The three characteristics I mentioned today, once they appear simultaneously, even the main force cannot act on all of them at the same time. As long as these three characteristics appear, what follows is the start of a major upward movement.
If you can truly understand these three characteristics, then financial freedom is not far from you. It’s just that it’s hard to learn by spending money outside, and no one will tell you. However, today, if you spend two minutes watching the video, Lao Li doesn’t want anything, all you need to do is give me a like and follow, just to show your support.
The three major characteristics of limit-up shares shared today can be summarized in one sentence: orderly accumulation, balanced offense, and solid support on pullbacks. Some friends may not understand, so for everyone's convenience, I will try to explain in more detail.
First, the first characteristic is orderly accumulation. It is important to know that when the main funds are collecting positions at the bottom area, there will definitely be significant changes in the trading volume and candlestick charts. In order to keep the cost within a low price range, it will be very obvious to see the formation of a consolidation box at the bottom, and the purpose of this box consolidation mainly has two aspects: continuously consuming the patience of the positions inside the market, and the stock price may even drop quickly at the high point of the box. This gives people the feeling that if they don’t run now, they won’t be able to run later, adjusting back and forth over a period of time, which not only allows them to reduce costs by continuously working on their positions but also eliminates weak positions, making it easier for subsequent rises. This is the game of accumulation.
The second feature is that the main force has completed the second step of the accumulation phase. For the market to start, it must continuously eliminate the previous concentrated positions; otherwise, it is impossible to invest blindly. They also understand that if I dare to raise the price, you dare to sell, so they often conduct trial trades first. The purpose is to confirm how much selling pressure remains after the accumulation. The trial trades can take the form of large ocean waves or upper shadows, or even a direct halt, which will lead to different degrees of adjustments later on, depending on the current collection of positions and selling pressure in the market. It could happen once or several times, and when the trial trading ends, the stock price may drop again. This indicates that the time for a wave of major upward movement is not far away; this is the balance in offense.
The last characteristic, the pullback to the support level, indicates that the original pressure level becomes a support level after breaking through the previous resistance. There are also resistance levels above and in front of the support. Normally, as long as it is not driven by speculative capital, it is impossible to push the stock to the target position in one go. You have to understand that if there isn’t a follow-up consumer during a consecutive limit-up, he cannot sell either. So at this time, it is necessary to slightly pull back during the stretch; the main purpose is to attract new funds to enter the market. A key point is that the pullback level must not break the key support level. Once it breaks, it’s like trees falling and monkeys scattering, with no one to take over. Restarting becomes extremely difficult. This is why it is said that pullbacks need to have a solid base. Of course, no matter how the market changes, trading volume remains the fundamental principle. During the continuous rise, it is essential to pay attention; once there is a surge in volume or even an extraordinary amount, it indicates that the main force is ready to exit. So, please remember these three characteristics: accumulate during the accumulation phase and break during volume surges. If you haven’t learned it yet, please watch it a few more times, save it, keep learning, and you can also share it with friends who need it.