Analysis of the relationship between price and quantity (figure)

The normal "price increase, price decline" in the case of synchronization, there is no need to pay special attention to, should be paid attention to in the "price deviation" situation, the sale of stocks should be particularly analyzed.

There is a need to correct a problem that has been overlooked in a price analysis. The real reason for the increase in price increases in addition to the rising price of follow-up funds in a timely manner, the existence and gush of large profit disk is another important factor. If there is no profit disk gush, the volume will not enlarge.

In paragraph c, the price increase is not increased because there is no profit disk. Therefore, in the dealer and with the village under the absolute holding will also appear in the price increase amount of deviation from the situation.

(a) The price increases with the increase in turnover

Price increases with the volume of the increase is the normal characteristics of the market, that the future prices will continue to rise.

(ii) High price innovation, but no breakthrough in the amount of pre-production

In a band rally, prices with increasing volume and turnover rate and rise, break through the previous peak, hit a new high price, the stock price continues to rise, when the price of innovation, the volume has not exceeded the previous volume.

This band market shows that the rally is nearing the end, a large number of profit chips concentrated in the hands of the dealer and with the village, the public chase high will be insufficient, this is the price trend potential reversal signal.

Figure 4-11 shows the divergence of the value. The figure shows that in the upward trend in the stock price, the profit chips concentrated in the hands of the dealer and with the village, floating profit chips are less and fewer, retail buyers will not be enough, the dealer and the Zhuang in speculation to raise the stock price few people follow up. At this time the dealer and the village is likely to make a long trap at high level or go down the order to distribute the trend.

Figure 4-11 A divergence in the value of the price as the price rises

(iii) Stock price innovation high volume does not enlarge the actual case

Figure 4-12 shows the Black Dragon Shares in Shanghai (600187) The Daily Candlestick Chart and volume charts from October 1999 to June 2000.

Fig. 4-12 the actual case of price divergence when the stock price rises

In Figure 4-12:

Black Dragon stock price in the low speculative pull up, the dealer and the village with a large number of suction to build a warehouse, the formation of low-priced large volume period. The dealer and the village in the stock price low control the majority of circulating chips.

In the process of stock price continued speculation, turnover is shrinking. In the latter part of the stock price rise, the stock price rises rapidly, but the turnover further shrinks, forms the obvious price divergence and the high price small volume period. This is the dealer and with the Zhuang people holding and locked the majority of circulating chips caused.

(iv) The price increases in paragraph C and the turnover is gradually shrinking

Prices with the decline in turnover and the rise in prices, volume does not rise but gradually atrophy, the amount of divergence and immeasurable rise, this situation occurs mostly in the C segment.

As shown in Figure 4-13, the stock price rebounded in paragraph C, the stock price rose and the turnover shrank, the price divergence and the immeasurable rise, indicating that the stock price has not fallen into place, there is still room for decline.

Figure 4-13 A divergence in the price of a price rally

1. The value of the price rebound in the price divergence case one

Figure 4-14 shows the Shanghai Second Textile machine stock (600604) The daily Candlestick chart and trading volume trend from February 1998 to September 1998.

In Figure 4-14:

A, B and C are in the same price zone, but the turnover of the three-price zone is very different.

Part A in the B-segment stock price speculative lifting paragraph. When the stock price rises, a lot of profit chips gush, the dealer and the village with the chips, follow-up funds to keep up, volume amplification.

Figure 4-14 occurs in the price of the rebound in the value of the divergence case one

Part B and part C are located in section C, which is the dealer and the village of the delivery stage. Stock prices in a step-down trend, retail investors in high-level buy-in chips, in the stock price is locked up. If the stock price rebound (the stock price rebound to the early stack trading intensive period, the stock price drop), is the banker and the village with the long trap set, is pulled high and the majority of retail chips in the rebound height above the region, and no profit chips thrown into the market, so volume atrophy, out of the immeasurable rise and the trend of divergence.

The difference between the B-and C-segment features is the change in turnover. In the B-segment, the daily volume and turnover rate is very high, this is the dealer and with the village to eat into chips, the price rise, profit chips gush, volume amplification. And in the C paragraph, the dealer and the village to distribute chips, the price level down, retail chips in high-level quilt cover, although the stock price rebound, but no profit chips gush, resulting in a contraction of turnover.

