Before the dealer starts, he often tries to open the market with a gap, and then the stock price rises and the trading volume is moderately enlarged. Who can tell us how this transaction volume came f

Before the dealer starts, he often tries to open the market with a gap, and then the stock price rises and the trading volume is moderately enlarged. Who can tell us how this transaction volume came from and why? Volume is a manifestation of the relationship between supply and demand. When demand exceeds supply, people will rush to buy, and the turnover will naturally increase. On the contrary, the supply exceeds the demand, the market is deserted, the buying gas is scarce, and the trading volume will inevitably shrink. Digitizing the crowd is the transaction volume. The turnover in a broad sense includes the number of shares traded, the turnover amount and the turnover rate; In a narrow sense, it is also the most commonly used one, which only refers to the number of stocks traded. Volume refers to the total number of shares traded on that day (1 lot = 100 shares). VOL shows 1M, which is 1m = 1m internationally. 1K= 1000, 1M= 1 billion, 1b = 1 billion.

Volume is a tool to measure buying gas and selling gas, which can confirm the trend of stock price. Therefore, savvy investors must follow the stocks with huge trading volume at the bottom, because when the supply-demand relationship of a stock changes greatly, it will determine the trend of the stock price. When this change happens, investors must not ignore the relationship between stock price and volume. Once the price and quantity match, the stock price will inevitably rise as fast as they expected after the intervention.

The change of volume pattern will be a precursor to the trend reversal. At the beginning of the rise, the relationship between trading volume and stock price is that the price rises slightly, the trading volume continues to enlarge, and the stock price also rises with the enlargement of trading volume. Once entering a period of strong rise, there will be a deviation trend of falling volume and price and rising price. Once the stock price falls below the 10 moving average, it shows that its strength has changed. At this time, it will temporarily end the strength and enter the mid-term consolidation stage. Therefore, when you hold a strong stock, you'd better keep an eye on the daily K-chart of the stock price. When the K-line remains above the 10 moving average, it can be held all the way. Once the stock price falls below the 10 moving average with a long negative line or market potential, it should be shipped immediately and the stock exchange operation should be considered. Pay special attention to stocks that have been consolidated, because the opportunities of such stocks far outweigh the risks. The unexpired consolidation volume is shrinking, which represents the exhaustion of selling power. Basically, the shrinking volume is a signal of reversal, and it is possible to stop falling. In the downward trend, the turnover must be gradually reduced to have a chance to rebound. However, after the volume shrinks, it may shrink even more. When will it bottom out? The bottom can only be confirmed when the volume decreases and the volume increases. If the stock price has stood above the 10 moving average at this time, it is more certain that the rally has begun. So, basically, the angle we should pay attention to is the volume increase after volume contraction. Only the increase in trading volume can reflect the change in the relationship between supply and demand of the stock, and only the increase in trading volume can make the stock have the bottom power to rise.