Popular Science in the Currency Circle: An article explaining what washing means

Washing the market refers to the method used by the main players in the currency circle to clean up floating chips and retain high-quality investors through market fluctuations. The specific process includes: opening a position to pull up, shock and wash, rebound and pull up, shock and wash again, and break through to the upside. The purpose of the wash is to remove floating chips, scare retail investors, and prepare for a new round of rise. To identify market washes, you can observe factors such as price shock patterns, changes in trading volume, and news.

What does washing dishes mean?

Washing the market in the currency circle refers to the market maker or main funds buying and selling at high and low prices to fluctuate the market, forcing investors with unstable currency holding psychology to sell their chips, thereby achieving the purpose of washing away the floating chips in the market.

The specific process of washing the market:

1. Building positions and raising prices: The main force collects chips at low prices in the early stage, and then raises prices to attract retail investors to follow suit and buy.
2. Shock wash: As the price rises, the main force sells some chips to create the illusion of a decline, forcing retail investors who are psychologically unstable to sell.
3. Rebound: After retail investors sold, the main force entered the market again to buy, pushing up the price, creating the illusion of making money for retail investors, and attracting more retail investors to follow up.
4. Another shock and wash: After rising for a period of time, the main force once again threw out chips, creating a downward panic and further washing away the floating chips.
5. Breakthrough to the upside: After the washout ends, the main force will concentrate funds to break through the resistance level and start a new round of rising market.

What is the purpose of washing dishes?

• Clear the floating chips in the market, leaving investors with confidence and patience.
• Shock retail investors so that they dare not easily follow the trend and speculate.
• Prepare for a new uptrend and reduce resistance.

How to identify dishwashing?

• The price fluctuates repeatedly within a specific range, forming a box or triangle pattern.
• Trading volume is relatively low during the shock period, but volume will increase at key points.
• There is no obvious good or bad news in the news.

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