Investment Method Summary:
Consolidation, Patience to Wait
When the market is in a consolidation phase, do not rush to enter. Wait for the consolidation to end and for the market direction to become clear before taking action, as this will yield better results.
Do not stay in hot positions for too long, change in time
Hot positions are the focus of short-term speculation, and once funds withdraw, prices will drop rapidly. It is important to adjust positions in a timely manner to avoid being 'left behind'.
Bullish gaps are a buy signal
When a K-line appears with a high opening bullish line and the volume increases, the market usually enters an accelerating upward phase. At this time, it is necessary to remain calm, seize the opportunity, and hold positions for greater profits.
Decisive exit after a large bullish line
Regardless of whether at a high or low position, a large bullish line usually leads to a pullback. Therefore, even if there is a limit-up, one should exit early to prevent profit loss.
Operate based on moving averages and support levels
In short-term operations, rely on moving averages and support and resistance levels to determine buying and selling timing. For example, do not buy when the stock price breaks below the support level, and consider buying only when it breaks above the resistance level.
Do not act rashly during consolidation
When the market is consolidating, it is best to observe. Avoid chasing prices and killing dips to prevent making wrong decisions in unclear market conditions.
Cautious buying, phased layout
No matter how confident you are, do not buy in fully at once. Before each investment, ask yourself a few questions: What is the reason for buying? What is my operational plan? How will I cope if the market drops? How should I handle being stuck?