One day, the ancient Greek scholar Socrates led a few disciples to the edge of a wheat field. It was the season of maturity, and the field was full of heavy wheat ears. Socrates said to his disciples, "Go into the wheat field and pick the largest wheat ear, only allowed to go in and not allowed to go back. I will wait for you at the end of the wheat field."

After understanding the teacher's requirements, the disciples entered the wheat field one after another.

The field was full of large wheat ears everywhere, which one was the largest? The disciples walked forward with their heads down. Look at this one, shake their heads; look at that one, shake their heads again. They always thought that the largest wheat ear was still ahead. Although the disciples also tried to pick a few ears, they were not satisfied and casually threw them away. They always thought that there were still many opportunities, and there was no need to make a decision too early.

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The disciples walked forward with their heads down, carefully picking and choosing, and after a long time.

Suddenly, everyone heard Socrates' old and loud voice, like a bell: "You have reached the end." At this time, the disciples with empty hands suddenly woke up.

Socrates said to his disciples, "There must be a largest wheat ear in this wheat field, but you may not be able to meet it; even if you meet it, you may not be able to make an accurate judgment. Therefore, the largest wheat ear is the one you just picked."

Socrates' disciples heard the teacher's words and realized such a truth: a person's life is also like walking in a wheat field, also looking for the largest wheat ear. Some people see the full-grained "wheat ear" and pick it in time; some people look around and miss the opportunity again and again. Of course, the pursuit should be the largest, but holding the wheat ear in front of you is the most real.

In the stock market, there are rising stocks every day, and there are opportunities to make money every moment, just like a wheat field. Every investor hopes to pick the largest wheat ear, but after a wave of the market, many people are empty-handed or even lose money. The reason is that they lose on their mentality. They keep chasing hot spots, constantly looking for dark horses, constantly changing stocks, constantly chasing rises and killing falls. They always want to find the largest wheat ear, but in the end, they often get nothing, and opportunities and time pass quietly in their chase of rises and kills.

As a mature investor, you must have a mature mentality and always remember: the wheat ear in your hand is the largest, be down-to-earth, don't be ambitious, and only earn the profits that belong to you.Volume and price are very commonly used foundational indicators, but for technical analysis, the analysis of volume is particularly important. Why is that the case? Because the basic principle of the volume-price relationship theory is "volume is the cause, price is the effect; volume comes first, price follows," which means that trading volume is an intrinsic factor in the fluctuation of stock prices. The volume-price relationship theory holds that there is a certain important relationship between the rise and fall of a stock's price and the amount of trading volume.

Therefore, investors can analyze the volume and price to judge the situation and market sentiment, and then trade stocks. Based on different time periods, different stock patterns, and changes in trends, the volume-price relationship can generally be divided into:

- Price rises with increasing volume

- Price rises with decreasing volume

- Price rises with stable volume

- Price is flat with increasing volume

- Price is flat with decreasing volume

- Price falls with increasing volume

- Price falls with stable volume

- Price falls with decreasing volume.

On the basis of volume-price analysis, the rise in stock prices requires continuous inflow of funds that are bullish and chasing higher prices, forming a situation where both trading volume and stock prices rise. Since A-shares have a one-way market, when stock prices fall, funds withdraw and sell to avoid risk.

There is a certain intrinsic relationship between the rise and fall of a stock's price and the size of its trading volume. Investors can analyze this relationship to judge the situation and trade stocks.

Let's now delve into the application techniques of the volume-price relationship in the A-share market:Translate the following article into English: (1) Volume increases, price remains stable, a bullish signal:

After a continuous decline in the stock price to a low area, an increase in trading volume and a stabilization of the stock price occur, indicating that the main force is buying in, which is a medium-term bullish signal. It is possible to buy in moderation and hold the stock for appreciation. Sometimes "volume increases, price remains stable" also appears in the middle of an upward trend, and the market is generally expected to continue after consolidation.

(2) Volume increases, price rises, a buy signal:

The trading volume continues to increase, and the stock price trend also turns upward, which is the best buy signal for short and medium terms. "Volume increases, price rises" is the most common pattern of bullish active attack, and it is necessary to actively enter the market to buy and dance with the market.

(3) Volume remains stable, price rises, continue to buy:

The trading volume remains at an equal level, and the stock price continues to rise, and it is possible to participate in it in a timely and appropriate manner during the period.

(4) Volume decreases, price rises, continue to hold:

The trading volume decreases, but the stock price continues to rise, and it is appropriate to continue holding the stock. Even if the lock-up phenomenon is good, it can only be a small amount of short-term participation, because the stock price has already risen significantly and is close to the end of the rise. Sometimes "volume decreases, price rises" also appears at the beginning of the rise, which may be a flash in the pan, but there is still room to rise after the volume is supplemented.

