The full name of KDJ is random index, which was created by George Ryan. Its comprehensive momentum concept, strength index and the advantages of moving average have been applied to futures investment for several years, and the effect is quite remarkable. At present, it is one of the most commonly used indicators in the stock market.

Buying and selling principle:

1.K value crosses D value from the right to sell, and K value crosses D value from the right to buy.

2. High-end products have been cross-confirmed downward for two consecutive times. Low-end products have been cross-confirmed to rise twice in a row.

3.d value; 80% overbought; J> 100% overbought, J.

4. When the KD value hovers around 50% or crosses, it is meaningless.

5. stocks that are too speculative are not applicable.

6. You can observe the deviation between KD value and stock price to confirm the high and low points.