How to not miss out on rocket markets? Learn the skills to stay steady in trends
Like a hunter waiting for prey, capturing the big market movements that can make your account soar – have you ever felt this way? The market launches like a rocket; either you get off early or you never get on at all, only able to watch others flaunt their profits. Catching the big trend is more like chasing antelopes on the grassland – relying on patience and skill rather than rushing in.
Distinguishing between true momentum and false moves
A day of soaring highs and lows often involves funds playing tricks, like waves crashing on the shore. The real big trend shows “increasing volume when rising and decreasing volume when falling,” like the tide slowly rising and receding with restraint. Moving averages are the thermometer of the trend: when prices steadily run above the 5/10/20-day moving averages and the averages are turning up, it’s like the spring shoots showing signs of growth.
Find the trend engine before getting on
Behind every big market movement, there is an engine: policies, industry tailwinds, or capital inflows. Like dark clouds gathering before a heavy rain. When news comes frequently and institutions are optimistic, observe for 3-5 days first: if buying orders increase during the rise and there are few sell-offs during the pullback, it indicates that the main players have entered, slowly setting the stage.
Leave a buffer zone for the trend
Don’t always aim to buy at the lowest and sell at the highest, like trying to pick the ripest apple only to see it fall. After the trend is confirmed, get back in after a 10% pullback, while also setting a stop-loss to exit if it falls below recent lows for more than 3 days. A big trend won’t rush to shake you off; the high-speed train starts slowly and accelerates gradually.
Learn to sit tight
Catching the beginning is easy; the difficult part is not getting off midway. The market is like driving on a mountain road, with constant bumps around the bends; don’t focus too much on the dashboard, keep an eye on the distant signposts – the core logic hasn’t changed, so stay steady.
Grasping big trends means being friends with time. At critical moments, like a hunter holding their breath, gently pull the trigger when the trend takes off, sit tight, and leave the rest to the market forces.
