Consolidation occurs not only at the top or bottom, but also in the process of rising or falling. According to the different stages of stock price movement, it can be divided into four situations: upward consolidation, downward consolidation, high-grade consolidation and low-grade consolidation.
Upward integration
The consolidation in the rise is that after a period of rapid rise, the stock price takes a break and then goes up again. The corresponding rise in the early stage is often a rapid rise after weakness. Judging from the trading volume, the price increase has increased. In the consolidation stage, the volume of transactions has not shrunk. Although profit-taking has been thrown out, the buying spirit is strong enough to repel the empty side. This consolidation generally appears in the form of wedge-shaped and flag-shaped finishing.
Integration in recession
The consolidation in the decline is that the stock price stabilizes slightly after a period of decline, rebounds slightly, and then turns around again. The corresponding early decline was hit by bad news, and consolidation was just an empty strategy for rest. The share price rebounded slightly, but it could not withstand the air attack, and the share price fell again. Judging from the volume of transactions, the price decline has increased.
High-level consolidation
High-level consolidation means that after a period of rising stock price, the rising price stagnates, the stock price fluctuates, the energy of many parties is exhausted, the stock price is high, and the room for rising is limited. Dealers are gradually shipping at the head. Once the main force retreats, the stock price will break through in one fell swoop. This consolidation generally occurs in the form of rectangular and circular tops.
Low consolidation
Low-level consolidation refers to the stock price hovering at the bottom after a period of decline. Coupled with the emergence of Lido, popularity gradually gathered, and market funds did not withdraw. As long as the stock price no longer falls, they will enter the market one after another, and the main bookmakers will continue to absorb cheap chips in the market, and the floating chips will decrease day by day, reducing the pressure on the file. Many parties are ready for this. When this happens, the plate will break upward. This consolidation will generally appear in the form of rectangular and circular bottoms.