Be sure to judge the top and bottom of the band by the daily line or at least the 60-minute line It's the basic principle of judgment that it will rise if it falls for a long time, and fall if it rises too much. If the band is long, it must be based on the previous decline, and the band is short, it must be based on the previous wave of rise. Never chase up or down on the way. Large periods set the general direction, and other small periods set the starting point.
It is recommended to understand the fundamentals and make your own analysis and judgment on emergencies. It is recommended to use two or three varieties at most for band trading. Big mouthfuls often choke.
The top and bottom of the band are an interval, so don't stick to buying at the lowest point or selling at the highest point, so opening positions in batches is still the first principle.
It can best test the trader's position mentality and trading skills. In particular, if the stop loss is set low, it will often be swept away, and if it is set high, it will cause unnecessary losses.
Pay special attention to the prompt of the indicator. Indicators are not omnipotent, but a follow-up reflection of the market K-line, but a good indicator can bring some auxiliary reference to our analysis.
When the market reverses, the iconic reversal K line will inevitably appear.
Futures, whose English name is futures, is completely different from spot. Spot is actually a tradable commodity. Futures are mainly not commodities, but standardized tradable contracts based on some popular products such as cotton, soybeans and oil and financial assets such as stocks and bonds. Therefore, the subject matter can be commodities (such as gold, crude oil and agricultural products) or financial instruments.
The delivery date of futures can be one week later, one month later, three months later or even one year later.
A contract or agreement to buy or sell futures is called a futures contract. The place where futures are bought and sold is called the futures market. Investors can invest or speculate in futures.
Futures market first appeared in Europe. As early as ancient Greece and Rome, there were central trading places, bulk barter transactions, and trading activities with the nature of futures trade. The original futures trading was developed from spot forward trading. The first modern futures exchange 1848 was established in Chicago, USA, and 1865 established a standard contract model. In 1990s, China Modern Futures Exchange came into being. There are four futures exchanges in China: Shanghai Futures Exchange, Dalian Commodity Exchange, Zhengzhou Commodity Exchange and China Financial Futures Exchange. The price changes of its listed futures products have a far-reaching impact on related industries at home and abroad.