2. The value of the price rebound in the price divergence Case II

Figure 4-15 shows the chart of daily Candlestick chart and turnover in Oct (0069) from April 1999 to September 1999.

In Figure 4-15:

BB is a large volume area. The big volume area often occurs in the B segment, the stock price rises, the volume enlarges, the price rises the increment the proportional relation.

CC is the stock price rises, the volume decreases, the value divergence, it occurs in the C segment.

DD is the stock price rises, the volume decreases, the value divergence, it occurs in the C segment.

The EE is the stock price rises, does not have the volume cooperation, shows the dimensionless rise, it occurs in the C segment.

Figure 4-15 The price divergence occurred in the stock price rebound case two

(v) The volume of high-priced areas is too large

Prices in the slow increase in volume and gradually rise in the sudden vertical rise, volume increased sharply, the price jumped, the volume of continuous multi-day amplification. Explain the dealer and with the village began to dispatch goods, market reversal, the end of paragraph B. This situation often occurs in the high order of paragraph B, the dealer and the village with the majority of investors using the "price increase" general consensus or good news to create a long trap, a large number of stock prices, the formation of volume over-amplification, often in the sky to form the sky (Figure 4-16).

Figure 4-16 the volume of transactions occurring in the high-priced area is too large

1. High-priced area of the volume of the actual case one
   
   Figure 4-17 shows the daily Candlestick chart and volume trend of the Shanghai Zongyi Share (600770) from October 22, 1999 to June 2000.
   
   In Figure 4-17:
   
   In the high price, volume amplification is often the dealer and the village with the movement of goods. Because most of the chips are concentrated in the hands of a few.
   
   The banker and the village with the use of the 2000 Spring Festival policy Good news, even pull 4 trading board. In the opening of the fourth trading board, the use of retail eager to buy stock of psychological mass dispatch, the day turnover of 21.19 million shares, the turnover rate of 2119/9900x100%=21.4%.
   
   From February 17, 2000 to March 1, 2000, the banker and the village with 10 days in the high-priced delivery, and formed a M head (commonly known as "devil Head"), the 10-day turnover as shown in table 4-1.

Figure 4-17 High-priced area of the volume of the actual case one

Table 4-1 Shanghai Zongyi Stock Trading volume 10 days

The total turnover of 10 days reached 133.61 million shares, with a turnover rate of 135%. The dealer and the village in high-level m head successfully transferred the hands of the chips into the hands of retail investors. The dealer and the village after the goods, the stock price continued to fall in a row.

2. High-priced area volume over-amplification actual Case II

Figure 4-18 shows the trend chart of the Daily Candlestick Chart and volume of Shenzhen Yu Dove (0544) from February 1999 to July 1999.

In Figure 4-18:

AA is the large volume area in the high order of B segment, the stock price rises, the turnover is excessively enlarged.

AA represents four trading day volume amplification. The values are as follows:

June 24, 1999 9.05 million shares

June 25, 1999 10.88 million shares

June 28, 1999 8.56 million shares

June 29, 1999 9.19 million shares

This 4-day total turnover is 37.68 million shares, turnover rate is 36%.

Figure 4-18 High-priced area volume over-amplification actual case two

In the B-segment speculation in the late stage (high-level), most of the profit chips and circulating chips are the dealer and with the village control. Only 4 days, in high on the emergence of 37.68 million shares (36% turnover rate) of the huge turnover, is obviously the dealer and with the village of the shipment behavior. The banker and the village with good news, successfully created a long trap, the goods sold to retail investors, resulting in huge turnover, the share price also continued to rise.

This example is enough to change the habitual perception of some retail investors. They always think that the stock price rises, the volume enlargement is the normal phenomenon. And the fact is: in the latter part of the stock price speculation, the price rises, volume cannot enlarge, this is the normal phenomenon (in the following chapters will use three third-order parameters to prove the correctness of this conclusion).

Investors should bear in mind the fact that the entire stock price speculation in the process, regardless of the dealer and the village to adopt what kind of vibration and set what kind of short trap, can hold the car, halfway not to get off, always adhere to the last person is not many. and hold to the end of the hands of the people holding a lot of chips. That is, the amount of chips that retail investors control at high levels is limited.

