Volume-price relationship in a stock

Source: Internet
Author: User
Tags stock prices
Stock market terms. Volume refers to the transaction volume of a stock per unit time, including the daily transaction volume, monthly transaction volume, and annual transaction volume. The price refers to the price of a stock, subject to the closing price, and the opening price, the highest and lowest prices. There is a certain internal relationship between the rise and fall of a stock price and its transaction volume. Investors can analyze this relationship to determine the situation and buy and sell stocks.
Price increases. The bulk price increase refers to a kind of bulk price combination phenomenon in which the stock price almost remains fluctuating at a certain price level when the volume of the stock (or the market) increases. The bulk price increase level may appear in both the phase of the rising market and the phase of the falling market. If the stock price is in a low price area after a long decline, the transaction volume continues to be released, but the stock price does not rise synchronously, this trend may indicate that new funds are being used to suppress warehouse creation. Once the stock price turns up with the help of the transaction volume, it indicates that the bottom has been formed.
Price increases. A bulk price increase refers to a bulk price combination phenomenon in which individual stocks (or dashboards) increase transaction volume while stocks also increase. The increase in volume and price only appears in the rising market, and most of them appear in the early stage of the rising market, but also a small part is in the middle of the rising market. After a long round of decline and bottom consolidation, many favorable factors gradually emerged in the market. These favorable factors have enhanced the market expectation and become more active. With the increase in transaction volume and the increase in stock prices, the short-term benefits can be gained.
The scale-down price increases. Bulk price increase refers to a kind of bulk price combination phenomenon in which individual stocks (or dashboards) increase with the decrease in transaction volume. The scale-down price increases often appear at the end of the rising market, and occasionally rebound in the falling market. In the rising market, the moderate price reduction shows that the main disk is relatively high, and a large number of circulation chips are locked. After all, the scale-down price increase shows a kind of trend of volume-price deviation. Therefore, if the transaction volume is increased again in the subsequent rise process, it may mean that the main force is shipping at a high position.
Price increases and drops. A bulk increase or decrease mainly refers to a kind of bulk price cooperation phenomenon in which individual stocks (or dashboards) fall with the increase in transaction volume. The phenomenon of bulk price increase and decrease mostly occurs in the early stages of the decline, and a small part of the phenomenon also appears in the early stages of the rise. In the early stages of the decline, after a large rise in the stock price, the market saw more and more profitable chips, and investors threw out stocks, causing the stock price to fall, this high-volume price increase is a signal of selling.
Price reduction. Bulk price reduction mainly refers to a kind of bulk price cooperation phenomenon in which individual stocks (or dashboards) share prices also fall at the same time as transaction volume decreases. The scale-down may be either in the middle of the falling market or in the middle of the rising market. The scale-down in the falling market price shows that investors will not make a "Short replenishment" after shipment, and the share price will continue to fall. Investors should hold on to the sidelines.
 

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