What do you mean by adding positions and covering positions?

Masukura refers to the behavior of continuing to buy a stock because it continues to be optimistic in the process of its price falling or rising.

Adding positions is usually pyramid method. Take the bulls as an example, and buy some at the bottom, such as 80 lots. When the market reaches a certain position, buy 60 lots, then buy 40 lots when it rises again, and so on. In this way, because the number of low positions is always more than that of high positions, you can always ensure that your position cost is lower than the average market price. When you think the market is going to turn around, you can just level it once or twice-pay attention to leveling it as soon as possible.

Covering the position refers to the buying behavior in order to reduce the cost of the stock because the stock price falls.

Covering positions is a passive contingency strategy after being locked up. It is not a good method to solve the problem in itself, but it is the most suitable method in some specific situations. Buy stocks at a lower price, so that the unit cost price drops, with a view to rebounding and throwing out after covering positions, and make up for the losses of high-priced stocks with the profits earned by buying stocks after covering positions.

Stocks that were originally bought at a high price are difficult to return to the original price because they have fallen too deeply. By covering the position, the stock price can be closed and will not rise to the original high price.