The KDJ indicator consists of three lines: K, D, and J. K is the fast line, D is the slow line, and J is the direction-sensitive line. When the K line crosses the D line upward, a golden cross is formed, which is A buy signal, when the K line crosses the D line downward, forming a dead cross, it is a sell signal.

When the K line and D line are generally between 0-100, when the D line is greater than 80, it means more stocks are bought, and when the D line is less than 20, it means more stocks are sold. When the K line When the D line and the D line are at a high or low level, but the stock price deviates, it may be a signal for a market change.

Extended information:

1. The position operation mode formed by the three curves of the KDJ indicator has three forms of expression, they are:

1. High position operation mode;

2. Low position operation mode;

3. Middle position operation mode.

2. If the buying and selling signals sent by the KDJ indicator are quantitatively subdivided, they are:

1. When the K value gradually becomes larger than the D value from a small value, it will be displayed on the graph. The K line crosses the D line from bottom to top, indicating that the current trend is upward. When the K line breaks through the D line upward on the graph, it is a buy signal.

2. When the K value gradually becomes smaller than the D value from a larger value, and the K line crosses the D line from top to bottom on the graph, indicating that the current trend is downward, then the K line on the graph is downward. When it breaks through the D line, it is a sell signal.

Considering only from the cross aspect, the relationship between K value and D value is just like the relationship between moving averages, and there are also death cross and golden cross.

However, the cross application of KDJ indicator is relatively complicated. It comes with many conditions. Not any cross can be used as a signal for buying and selling transactions. It also needs to refer to other conditions.

3. If the operating position of the KDJ indicator is quantitatively subdivided into overbought and oversold, they are:

1. The K line is a quick confirmation line - the value is 90 Above is overbought, and a value below 10 is oversold.

2. Line D is the slow main line - a value above 80 is overbought, and a value below 20 is oversold.

3. The J line is a direction-sensitive line - if the value is greater than 100, it is overbought, especially if it is greater than 100 for more than 5 consecutive days, the stock price will at least form a short-term head. On the contrary, if the value is less than 0, it is oversold, especially if it is greater than 100 for more than 5 consecutive days. If it is less than 100 for more than 5 consecutive days, the stock price will at least form a short-term bottom.