How to judge the low unimodal dense chip as the main control board?

In the chip distribution map, the low concentration often presents as a low concentration peak, which indicates that with the continuous decline of the stock price, the chips with high quilt cover in the previous period have not dried up at last, and began to rebound or "cut meat" out of the low position in the downward trend, making the chips shift from the high position to the low position on a large scale, forming a low concentration state of chips. When most of the stuck chips are transferred from the high position to the low position, the upper resistance is greatly weakened, while the lower kinetic energy is gradually enhanced, and the stock price is likely to rise next.

First, the analysis of chip cost distribution is an important means to judge the dealer's trading intention, expand its trading profit level and prevent the risk of stock price fluctuation in advance. We try our best to approach and simulate the actual chip distribution in the market through mathematical models. Although we can't know everyone's cards, we can know most of others' cards.

Many stock analysis software (such as Tong Daxin) provide two COST functions, Cost and WINNER, for customers to quantitatively describe the market, thus providing a free and open platform for chip cost distribution analysis.

Second, the function of COST and profit.

1. Cost and winner are two opposite functions. COST estimates the price according to the profit-making disk, and WINNER estimates the profit-making disk according to the price. Flexible application of these two functions can quantitatively analyze and calculate the cost.

2. Cost (n): cost allocation.

Significance: Calculate the cost distribution. It indicates the price of N% chips (which can be regarded as a profit-taking disk) on that day, that is, N% chips are below this price, and the rest (100-N)% chips are above this price. The reason for this calculation is to obtain a clearer market cost composition through specific numerical analysis.

3. If we use COST(50) to represent the average cost, then COST(95)- COST(5)/COST(50) means that 90% of the cost is distributed in a certain range near the average cost, which describes the density of cost distribution and we call it chip concentration.