Whether in a bull market or a bear market, I hope everyone can calm down and learn more knowledge.
The bull and bear market in stock market is not something we can decide, but we can improve our knowledge and skills through learning.
Next, I will give a series of explanations on the trading volume and conduct a volume-price analysis.
makes progress with everyone, learn together, and become 发有 together.
Figure 0: The stock market is unpredictable
Well, we often hear some people say in some places that a certain stock releases a "huge volume", or a certain stock releases a " day volume ", but for us ordinary people, these statements may just mean that the market releases a large amount of trading volume, but many people know that they confuse two two types of bulk-enlarge forms. In fact, these two ways of bulk-enlarge have completely different meanings for the later stock price trend. Well, let me explain what "huge volume" is.
Well, in this stock market, there is actually no very specific definition to describe this "huge amount" and "huge amount".
However, we understand it here as "huge volume" is the trading volume that may be broken through in the later stage, which has a positive effect on the stock price rise in the later stage, while huge volume is the trading volume that is difficult to break through in the later stage. Once it cannot be broken through within 5 to 8 trading days, the stock price is very likely to peak and then a high decline will take place.
Well, for example, in Figure 1 below, Jinma Group did release a huge volume compared with the previous shrinkage period of the trading volume, but from the chart, it can be seen that there is still a lot of room for volume increase above. In addition, the trading volume is slightly smaller than the volume released in the previous high-priced area, so this possibility has been broken through a large amount, which can be called "huge volume".
Figure 1: Huge Analysis (Goldma Group)
Then let’s take a look at what is huge volume. The emergence of huge volume often indicates the arrival of the price top, which mostly means that this wave of increase has basically come to an end. Generally speaking, it is difficult to release huge volume at the bottom.
As shown in Figure 2, we can see from the figure that on May 14, 2013, although the price did not break through the previous high, the trading volume was larger than the volume in any trading day of the previous high price zone, forming a large number of people standing tall. Usually after a huge amount, the stock price will undergo a small consolidation in the short term. Once it cannot break through the current high amount for a long time, the stock price will have a peak pullback or even accelerate its decline.
"Crowd volume" and "Crowd volume" generally cannot be measured by specific quantities. It is usually based on our feelings and the huge trading volume generated in the early stage to judge. Usually, the length of the volume bar and the early stage to compare it with trading experience to judge.
If the trading volume on that day is very large, it is almost at the top of the trading volume window, we think it has released a "human volume".
On the contrary, if there is a big distance from the top, it is a promising trading volume in the later stage, we think this is a "huge volume".
Next, two operating strategies are given:
operating strategy 1. stocks release a "huge amount" usually means that a large amount of main funds are pouring in or follows the trend of to buy, which will greatly lead to the stock price rising in the later period, so this volume pattern is a buying signal.
Operation Strategy 2. The "big volume" of individual stocks usually appears at the top of the price. This volume is caused by the main force's own buying and selling. After the stock price remains stable in the short term, once a larger trading volume cannot be released to break through this volume, adjustment will begin, so it is a selling signal.