Trading Avoid Pitfalls - Learn a Little Every Day
👉When the price drops with decreasing volume from a peak, it will continue to drop
When the price falls from a high level, accompanied by a downward trend with decreasing volume, this is a dangerous signal. In the early stages of the decline, bulls in the market may still hold onto their hopes and are reluctant to sell their shares, while the strength of bears is gradually accumulating. As the stock price continues to fall, the trading volume has not effectively increased, indicating that the market's panic sentiment has not been fully released, and the pressure from selling still exists. Due to the lack of sufficient buying support, the stock price will continue to decline under inertia, seeking new support levels. This process of declining with decreasing volume is like a silent crisis, indicating that it is difficult for the stock price to find a bottom in the short term. Investors should remain highly vigilant and avoid prematurely bottom-fishing to prevent greater losses.
Always remember the core of trading: 10% technology, 40% position management, 50% profit strategy!
If you are a learner, quickly find Brother Ye
Get on the train below 868, learn and communicate to keep up and make profits!!!
Observation: BTC ETC BNB GMT
