In the stock market, understanding the meaning behind price movements is crucial. We often observe some typical market behavior patterns, which often reflect the trading strategies of large funds.



When we see stock prices rising rapidly but falling slowly, it may indicate that large funds are accumulating shares. This rapid surge followed by a slow pullback is often a tactic used to wash out weaker hands. A true market top is usually accompanied by a sharp decline after a significant increase in volume.

On the contrary, if we observe that the stock price drops rapidly but rebounds slowly, this may suggest that large funds are gradually unloading their positions. In this case, a slow rebound after a flash crash does not necessarily indicate a buying opportunity, but rather may be the last chance to escape.

When judging the market top, we can't solely rely on trading volume. If there is still trading volume at high levels, the market may still have upward potential. Instead, a sudden shrinkage in trading volume at high levels is more likely to indicate an impending major drop.

For the market bottom, a single volume spike is not sufficient for confirmation. What we need to pay attention to is sustained volume, especially the volume that occurs after a consolidation, which often signals that large funds are starting to accumulate positions.

Many investors struggle to succeed in the market not because they don't work hard enough, but because they continuously repeat the same mistakes, getting caught in ineffective trading cycles. We must understand that while market opportunities always exist, the ability to grasp the market rhythm is the key to success.

Successful investors must not only be diligent but also be good at learning and summarizing experiences, continuously improving their ability to identify market patterns. Only in this way can we find our foothold in the complex and ever-changing stock market and achieve long-term stable investment returns.
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NFT_Therapyvip
· 9h ago
See through but don't speak out.
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LootboxPhobiavip
· 08-16 16:50
The market maker is the best at pretending.
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ThreeHornBlastsvip
· 08-16 16:42
Say nothing, just the trap that's been played out.
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ForkTonguevip
· 08-16 16:39
Retail investors have lost a lot in stock trading.
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