] usage tips:

Legend 1:

Legend 2:

[Inverted N Pattern] graphic features:

1) After the stock price or market has been lifted in one round, it enters the high-level wide-range oscillation area.

2) One day of wide fluctuation, a large negative line appears, and the large negative line is relatively large.

3) After the big negative line, the stock price gradually rebounded, and this rebound generally lasted for about 3-4 days.

4) However, not long after the rebound, the stock price fell twice to form a second big negative line.

[Inverted N pattern] Market significance:

1) After the market rose in one round, the profit-taking order of gradually sold at a high level, the stock price fell at a high level, and the first big negative line appeared. Draw a line at this closing price as neckline .

2) When the stock price falls to a key position, the main force of stops selling, and the stock price stops falling and stabilizes. At this time, some short-term buyers buy at the bottom of the market entered the market, and the stock price rebounds rapidly. The trading volume during the rebound process is significantly reduced, and shrinks volume and rebounds will not go long.

3) Due to the shrinking volume, the stock price fell again after a few days of rebounding. Moreover, this time, fell rapidly and violently, easily falling below the neckline of the first big negative line. can confirm that the inverted N-shaped establishment is established as long as the closing price falls below the neckline. This process of falling below does not require a large volume.

4) The inverted N-type formation time can be long or short, 1-2 days, a week or a month. If the time period when is formed, the short-term downward force will be very strong, but the downward force will not be much room for ; if the downward force will be long, the stock price will not be much room for slashing, but the downward force will be relatively large, which is a slow downward drop.

[Inverted N pattern] measurement decline:

1) The first measurement is that the sides of the two N are equally spaced, and AB=CD in Figure 1.

2) The second method is to measure it, from the rebound high point between the two large negative lines to the closing price neckline position of the first large negative line, this distance is set to H.

Then start from the second large negative line falling below the neck line, draws an equal distance H downward, this amplitude is the minimum decline .

[Inverted N pattern] operation method:

1) When the stock price or index shrinks and rebounds to the high point of the first large negative line, you can reduce your position and wait and see.

2) When the stock price or index falls below the closing price of the first large negative line for the second time, resolutely sell and save the principal and profits.