Some main characteristics:
Volume-driven self-inflation: The main feature is that the price first rises with high volume, or opens sharply higher and then fluctuates with huge volume. The essence of the picture is that it does not rise much!
Volume-driven or sharply higher opening will definitely attract some chips to take over. We all know that the main force is not like us retail investors who only have a small amount of chips to sell with one click. Then this will appear a kind of scene, the market jumps up and down to give us a false impression that the main force is absorbing chips and preparing to re-accumulate power to rush up!
This is like the wolf is coming. After a few more highs and falls, retail investors will relax their vigilance. If they feel that they can't fall, they will boldly increase their positions. For example, every time the main force rises and falls, it sells a part of the chips, and then the market falls sharply the next day and then touches the bottom and violently withdraws the feeling that it can't fall! After many times, everyone will ignore this. Isn't it possible to ship slowly?
It's a bit far-fetched. Let's talk about the second feature later!
The stronger it is at the top: If the main force ships, how can it become stronger and stronger? This involves a previous point. The main force has a lot of chips and can't sell them all at once like retail investors.
The main force is an actor who has to drag the price of the currency to give retail investors confidence, and at the same time think about how to sell. If the trick is not performed well, retail investors may be aware that they have run away first, and then they can't sell at a high position.
So he has to repeatedly smash it down and pull it up, and even constantly set new highs to stimulate the highest desire of retail investors. Therefore, the more the top of the shipping area, the harder the main force has to perform.
Then the trend is reflected in the trend feeling is still very strong, so the technical indicators will produce divergence after shock or divergence after continuous adjustment and setting new highs. This is the logical principle of divergence and back words.