On the contrary, if the retail investors in the high-level control of a significant portion of the profit chips, the dealer and the village, and then speculation to pull up the stock price, these chips will be transferred to the dealer and the hands of the village, this is equal to the retail profit to take the banker and the village with the money. This is the stupid banker and the village also do not want to do. When the retail investors have a large number of profit chips in hand, the banker and the village must also be depressed to the low price, until the majority of the profit chips in the hands were shocked. Therefore, in the B-segment high-priced order, the dealer and the village with the majority of control of profit chips is the stock market is not controversial facts.

If not the dealer and with the village to send goods but the dealer and the Zhuang in the high-level collection of more chips, the price will certainly pull up a few prices, or the dealer and the village will be a loss. In Figure 4-18, the stock price has not been speculative to pull down instead, this is obviously the dealer and the Zhuang people in the high-level delivery.

Investors should remember: in the sky when the sky, is the dealer and the village with the trend of delivery, once confirmed to leave the field resolutely.

(vi) Bottom price deviation

After a long slump in stock prices, the volume increases as prices rise. The price rose to shock weak, again fell to the previous trough near the rebound, volume amplification. This is the fear of a new round of falling, panic-induced parabolic. This creates a W bottom and a double bottom pattern, which indicates that the stock price is going to rise (figure 4-19).

Figure 4-19 Bottom W base

1. Bottom price deviation from the actual case one

Figure 4-20 shows a chart of the Daily Candlestick Chart and volume of the Shanghai Composite Index (000001) from October 22, 1998 to June 1999.

Figure 4-20 Bottom Price deviation actual case One

In Figure 4-20:

Part A shows the long-term decline of the stock index, most investors reluctant, the turnover is extremely shrinking, which is caused by investor despair.

Part B shows a new round of declines after the stock index rally rebounded. This is a part of investors to create despair, sell to the market in the hands of chips, resulting in volume amplification. These chips are a loss of retail chips.

When the stock index down to the bottom of a rebound, people worry about the rebound after a new round of falling market again, causing panic-throwing increase, the chips began to focus on the dealer and the hands of the village.

The dealer and the village after absorbing chips and further suppress the stock price, resulting in more panic chips were shocked, and formed a new Valley B, valley A and valley B together to form a W bottom, a reversal pattern completed.

After the bottom of the Valley B, the stock index began to rebound, a large number of panic selling again, a lot of chips to the dealer and the village pocket. Since then, the stock index rapid rise, another round of new market began, the stock index no longer back, the pre-sale of the chips of the retail investors regret the Mo and.

In the stock market of two in the deep Shanghai, most of the stock in the May 1999 and before and after all out with the example of the pattern similar to the trend.

2. W Bottom Combat Case II

Figure 4-21 is the Shanghai high-tech (600701) from March 1997 to December 1997, the Daily Candlestick chart and volume charts, this is a practical example of W bottom.

Figure 4-21 W Bottom Combat Case II

In Figure 4-21:

Shows a W bottom trend. A is the first end of the W Bottom, the volume of the bottom of the enlargement, is the long-term decline in stock prices, panic-induced parabolic.

B is the second end of the W bottom and the volume of the bottom shrinks.

DD shows the price rise. DD turnover is magnified, is also caused by panic selling.

After the second dip, the EE shares rose for the second time. Volume magnification is greater than DD first speculative pull up, which indicates that the retail mentality is more unstable, fear of stock prices fell again, in the second speculation to pull up the appearance of meat cut.

W Bottom is in the lower order of C segment. At this time, retail investors hold a large number of high-level buy chips. Retail investors who sell chips at the bottom are out of the game.

(vii) Sudden fall after a long fall is a sign of bottoming

After a long period of falling stock prices, panic selling often occurs. With the big turnover, the price fell sharply. After a panic toss, prices may be reversed. Panic sell the low price, is the stage premium, this price is not easy to fall below in a very short period of time, forming a V-shaped reversal pattern (figure 4-22). This is also the banker and the village with the behavior of the earthquake. Because a lot of dealer and with the village traders are waiting for the emergence of panic-selling, waiting for them to buy the stock price low after the arrival, will speculate to pull up the share price.

