The historical high point of the stock price can be used as the basis for judging the stock price. This historical comparison method is also relatively simple. We just need to lengthen the K-line chart and refer to the historical price. If it approaches or exceeds the historical high point, the current stock price position will be high and the risk will be great. The closer the stock price is to the lower support, the smaller the risk. In the analysis, we need to learn how to judge the level of pressure and support. There are many ways to judge according to the moving average system, historical highs or transaction intensive areas. Every stock has its proper valuation range, and the valuation is usually expressed by the price-earnings ratio of the stock.

The higher the P/E ratio, the greater the risk, and the lower the P/E ratio, the smaller the risk. Only by multi-dimensional cross-examination can we judge the stock price level and better guide the stock trading operation. Since this area has been regarded as a medium-high risk area, it is necessary to control the location. Below 30~50% of the total position, a single stock position is lighter. For example, in terms of personal professional scale, choose an industry with continuous experience accumulation and compound interest effect, and then continuously improve your professional ability.

After a long time, they will naturally gain something. High tickets are used to rob money, not to invest! Therefore, choosing the strongest stock in the same sector is not looking for opportunities to make up for inflation. Since it is a high admission, it is necessary to have the discipline of profit and loss stop loss, and be careful not to have the awareness of profit and loss stop loss! This is discipline! In other words, strictly enforce it. Strong stocks will not fall, but they will lag behind the market decline, so in the trend, you can constantly improve your shareholding conditions until you finally trigger your take profit point and take profit easily.

The main rising cycle of strong stocks is usually shortened, because the main funds are controlled strongly and the liquidity is small. There is no need to release a lot of trading volume to limit the daily limit, so there is still a chance behind the reduction of major rising stocks! There is still no problem in reducing the holdings of the main stocks, and there are potential risks in the stocks with large trading volume after the main holdings.