Xiaoyu, who was new to the stock market, once regarded the "Long Wick Candle" theory as his guiding principle, frequently participating in stock discussion groups, where he would hear calls of "Don't buy the dip without a Long Wick Candle" every day. However, when technology stocks faced an 18% fall in March, Xiaoyu insisted on the principle of "Not entering the market without seeing a Long Wick Candle," and as a result, he waited for half a month, only to see the stock price suddenly rebound without any signs of a Long Wick Candle. By the time the group began to call for "buying in," the best buying point had already been missed.

This experience prompted Xiaoyu to start reflecting on his investment strategy. When consumer stocks adjusted in May, he decided to adopt a new approach. By studying analysis reports, he noticed the conclusion that "the industry prosperity is recovering" and observed that the "chip distribution chart" showed a decrease in trapped positions. Although the candlestick chart still presented a downward trend, Xiaoyu followed his planned schedule to buy in three batches.

After building his position, the stock price fell by another 3%, and his friends in the group mocked him, saying "Not understanding technical analysis will definitely lead to losses." However, two weeks later, the consumer sector suddenly strengthened, and the stocks he held rose by 20%. Throughout the entire process, there was no so-called Long Wick Candle phenomenon. When Xiaoyu shared his gains in the group, he reflected: "In this year's market environment, it seems that the main funds are operating in the opposite direction. Retail investors wait for Long Wick Candle signals, while they directly push up the prices. Instead of passively waiting for technical signals, it's better to pay attention to the fundamentals and changes in chips, as these factors are the hardest to deceive."

Xiao Yu's experience tells us that blindly following a certain theory or indicator in the investment market can bring risks. True investment wisdom lies in a comprehensive analysis of the market, making judgments based on multiple factors. From over-relying on a single indicator to focusing on the industry's fundamentals and capital flows, Xiao Yu's investment approach has gradually matured. This transformation not only helped him achieve considerable returns in the short term, but more importantly, it cultivated his ability to think independently, laying a solid foundation for his future investment journey.