Let's talk about the temptation to empty and the temptation to be long.
Because of the experience of March and April of the index, everyone should have a deeper understanding of the temptation of short and long.
Let's start with the essence.
There is no real temptation to short and long in the market, which are the result of capital games.
The so-called short lure refers to the fact that the bears continue to suppress the market, but the bulls are sucking the chips low.
The market looks like it is about to collapse, but in fact the bulls have taken the initiative.
The so-called lure to the long refers to the fact that the bulls continue to pull up the market, while the bears have secretly shipped goods.
The market seems to be booming, but in fact the bears have already begun to brew a conspiracy.
The game of long and short is on the surface, but more on the surface, but more on the back.
In other words, a lot of what retail investors see is not the truth of the market, but just what the real main force wants retail investors to see.
In fact, the whole market is an undercurrent, and the underground game is the real game.
The temptation to go long and the temptation to short has existed for a long time.
If you have to analyze it carefully, the essence of luring long and short is the key to earning excess returns.
Talk about how the bait came about, and you will understand why the bait is the key to making money.
The underlying logic of short luring is to deliberately reduce the purchase of chips, forming a situation of lack of bulls.
The advantage of this approach is that the bears can't throw their chips and can only sell them at a low price.
It's like, when it falls, no one takes over, and it goes down all the way.
Once the bears are in a hurry to withdraw their funds, they can only sell them at a low price.
The essence of baiting is to create such an atmosphere where you can get chips cheaper.
Some people must be curious, how to tell if it is a bait or a shipment?
To be honest, the two are not easy to judge on the board.
Because the interpretation on the board is that the bears sell a lot of chips, and the bulls are unable to defend themselves.
That is, even if the real bulls are baiting shorts, they will not be discovered by retail investors, or there are too many signals on the market.
If you keep an eye on the market, you can see that at some relative intraday lows, there will be chip denying.
But from a statistical point of view, there are basically not too many clues.
Because even if the main force takes the chips, it is quiet, and it will not be seen by retail investors in a simple way.
As long as it is a split order, it can easily hide from the eyes of ordinary retail investors.
When luring shorts, the main force must do its best to deceive retail investors until the chips are successfully washed.
Some people will also ask, if I just don't sell, what can the main force do with me?
It can only be said that you are not the main batch of chips to be washed, that's all.
The main force's lure is not for those who are dead bulls, but for those who chase the rise and kill the fall.
At different stages, the main force's short-baiting methods and chip-washing methods are not quite the same.
For example, the short inducement on the way up tends to not be too long.
Because the goal of the rise is to ship, if the time of the inducement is very long, it will lead to discouragement.
At this time, if you want to pull up the second market, it will be very difficult, or it will be very difficult to ship at a high level.
Popularity is the main force on the way up the most.
For example, the short intake on the way down tends to have a long period.
Because the lure on the way down, or as we call it, digging holes, is for the chips at the bottom, not for washing.
The collection of bottom chips does not happen overnight, but is a long and complex process that can range from months to years.
This kind of short inducement cannot be called short baiting in the strict sense, it is short in the real sense, and then start the layout.
The so-called short temptation refers to the fact that everything is in the hands of the bulls, but it gives people the feeling that it seems to be shrouded in the shadow of the bears.
The sign of the end of the short lure is, of course, a breakthrough in volume.
This means that the main force has done what it wants to do, the chips have returned to its hands, and it is about to get to work.
And the next stage to complete the short temptation is to pull up, or to start tempting more.
Lure and lure are intertwined, when you see the main force start to pull up, its goal is to pull up the shipment.
Temptation is more commonplace than temptation.
In the middle and late stages of the rise, basically the main force is luring more, not at the absolute high point of shipments.
Tempting long does not mean that the stock price does not rise, just like luring short, it does not mean that the stock price does not fall, which is a truth.
Lure refers to the fact that the main force is about to be shipped, but it still pretends to make retail investors think that it is buying in large quantities.
It seems that the buying orders are very sufficient, there are many buy orders, and the buy orders are very large, but in fact, the main force has secretly retreated by dismantling orders, disguised as retail investors.
The main force simply expects a giant yin at the top, accompanied by large-scale shipments, which is actually very difficult.
Most of the main forces, shipments are also quiet, and it is the norm to withdraw while pulling.
There are too many ways to lure the main force, and the most common one is a false breakthrough.
Theoretically, the stock price is at a relatively high level, and there is a breakthrough trend, that is, a new high, which is a proper positive.
But in reality, the temptation often appears in this case.
Especially for some small and medium-sized market capitalization stocks, the main force can cover the sky with one hand.
They don't have to worry about the chips they get at the top of their hands rotting, because they get the chips that they are facing down.
It seems that the lively is buying, but in fact, it has already fled wantonly.
Of course, the temptation of the main force is definitely not for those retail investors who are afraid of heights, but for retail investors who are chasing up and down.
When you find a stock that has hit a new high, but it is no longer rising rapidly, it is already tempting.
Because pulling up is about a blow, not repeatedly.
Stagflation at a high level is the most obvious manifestation of the luring market.
But for this most obvious, many retail investors still can't react.
When you find that the turnover rate at a high level is very high, and the funds seem to be still buying, buying, buying, buying, buying
Funds enter the market to make money, so the volume must rise, if it does not rise, it will form a natural selling pressure, and then plummet.
The T+1 trading system is the core of the temptation, and the risk of chasing up and buying in the morning is the highest, because it cannot be sold on the same day.
Especially in the latter part of the market, that is, after the continuous rise, you must be extremely cautious when entering the market, and it is easy to stand guard at a high position.
Finally, let's talk about reality.
The market is moving from a road of luring shorts to a road of luring long.
In March and April, when retail investors were unanimously bearish, the market was unable to ship, so they could only follow the short lure to cheat chips.
And when the market comes, and retail investors begin to flip more, the market will have an opportunity to ship, so there will be a temptation to buy a market.
The essence of the market is chips, and behind it is human nature.
So, don't believe what you see, it's right to sell high and buy low, and it's wrong to chase up and down most of the time.
It is the best policy to settle in the pocket, and it is much better to earn more and earn less than to lose money.