Many people are tossed around by the fluctuations of the market, especially when encountering a "washout," and they have no idea what to do.
In fact, understanding market dynamics and staying calm is key.
When the market is low, you need to be patient and not panic-sell; otherwise, you may incur significant losses.
Observing market indicators can help us better understand the market situation.
There are several key indicators to pay attention to:
Concentration of chips: It can reveal the cost range of major players.
Trading activity: An unusually high turnover rate over a period of time may indicate important price support areas. Volume distribution: Price ranges where trading volume is concentrated are usually very important. Large trading behavior: If you see significant selling pressure, this could denote an important price level.
If your buying cost is lower than these key levels, you generally don’t need to worry too much about short-term fluctuations.
The market is cyclical; you need to maintain rationality and patience, focusing on long-term trends rather than fixating on short-term fluctuations, as this is the key to success.
Every market adjustment is an opportunity to learn and adapt, not just a threat.
The market is always uncertain; staying cautious and continuing to learn is a good way to cope with market challenges.