Formation principle of shadow line trend under high volume

Click: Times Source: Top Financial Writer: Stock Market Sniper -Small +Large

In the process of rising, the stock price has a downward trend, and the trading volume has rapidly expanded. As of the closing, the long downward shadow line has been closed. This trend is called the high volume shadow line. In the process of rising, there is often a sudden downward trend of the stock price, and after the downward trend of the stock price, it can be pulled up on the same day. In particular, after the stock price has risen rapidly, it often jumps up suddenly, but then the stock price falls back quickly and is eventually pulled back. In this process, the trading volume also increases. Some individual stocks will pause for a period of time in the process of price rise. During the pause, the stock price mainly fluctuated within a small range. After that, the stock price suddenly fell sharply, and broke the original fluctuation range. But after the stock price dropped rapidly. Suddenly, another long force pulled up the stock price, and finally a K line shape with a long shadow line emerged. There are two main reasons for the high volume shadow trend of stock prices in the rising channel. The first is caused by the dealer's deliberate suppression of dish washing. In order to clean the floating chips on the plate, the dealer will deliberately push down the stock price quickly, and then quickly pull up the stock price, thus forming the K-line pattern of the large-scale shadow line. At this time, the amplification of trading volume is mainly caused by the reversal of dealers. Another situation is that in the process of rising stock prices, in order to test the shareholding mentality of retail investors on the market, the dealer adopts the strategy of completely non-interference in the stock price trend, and retail investors compete for positions in the market. As a result, the stock price fell and was pulled up again. In this process. Some investors will sell their chips one after another when they see that the stock price has not risen as scheduled, which will lead to the stock price falling. When the stock price dips, many over-the-counter investors who are optimistic about the future trend of the stock price will enter the market in succession, thus making the stock price gradually rise. In this process, the trading volume will also show a phenomenon of amplification. (Shareholders College: http://www.58188.com ) It is worth noting that no matter what kind of situation leads to the trend of the stock price under the shadow line of high volume, it indicates that the ability to undertake the next stage is relatively strong. In addition, the K line can be male or female.