2. The trading volume gradually decreases and the positions gradually increase. This situation is often a precursor to the coming of a big market. At this time, the forces of both long and short sides and the external factors of the market work together to make the market reach a balance in the dynamic. Because the price fluctuation range is gradually balanced, short-term funds are unprofitable. The follow-up trend of this situation is fierce, and there are few false breakthroughs. Investors should do a good job in fund management.
3. The trading volume is gradually increasing, and the positions are gradually decreasing. This situation generally occurs in the process of a market relay, and is accompanied by the phenomenon of killing more and more. Because the market is beneficial to one of the long and short sides, the other side has fled and their positions have gradually decreased. However, the rapid movement of prices provides a good opportunity for short-term speculation, so short-term funds will actively intervene.
4. The trading volume decreases gradually, and the positions decrease gradually. This situation mostly occurs at the end of a wave of market, and the synchronous contraction of trading volume and positions proves that both long and short parties or one of them lose confidence in the market outlook and the funds are gradually withdrawing. If this situation continues to develop, it will provide favorable conditions for the intervention of new funds and become a precursor to change.