ST stock selection method:
First, st shares often move in the opposite direction of the broader market . When the market is strong, ST shares are generally weak. When the broader market continues to plummet, ST shares are in an active state, which is the most appropriate time to speculate on ST shares in a weak market.
Second, at the end of each year and at the beginning of the second year, this time coincides with the release of performance forecasts and annual reports of listed companies . This period is also when ST stocks are more active, and there are often some big dark horses, so we must actively intervene in this period.
Third, the trend of ST shares has certain continuity, often showing the phenomenon of continuous rise or continuous decline. In the future, the daily limit of the second and third boards will be displayed at will when the daily limit is displayed, and the same will be true for the lower limit. Therefore, once a certain ST stock shows the daily limit, it can participate in real time after analyzing the basic level. In addition, if it shows a limit down, it is necessary to stop losses in real time to avoid extending losses.
Fourth, there is a huge linkage effect between ST stocks, which is manifested as a mixed phenomenon. Therefore, when ST stocks rise together, you can choose those ST stocks that have not had time to rise in time to follow up.
Fifth, the volatility of ST shares is more affected by the policy than the strength, and is often negatively affected to a certain extent, showing an overall decline. This time often means a chance to come, because some ST stocks have improved, and the negative impact is actually very limited. Future plunges tend to show stronger rebounds, so take courage to intervene at this time.
Sixth, we should treat STs who take off their hats differently. Some ST shares can turn losses into profits by improving their own production and operation. Such stocks will be in the spotlight in the future, with investors stepping in when prices are lower.
Seventh, all of your own stock purchases must be based on stock selection principles that suit you. If there are stocks with the above market opportunities but no suitable investment style, it is necessary to judge whether to intervene at this time, so as to minimize the risk.