I. The concept of innovation
A record-high stock refers to a stock that has reached a stage high or a historical high. The record-high stocks show that they are relatively strong. The investors who bought recently made a profit, and there were fewer stalls locked up, and the resistance of the stock price was relatively small. The main force is actively operating on the disk.
Second, the three criteria of innovation
1, in terms of time, it must have recently broken through the previous high, which means that stocks that have just broken through the stage high or historical high are relatively safe.
2. In terms of nature, the high point of breakthrough must be an important high point in the previous period;
3. From the perspective of increase, innovation is at least 50% higher than the low point.
Third, the technical points
1, to see whether the stock price is fully consolidated before breaking through the previous high;
2. It depends on whether the turnover at the time of breakthrough is large enough. Generally speaking, the greater the turnover of this breakthrough, the better, and the turnover rate is greater than 10 (of course, you should also consider whether it is a large-cap stock or a small-cap stock, if it is a large-cap stock, it is not required to be so high);
Fourth, the best buying point.
Either buy it on the day of the volume breakthrough or buy it after the breakthrough.
Verb (abbreviation of verb) innovates stock operation.
The effectiveness of the breakthrough mainly depends on three aspects: price, volume and trend.
1. price.
The general standard of effective breakthrough is 3% higher than the previous high and closing above this price for three consecutive days.
2. Volume.
When breaking through the previous high point, there must be a lot of cooperation, otherwise its breakthrough significance is in doubt. If this high point is blocked many times before, the resistance will be even greater. Therefore, when the stock price breaks through the previous high point, it should be accompanied by a significantly enlarged trading volume.
3. Trends
Breakthrough should be vigorous, and we should not hesitate or wander repeatedly at the previous high point. Otherwise it may turn into a sideways trend, which is not a buying point but a selling point.
In actual combat, some stocks broke through historical highs by slowly climbing. Even if this trend breaks through the historical high point, it will not bring about a short-term rise in stock prices.
There is no best point of intervention in the trend of breaking through historical highs. After an effective breakthrough, the stock price can generally continue to rise, especially after a strong breakthrough, there will be no immediate adjustment in the short term. Therefore, you can boldly intervene after confirming an effective breakthrough.
After the intervention, we need to pay attention to the market trend, and we also need to pay close attention to the changes in the quantity and energy of individual stocks.
Sometimes, there will be a callback after individual stocks break through historical highs. If the stock price effectively breaks through the previous high point, this point will change from resistance to support, and the stock price should not fall below this point. As long as the stock price does not fall below the previous high after the breakthrough, investors can still hold shares.