The legendary woman who was reborn from the ashes

Suddenly, more than 10 years have passed since I started trading. Only every trader knows the ups and downs, happiness, hesitation, hope and helplessness during this period.

Accompanied by the frustration of continuous small losses, the anguish of no breakthroughs, and this spiral of understanding and improvement, I finally gradually developed my own cognition and trading system.

Fortunately, since entering the stock market, Jiang Juan has always adhered to the trading philosophy that the strong will always be strong. This philosophy is the beacon that guides her from losses to profits in the stock market. The strong will always be strong is an eternal truth.

The strong will always be strong, which is the Matthew effect. There is a sentence in the Gospel of Matthew: "The strong will always be strong, and the weak will always be weak."

The name of the Matthew effect comes from a parable in the New Testament of the Bible, Matthew: "For whoever has, to him more shall be given, and he shall have an abundance; but whoever does not have, even what he has shall be taken away from him."

The Matthew effect refers to the phenomenon that the strong will get stronger and the weak will get weaker. It means that the strong will become stronger and the weak will become weaker, and the competition will become more brutal.

The Matthew effect is widely used in sociology, psychology, economics, education, culture, media, finance, science and other fields. The Matthew effect is a term commonly used by sociologists and economists, reflecting the social phenomenon of polarization, where the rich get richer and the poor get poorer.

1% of the world's population controls 99% of the wealth. The "Matthew Effect" is similar to the "/ Rule" and is a very important natural law. The ancient Chinese philosopher Lao Tzu once proposed a similar idea: "The way of heaven is to reduce the surplus and make up for the deficiency. The way of man is not the same. He reduces the deficiency to serve the surplus."

The same applies to our investment. We only need to include 1% of the excellent A-share companies into our investment portfolio. Then, in the long run, this portfolio can easily outperform 99% of institutions.

In the economic field, the "Matthew Effect" is manifested in that companies that have achieved economic success or have more resources are more likely to further expand their influence and profits. In other words, leading companies will become bigger and bigger and it will be difficult for other companies in the industry to surpass them.

For business development, the Matthew Effect tells us that if you want to maintain your advantage in a certain field, you must quickly expand in this field. When you become the leader in a field, even if the return on investment is the same, you can more easily obtain greater benefits than your weaker peers.

The same goes for stock selection. We should choose those companies that are already excellent. It is highly likely that excellent companies will continue to be excellent, while it is a low-probability event that junk companies will become among the Fortune 500. We cannot place our hopes on accidents, but rather on things that are more certain.

What we need to do is to accompany excellent companies in their growth, buy when it is time to buy, and sell when it is time to sell.

Therefore, whether it is value investment or short-term speculation, leading stocks are the benchmark of the market and the representative of the money-making effect. They will never go out of date and will never disappear.

The leading strategy is a strategy sought after by many short-term experts in the market, and it is also the strong form that short-term experts dream of pursuing.

Many investors who have grown rapidly from small capital have made huge profits by using the leading strategy in the short term. Therefore, if one can master a set of leading strategies and use them skillfully, it will bring unlimited profit space for short-term trading.

To learn the dragon head tactics, we must first understand what a dragon head is and its characteristics.

Popularity of leading stocks: Leading stocks must first be popular stocks, which are reflected in the top of the popularity rankings of various trading software and are prone to consecutive daily limit increases.

The influence of leading stocks: The rise and fall of leading stocks often have a herd effect on the rise and fall of stocks in the same industry sector.

The recognizability of leading stocks: everyone can understand at a glance what the recent strong stocks are.

All funds are prepared for the high expectations for hot stocks. After making a comprehensive judgment, they use market funds to continuously chase and continuously invest in hot stocks, and eventually they will become the market leader.

Brother Zhao, who has made 10,000 times in eight years, believes that "hot spots are money counting machines!"

The leader is first formed within the plate. When we look for the leader, we first look for it within the plate.

The leader is formed gradually, naturally formed through the survival of the fittest in the market, and is not destined from the beginning.

If a sector has a very good theme and is highly recognized by capital, and there are many stocks in the sector that hit their daily limit today, then leading stocks can easily form in this sector.

Grasping the rhythm and patience seem to be particularly important! When the market is bottoming out, only by choosing the mid- to long-term varieties with potential can you have the opportunity to make a steady profit!

However, we must be clear that what we are really pursuing is the strongest synergy in the market and the understanding of the nature of the market.

The strongest combined force is that when the market opens that day, all the funds in the market go in this direction. You must be able to understand it and see it.

In the stock market, every investor hopes to buy stocks that quickly reach the daily limit and double their investment profits.

(The previous chapters have shared the trading conditions and trading strategies of strong stocks)

If a very strong monster stock is not caught in the first wave, how to catch the second wave? This is the Dragon Turning Back Trading Strategy.

When a stock continues to rise, investors often sigh in despair, fearing that they will be trapped if they chase it. If investors master the technical points and operating skills of the "dragon turning back", they can avoid the possible losses caused by chasing high prices to a large extent.

Why can others lie back and make money in the monster stocks, while you are just sighing outside? The answer is that you don’t know how the leader enters the market.

The "Dragon Turning Back Strategy" refers to the situation where, after a sharp rise in the stock price, the main force has made huge short-term profits and the stock selling volume has increased. It is necessary to wash out some of the followers through washing the market, so as to collect more low-priced chips and prepare to continue to raise the stock price to obtain greater profits. At the same time, it also gives the bottom-fishing funds an opportunity to buy by operating the Dragon Turning Back.

Technical points of the Dragon Turning Back tactics:

1. The Dragon Turning Back Strategy must have continuous daily limit ups in the early stage, which means that the stock is a strong leading stock.

2. The initial upward movement in the Dragon Turning Back Strategy must be accompanied by a continuous increase in trading volume. During the retracement process, the trading volume is extremely reduced, indicating that funds have not withdrawn and a second wave of upward movement is brewing.

3. When the stock price closes positive again and breaks through a large number of highest prices, the Dragon Turning Back Strategy is established and it is also the best time to intervene.

Case 2021: iHealth, in the market conditions in November 11, each pullback and wash was in line with the Dragon Turning Back Strategy. The stock price rose from the first daily limit of 6.9 yuan to 88.88 yuan, with an increase of more than 46% in the 1000 trading days.

And if you catch every wave of the dragon's return, the profit will be more than 200%. There is no reason not to be salivating over these powerful increases and gratifying profits!

Case 2: Zhejiang Construction Investment, the market trend from February to May 2022, rose from 2 yuan to 5 yuan. The wave in April also conformed to the Dragon Turning Back strategy, with an increase of 7% in 47 trading days.

(The above cases are past tense and are not investment advice)

This is called a transition from weakness to strength beyond expectations.

This unexpected weak to strong situation is usually accompanied by a relatively large market trend. Weak to strong is an emotional bottom-fishing, so those who cannot grasp the emotions should be cautious in operation.

This is also why Jiang Juan must choose the investment philosophy that the strong will always be strong.

Investing is a process of continuous learning and practice. We need to constantly learn new knowledge and skills to improve our investment level. At the same time, we also need to constantly practice our investment strategies and principles, constantly summarize experiences and lessons, and constantly improve our investment methods.

The stock market has risks and fluctuations, but as long as we master the correct investment methods and techniques, we can get stable returns. We need to enjoy the investment process and enjoy the sense of achievement of success and joy through our own efforts and wisdom.