What is Short-Term Trading?

Short-term transactions refer to the actions of directors, supervisors, senior management personnel, and major shareholders of listed companies that buy listed companies' shares and then sell or buy them within the statutory period in order to obtain improper benefits. .

Short-term trading

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Word Count: 160000

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ISBN: 9787203068563

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The purpose of short-term trading is to maximize the use of funds to maximize profits. This is the fundamental purpose of short-term trading, because we are engaged in a long-term stock speculation rather than or never to win the company represented by this stock and share the profits that this company may bring.

Short-term and long-term do not guarantee you profit, no matter what time scale you choose to trade, you will make money or lose money.

The ideal short-term transaction is to buy at the bottom of each wave, throw at the top of each range of 2% to 10%, and then buy at the next bottom and then throw at the next top. whether

The trading behaviors that constitute short-term transactions include two consecutive buying and selling or selling and buying behaviors. In practice, which

(1) The requirements are different.

The different constituent elements are mainly different requirements for inside information. Securities transactions that do not use inside information are not insider trading. However, short-term trading does not take the use of inside information as a constituent element, as long as it is an insider, buy within 6 months

The amount of commissions for short-term operations affects your transaction costs to a certain extent. Many investors are more concerned about transaction commissions. Here is a simple example of different transaction commissions for everyone to see: A customer passed Discount.com account opening commission is 0.1% B. Client transaction commission is 0.2% C. Client transaction commission is 0.3% 1. If the amount of ABC funds is 100,000 yuan, 4 transactions per month, the commission is 0.1%, 0.2%, 0.3 Summary of transaction cost savings under three rates:

Trading customers	Amount of funds	Transactions per year	Annual transaction volume	commission	Annual transaction cost	Annual cost savings	Profitability from cost savings
A	100,000	48	9.6 million	1	9600	19200	19.2%
B	100,000	48	9.6 million	2	19200	9600	9.6%
C	100,000	48	9.6 million	3	28800	0	0%

2. If your amount of funds is 100,000 yuan, the transaction cost savings in the case of 20 transactions per month:

Trading customers	Amount of funds	Transactions per year	Annual transaction volume	commission	Annual transaction cost	Annual cost savings	Profitability from cost savings
A	100,000	240	48 million	1		96000	96%
B	100,000	240	48 million	2	96000	48000	48%
C	100,000	240	48 million	3	144000	0	0%

Short-term transactions are by no means easy, and short-term transactions are difficult to succeed without effective trading rules. ^[2]

First of all, short-term trading is also divided into two types: the trend method and the "speculation" method. Short-term trading is not exactly the same as "day speculation." The difference between the two is whether there is a "trend" concept. The speculators basically do not have a trend idea, and they deal exclusively with price fluctuations. And the short-term trading we are talking about here is still "trend" trading, but it is based on "short-term trends" compared to the long-term. For example, under the same indicator parameter settings, medium-to-long-term trading may be based on signals with larger periods such as daily and hourly charts; while short-term trading may be based on five-minute or even one-minute signals. The reason why we should pay attention to short-term opportunities is because the characteristics of current price fluctuations in the futures market have changed a lot, which is mainly reflected in the increase of the intra-day shock and the increase in the number of intra-day fluctuations. The increase in intra-day volatility has a great adverse effect on medium and long-term trading. Intra-day reverse volatility makes the risk of trend orders more difficult to control. From the perspective of opportunity, the sum of the three or four major intra-day volatility can exceed one wave. The magnitude of the medium-term trend is relatively large. In this case, the influence of short-term trends on profit and loss will be greatly strengthened, so it is necessary to study the short-term opportunities of the market.

According to our research on the characteristics of short-term fluctuations in the domestic market, short-term opportunities can be captured by the moving average and swing indicators of the short-period K-line. Specifically, the moving average is set to three of 60, 120, and 240. The swing indicator is selected as the slow KD. Parameters: 36, 5, 3, 5 .. For short-term opportunities, the 5-minute chart moving average system is used as the basic trend direction, and the 15-minute chart indicator high or low crossing is used as a greater level of constraint. For specific entry and exit, the 1-minute chart moving average breaks up three moving averages or breaks down three moving averages as the point selection. Its signal rules are basically the same as those of mid-to-long-term trading signals, that is, if the 15-minute indicator is high, the 1-minute chart A downward break can be short, otherwise the 15-minute chart indicator is a low gold fork, and the 1-minute chart is a break signal. The moving averages in the 5-minute chart are support or pressure references.

In addition to the signal of the indicator system of the K-line chart, there are two very important parameters for short-term trading, one is the opening price, and the second is the intraday price line. If the date price is low and high, then 10-15 after the opening Minutes have been kept above the opening price, and even if there is a short signal on the K-line chart, it is not advisable to rush into the market. The minimum condition is that the price must penetrate the daily average price line downward to be short. Conversely, when the date is high and low, the 10-15 minute price has been operating below the opening price after the opening. Even if there is a long signal on the K-line chart, it is not appropriate to open the position immediately. At least it must wait for the price to rise above the daily average price. Line to get started. There are usually two types of stop loss settings for short-term transactions. One is to use the moving average system as a stop loss when the price is close to the moving average system of the 1-minute chart; the other is to use the intraday average price or relative when the price is away from the moving average system of the 1-minute chart. High and low points for stop loss.

In addition, the timing of short-term trading is very regular. You must pay attention to four time points during the day when the market breaks or turns. They are around 9:10 to 15; after 10:30; the afternoon opens; the last is 2:10 in the afternoon. Points to 30 points. These four time periods are the time periods when the order is important. If the price turns short-term transactions in these four time periods, the reliability is high, otherwise the reliability is poor.