Fig. 4-22 a sudden decline in volume after a long fall is a bottoming signal (V-shaped reversal pattern)

(1) A long fall after a sudden decline in the volume is a signal to the bottom of the actual case one

Figure 4-23 shows a chart of the daily Candlestick chart and trading volume of the Shenzhen CIMC Group (0039) before its launch in early May 1999.

In the 4-23 diagram:

Part A shows that the Shenzhen stock group has been in the stock market since May 12, 1997. In early April 1999, stock prices began to fall rapidly, some investors plunged into despair and threw in their stocks. Due to the emergence of panic parabolic, volume amplification. This is the prelude to the bottom of the stock price, which is about to produce a V-shaped reversal.

2. After a long fall, the volume of decline in the bottom signal of the actual case II

Figure 4-24 shows the chart of the Daily Candlestick Chart and volume of the Shanghai Composite Index (000001) from October 1995 to April 1997. This is the stock price fell after a long fall in the bottom of the signal real-time example, because this example is the Shanghai Composite, indicating that a lot of stocks out of this kind of graphics.

Fig. 4-24 the actual case of the decline in volume and the bottom signal after the stock price falls

In Figure 4-24:

AA is the exponential descent zone. The index fell and the turnover was extremely shrinking.

BB is the bottom zone. The index decreases, the volume is enlarged, the volume of the bottom area is significantly greater than the volume of the Index drop zone.

The CC display index rises, but the turnover shrinks, resulting in divergence.

(eight) price upward breakthrough get stress-line

The price goes up through the shape of the neck line, trend line and moving average, along with large volume matching, which is the price rise and true breakout signal (Figure 4-25).

Figure 4-25 Stock price upward breakout of the shape of the neck line and trend line

1. Stock price upward breakthrough in the form of the neck line and trend line of the actual case one

Figure 4-26 shows the Shanghai Sino-Textile Investment (600061) The Daily Candlestick Chart and volume charts from January 1999 to December 1999, which is the actual case of the upward breakout of the stock price into the shape of the neck line and trend line.

Fig. 4-26 the actual case of the stock price upward breaking through the shape of the neck line and trend line

In Figure 4-26:

AA is a volume of changyang over the previous 5 head and box-shaped concussion get stress-line, indicating the stock price upward breakthrough. At this time the stock price has a rise in space, can timely follow up.

BB is a volume of changyang over the early head and get stress-line.

The pre-get stress-line of the head and trend line is a close-to-close area, with a lot of hold-up chips in the deal dense area. When the price rises are about to break through these areas, a lot of profitable chips are pouring out. To break through these areas, the need for Changyang and volume amplification of the match, otherwise it is difficult to break through these areas.

2. Price upward breakthrough get stress-line actual case two

Figure 4-27 shows the daily Candlestick chart and volume trend of Shanghai Hsong Group (600711) from February 1998 to October 1998.

In Figure 4-27:

At the end of July 1998, the banker and the village with speculation to pull up on the Haixiong group's share price, a group of large volume trading day before the head pressure line, and formed under the support line, since the price rose all the way.

In the actual combat also have easy head and trend line situation, this situation often occurs in a long period of decline in the trend, and to have sufficient change hand finishing and good news to match.

Figure 4-27 Price upward breakthrough get stress-line Combat Case II

(ix) Stock price falls below the shape of the neck line and trend line

The price falls below the shape of the neck line, trend line, or moving average, while a large turnover occurs, which is the signal for the price to fall. In actual combat, often there is no need to cooperate with the volume of the situation. As the stock price is controlled by the dealer and with the village, when the stock price fell, the dealer and the village not only do not protect the disk, but sell some of the chips in hand, resulting in the stock price is easy to decline. Sometimes, because of the breakdown of some key bits, retail panic-selling occurs, there will also be large turnover phenomenon (figure 4-28).

Figure 4-28 Stock price falls below the shape of the neck line and trend line

Long-term statistics show that the above sums of these price relationships have a high probability. But not all the time.

We use this length of time to introduce the price relationship in the actual combat, is to make it easier for the reader to understand the "three-paragraph Sankai theory" of the actual combat analysis, parameter definition and deal with the dealer and the village of the short trap and the long trap strategy, grasp the stock market price relationship, understand the meaning of these changes, will be able to grasp the stock market pulse beat.

Analysis of the relationship between price and quantity (figure)