(5) Volume decreases, price remains stable, a warning signal:

The trading volume significantly decreases, and after a long-term and large increase in the stock price, it undergoes horizontal consolidation, which is a warning signal for selling. At this stage, if a huge volume suddenly pulls out a big Yang or Yin line, there is a certain risk.(6) Declining volume and falling prices signal to sell:

As the trading volume continues to decrease and the stock price trend starts to turn downward, this is a signal to sell. Generally, a decline without volume indicates that the bullish sentiment has not yet been extinguished, and the decline will not stop until the bulls completely lose confidence and cut their positions to accept the loss, resulting in a significant increase in trading volume (see stage 8), and the decline will stop.

(7) Stable volume with falling prices, continue to sell:

When the trading volume stops decreasing and the stock price slides sharply, this phase should continue to adhere to the policy of selling early, and avoid buying to be cautious of "falling knives cutting hands."

(8) Increasing volume with falling prices, abandon selling and wait and see:

After a long period of significant price decline, an increase in trading volume should be approached with caution towards the extreme panic of "selling off." The principle of operation in this phase is to give up selling and wait and see with an empty position. An increase in volume in the low price area indicates that there is capital taking over the positions, which is worth paying attention to. Sometimes, if "increasing volume with falling prices" appears at the beginning of the trend reversal, it is advisable to clear the position decisively.

Volume-price relationship application mantra:

1. When at a high position with no volume, hold on, even if it's wrong to hold on.

High position refers to the stock price being at or near its historical high. A high position with no volume and a horizontal trend is a typical continuation pattern of an upward trend, and it is not advisable to exit lightly at this time.2. Run at high volume, even if it's a mistake.

After a significant increase, when a stock's price is at a high level but the trading volume keeps increasing while the price remains stagnant, it indicates the phenomenon of high volume with flat price, which is likely a sign that the main force is starting to sell.

3. Wait at low volume, even if it's a mistake.

Low volume is because the main force is not yet ready to lift the price; once the volume increases, it is the time for a significant rise.

4. Follow at low volume with high turnover, even if it's a mistake.

Low volume with high turnover is a good sign, usually indicating that capital is entering to accumulate shares, and the probability of a price increase in the later stage is high.

5. Increasing volume with flat price, turning bearish.The trading volume has effectively increased, but the stock price does not rise proportionally, which is usually a signal of a downward trend.

6. Volume increases, price rises, buy

This is a relatively common positive signal to buy.

7. Volume stable, price rises, add position

Under the game of bulls and bears, once the trading volume appears to increase rapidly, it indicates that the bulls have won in the game, and the main force begins to enter the market to build positions.

8. Volume stable, price falls, exitThe stock price continues to fall, but the trading volume has not decreased accordingly, which is likely that the main force has already started to escape, and investors should also exit in time.

Volume-price relationship application experience:

1. In the early stage of building positions, the main intention is to absorb more chips at a low price, and the trading volume will generally increase gently, and the stock price will show a small continuous positive or small continuous positive pattern;

2. In the middle stage of the plate, the main intention is to increase the position to push high and leave the cost area and cultivate the opponent's plate, the trading volume will show a continuous and irregular increase, and the stock price will continue to rise step by step;

3. In the late stage of the plate, the main intention is to create an opponent's plate to distribute the chips in hand, the trading volume will continue to maintain at a high level in a regular manner, and even release a huge volume, while the stock price will be flat or probe down.

Therefore, when studying the volume-price relationship at the K-line level, based on the fundamental description of the red characters above, finding the entry and exit points of the main force funds is a complete K-line level volume-price analysis.

In the stock market, we often talk about position control. The problem of stock selection and buying and selling, but specifically on the plate, transactions must be realized through the two operations of "buy" and "sell", buy low and sell high, and earn more price differences.

How to choose the correct buying and selling points?

The author has made twelve figures to help everyone understand the correct choice of buying and selling points.

First, we need to understand some background knowledge: technical analysis, the choice of the correct buying and selling points is mainly based on the support and pressure points for selection.Firstly, most buying points are chosen when the stock price retraces to the vicinity of the support level. The support level has a certain supporting effect on the stock price, which comes from the force of short covering and psychological support. Buying stocks at the support position, compared to other positions, is less likely to fall in price. The probability of losing money is relatively smaller, and in turn, the probability of making money is greater, and the risk-reward ratio is appropriate.

Correspondingly, the choice of selling points is mainly near the resistance level, because the resistance position often forms a certain pressure on the rise of the stock price. When the stock price reaches this resistance level, it often stops rising, often appears to adjust or fall, and forms some phased high points. It is worth noting that selling is also divided into reducing positions or clearing positions. If the stock held is just near the resistance level, but the upward trend is still there, then reduce the position appropriately, pocket some profits, and mainly reduce risk. However, if the individual stock has reached the resistance level, encountered more chip resistance, and the upward trend is lost or the important support line is broken, then it is necessary to choose to clear the position and sell to avoid risk.

In addition, the support level is generally the neckline of the broken pattern, the upward trend line, and the important moving average, etc.; while the resistance level is generally near the previous high, the previous dense transaction area, the neckline of some unbroken patterns, the important moving averages above, and so on.

Next, we will elaborate on the correct trading choices from all possible trajectories of a single stock.

