It is also a good variety. There was a rebound of more than 35% in the few days from November 5 to 8, and the current trend also formed a replacement of high and low points with the previous downward trend, which also means that a new round of trend has really started, which is also an upward trend. It can also be seen that the trend of this section is very beautiful, with a healthy callback, and the high and low points are constantly rising.
Where to enter?
First, we can find the pattern in the historical market. We can see that when the market retreated from September 6 to 27, the retreat ratio was 0.786.
The second time, from October 10 to 24, the market retreated to 0.618
These two retracements tell us a message that the retracement ratio is constantly increasing. Will it happen next time? We retain two options: yes and no.
Assumption 2: The retracement will not be reduced
If the retracement will not be gradually reduced, then at least we should consider the 0.618 area, which is also the closest retracement ratio to this market.
That is around 1.008
Recommendation index 5
Considering that we have two positions to pay attention to, we can buy in batches to minimize the risk.