The cross star appears very frequently in real trading, which generally reflects that the market battle between bulls and bears has come to an end. The forces of bulls and bears are evenly matched, and the market tends to calm down. This also shows that the party that originally

The cross star appears very frequently in the real-time trading, which generally reflects that the market competition between bulls and bears has come to an end. The forces of bulls and bears are evenly matched, and the market tends to calm down. This also shows that the party that originally possesses the market advantage temporarily gave up the attack because it was constrained by the opponent's power. The party that originally did not possess the market advantage has accumulated a certain amount of strength and took the opportunity to launch an attack, blocking the opponent's development momentum, indicating that the market is running in another direction.

at a low level after a continuous decline, the downward trend of stock price was strengthened by the emergence of a large negative line. On the second day, the stock price opened at the closing price of lower than the large negative line and fell for a while, but after the bears continued to decline, their momentum gradually declined. At this time, the bulls took the opportunity to lift the closing price on the day, causing the closing price to rebound near the opening price, reflecting that the low-level bears compete with the bears, which means that the stock price is not far from the bottom, and may cause a rebound or reversal of the market, thus forming a buying signal.

(1) Sometimes, after a sharp decline, when the stock price closes at a low level, it is often a V-shaped rebound or reversal signal, and investors should mainly buy at low prices.

Figure 1-1, Shuangxiang Co., Ltd. (002395): After a long period of adjustment, the stock has formed a volatile consolidation trend. After a period of consolidation, the stock price showed a rapid downward trend, closing a large negative line of hitting the limit and , which was very likely to accelerate the decline. However, the next day, the stock price opened slightly higher by and then closed a cross star throughout the day. Then the stock price showed a V-shaped reversal of trend.

So, how to analyze the cross star of the stock at that time? It can be seen from Figure 1-1 that the trading volume shrank extremely during the rapid decline of the stock price, especially after the stock price broke through the previous low, it did not cause panic, indicating that there were not many floating chips, and the short-term short momentum was exhausted. In this case, the stock price closes to a stable cross the next day, which is often the fuse for a retaliatory rebound. Then the stock price gradually rose upward, successfully crossing the pressure of the 30-day moving average, verifying that the cross star bottomed out and successfully, and the stock price showed a V-shaped rebound trend.

(2) In real-time operation, the stock price may not rise immediately after the cross star appears, but after a short-term consolidation, a strong rise will slowly occur. At this time, investors must be patient. As long as the stock price does not fall below the low point of the cross star, they can hold and keep moving .

Figure 1-2, Products Large (600704): After the stock peaked, it continued to fall. Soon a bald, barefoot limit downwards, the big negative line broke downwards and broke through the previous low point. The atmosphere of short was significantly strengthened. The next day, the stock price opened slightly and low and then fell rapidly. However, at this time, the bulls intervened at a low point, quickly pulling the stock price back to near the opening price, and closing a cross star on the same day.

So, what is the technical meaning of this cross star? It can be seen from Figure 1-2 that the trading volume during the decline of the stock price indicates that the intraday selling pressure is not large, especially the bald and barefoot line on the day before the cross star, which is very scary, but the trading volume is not large, which is suspected of deliberately suppressing the dealer, so this cross star has the significance of bottoming out and stabilizing. Although the stock price did not rise immediately, the stock price did not hit a new low since then, which means that the stock price is not far from the bottom. As long as the stock price does not fall below the low point of the cross star, you should not be too bearish in the future. When the stock price breaks through the 30-day moving average pressure upward, it is a good time to buy.

(3) After a long-term decline in the stock price, a cross star appeared at the bottom, indicating that the downward momentum was exhausted and the upward energy had quietly formed. The possibility of a stock price stabilizing and rebounding or reversing in the future is relatively high. However, the market often has a bottom, and it still falls after falling, and the cross star often shows false signals.

Figure 1-3, Shuijingfang (600779): In order to achieve the goal of being a dealer, the dealer closed a cross star in the relative bottom area after a continuous decline in the stock price. The next day, another rising positive line appeared, forming an morning star pattern. At this time, the retail investors who believe in the technical form think that the stock price is relatively low and there is no power to continue to fall. The cross star is a signal to stop falling, and the stock price will start to rise. Moreover, this cross star appears near the previous low point, which supports the stock price and has the possibility of building a double bottom pattern of , so they bought stock one after another. However, when investors bought stocks, the dealer took the opportunity to sell chips. As a result, the stock price not only did not show an upward trend, but after a brief sideways consolidation of , it continued to show a downward trend, causing investors to fall into the low cross trap.

Why did the stock price stop falling after the cross star pattern appeared in this stock? The main reasons are the following aspects.

① Trading volume does not continue to increase, especially when the K-line closes positive line the next day, it does not receive support from trading volume. The shrinking volume and consolidation trend is more likely to become a decline relay cross star.

② moving average system continues to decline, which puts a major suppression on the rise of stock prices. It is very obvious in the short term under the pressure of the 5-day and 10-day moving averages, and the 30-day moving average continues to decline, indicating that the medium and short-term market is weak.

③ The day after the cross star was generated, only a small positive line with a shrinking volume appeared, and its attack strength was very limited, which was a short-term technical repair trend.

④ The day before the cross star appeared, there was a big negative line, and this big negative line just broke through the short-term consolidation platform, which has the significance of a downward breakthrough. Therefore, this cross star and the small positive line behind it are the drawback after the downward platform breaks through. Confirm the trend, and the stock price will continue to fall after confirming its validity.

(4) In real-time operations, when investors encounter low crosses, they should master the following technical points.

① Before the cross star appeared, the trading volume showed a shrinking state as the stock price continued to fall, indicating that the selling pressure gradually decreased, and the faster the trading volume shrank, the better. On the day when the cross star appears, the trading volume should be actively coordinated, and the amplified trading volume must occur during the bottoming out process, rather than when the stock price rises and falls back to .

② On the day of cross star closing, the stock price rose due to a large number of reverse orders, and sell orders continued to appear when the price surged and fell, but these sell orders were sold one after another. When the stock price bottoms out and rebounds, it is also quickly pulled up by a large number of pairs of reverse . After it reaches a certain range, the stock price shows a volatile trend, and sell orders continue to appear during the fluctuation. If this phenomenon occurs, investors must not buy it. The stock price may continue to fall in the future. This is often a technical form deliberately created by the dealer for the final escape so that investors can take over.

③ On the second day of the cross, the stock price continues to strengthen and can exceed the highest point of the previous day at the close, and the bullish signal is established. If the stock price breaks upwards through the 5-day or 10-day moving average the next day, the bullish signal is stronger. If a rising positive line is closed the next day, but the closing price does not exceed the highest point of the first day, you should observe the trend on the third day before making a trading decision. If the stock price weakens the next day and closes a negative line of decline, then investors should not touch it, especially when closing below the 5-day moving average , they should operate with caution.

④In the trend after the cross star appears, if the stock price effectively falls below the lowest point of the cross star of , it indicates that the stock price still has a possibility of a decline in the future. Investors should stop loss and exit.