1. Do not do the downtrend. Even if the stock price keeps oscillating during the decline, for us, this is illusory. Our only choice is to be bearish, and never hold too much hope for a stock in a downtrend, even if it was the leader before. Once the downtrend is established, no one knows where the end of the decline is.

2. When a stock in a downtrend completes a shock and refuses to appear new lows, and rises again (and is broken through), it means that the bearish force is weakening, and the market is temporarily balanced, but at this time, there is no need to rush to buy, in case the shock continues to return to the downtrend.

3. After the stock appears to be balanced between bulls and bears, the future trend of the stock price is nothing more than three possibilities, up, down, or horizontal shock, but no matter what, the final direction will come out, remember the following three trends.4. The first possibility after adjustment is that the stock price breaks upward, which means that the bulls begin to reverse the bear trend, ending the adjustment state. Sensitive operators should enter the market to go long at the moment when the individual stock breaks through, buying the stock.

5. When one day the stock price no longer sets new highs and encounters obvious resistance that cannot be broken through, for our operations, it is time to take profits and exit. The green circle 1 in the figure below is a reasonable point to reduce positions, and the green circle 2 is the point to completely clear out of the position.

6. The second possibility after adjustment is that the individual stock shows a horizontal fluctuation near the support level. In this case, it is suitable for us to use a small position, relying on the support and pressure lines, to sell high and buy low, operating within the box. However, such operations often yield low profits, and there is a risk of making the wrong direction if the market chooses a direction.

7. The third possibility after adjustment: see the trajectory of the green line in the figure below, which indicates that the market is temporarily in a balance between bulls and bears, just a process of the bears gathering momentum. This is a trend of a falling continuation, and the stock price may continue to fall in the future. At this time, one should decisively sell when the support line is broken.

8. It is best not to make too many position actions when the market has not chosen a clear direction, frequent box operations can easily lead to an increase in costs, which are not easy to grasp. For those who are empty-handed, they should patiently wait without choosing a trend.9. Let's take a look at the classic selling point one.

10. The classic selling point two.

11. Now, let's examine the classic buying point one.

12. Overall, the correct choices for buying and selling are shown in the figure below, where the red points represent the correct buying points, and the green points represent the selling or reducing positions. This chart includes the four stages of a stock from the bottom - lifting - top - falling.

"Patience is the hallmark of a great person; one's character is elevated through endurance in all matters. Nobility lies in kindness; accumulating virtue and doing good deeds is the way to nobility. Excellence is in understanding; comprehending life thoroughly makes one outstanding. A hero is not determined by success or failure, but by their actions and dedication."

In one's life, it may seem like there are countless investment opportunities, but truly worthwhile opportunities are very few. It's not just about understanding one's own capabilities and whether Mr. Market is acting irrationally; the most difficult part is, are you willing to miss out? Will you compromise and settle for less because the opportunity has not yet appeared?This is no longer a matter of greed, fear, and perseverance; it is a tranquil state of mind of "not competing."

Investing is not a flat race, but a vertical climb. Being faster than others does not necessarily mean success, as a single misstep can erase all achievements. For a peak that has almost no end, the significance of being ahead is minimal. The most important thing is to ensure that every action complies with safety standards, avoiding dangerous routes and unfavorable environments. Forgetting the precipice beneath one's feet in the pursuit of a temporary ranking is the most foolish thing to do.

Successful investors usually have a good strategic vision, and they are more willing to think about issues that have a decisive impact on the long-term future. Ordinary people, on the other hand, can be excited by a single day's surge, ignoring the overall failure. When a person considers issues on a 10-year cycle, he will possess the future. If one is only accustomed to considering tomorrow's problems, he is doomed to only harvest the continuation of yesterday.

Investing has never been a simple matter, and no one can succeed casually. The vast majority of investors enter the market to make quick money, but in reality, haste makes waste.

Your investment method, the unity of knowledge and action, comes from a stronger inner self.

Those who achieve excess returns in this market over the long term must have an upright set of values and must be able to overcome the weaknesses of human nature. We should maintain a reverent attitude towards ourselves. A boss who can make money in business must be very confident, but not overly arrogant, not unable to see their own abilities, and not unable to weigh their own strength.

Success is not innate. They emerge from failure. If you do not have the courage to experience and face failure, you will not develop the mindset of a successful person.

I believe that the personal qualities necessary for successful stock investment should include: patience, self-reliance, common sense, tolerance for pain, open-mindedness, detachment, perseverance, humility, flexibility, willingness to conduct independent research, the ability to admit mistakes proactively, and the ability to remain calm in the face of widespread market panic without being affected. To achieve success in stock investment, a very important personal quality is the ability to make investment decisions when the information obtained is incomplete, insufficient, and not entirely accurate.

The above is a summary of my stock trading experience. I am also an ordinary person who entered the market and moved from losses to profits step by step, so I empathize with your current situation. I spent several hours organizing my personal experiences and feelings over the past few years. Reviewing the past to gain new insights is both a review and summary of my own experiences over the years, and I sincerely hope to be helpful to all my fellow stock traders.