classify
According to the length of time, the average can be divided into short-term, medium-term and long-term. Comprehensive observation of long, medium and short-term moving averages can judge the multiple tendencies of the market. If the three moving averages rise side by side, the market will be long; If it falls side by side, the market is short.
The characteristics of folding and editing this paragraph
The moving average has the characteristics of helping up when it goes up and helping down when it goes down. The stock price breaks through the moving average from below, and the moving average begins to move up, which can be regarded as the support line of bulls. When the stock price falls back to the moving average, it will be supported, which is the buying opportunity. This is the characteristic of the moving average. After the stock price rises or falls slowly, the moving average will slow down. When the stock price returns to the vicinity of the moving average, the moving average has lost its characteristics of boosting. At this time, it is best not to buy it.
On the other hand, when the stock price falls below the EMA from above, the EMA will move down and become a resistance line for bears. When the stock price rises near the moving average, it will be resisted, which is the selling opportunity. This is the characteristic of average. After the stock price slowly falls or rises, the moving average will slow down. When the stock price returns to the vicinity of the moving average, the moving average has lost its characteristics of helping to fall, so there is no need to rush to sell at this time.
computing formula
1.N moving average = sum of daily closing prices /N (i.e. arithmetic average)
2. Set multiple moving averages, with general parameters set as N 1 = 5, N2 = 10, N3 = 20, N4 = 60, N5 = 120 and N6 = 250.
Application rules for folding and editing this paragraph
This paper focuses on the famous Gramby's law.
1. The moving average gradually changed from falling to leveling, and the price broke through the moving average from below.
Moving average
Buy signal.
Although the price fell below the moving average, it immediately rose back to the moving average. At this time, the moving average continues to rise, which is still a buying signal.
3. The price trend is on the average line, and the price decline does not fall below the average line and immediately reverses and rises, which is also a buying signal.
4. If the price suddenly plummets, falls below the moving average and stays away from the moving average, it may rebound and rise, which is also a buying opportunity.
5. The average line gradually turns from rising to falling, and the price falls below the average line, which is a selling signal.
6. Although the price broke above the average, it immediately fell below the average. At this time, the moving average continues to decline, which is still a selling signal.
7. The price trend is below the average line, and the price rise does not break through the average line and immediately reverses and falls, which is also a selling signal.
8. If the price suddenly soars, breaks through the average line and is far from the average line, it may rebound and fall back, which is also the time to sell.
Pay attention to key points
1. When using MA, different parameters are usually used at the same time, not just one. According to different people, there will be some differences in the selection of parameters, but they all include long-term, medium-term and short-term MA. Long, medium and short are relative, and you can decide for yourself. In the domestic stock market, the commonly used EMA combinations are 5 days (yellow), 10 days (purple), 30 days (green), 60 days (white), 120 days (blue) and 250 days (red). The 250-day long-term moving average is the dividing line between bull market and bear market.
2 MA, EXPMA and VMA can be used together to judge the market more accurately.
Essentials of MTM analysis 1. The application of MTM index should be combined with other technical indexes for joint analysis.
2. Generally, when the stock price rises, the momentum value will also rise. In the absence of other non-technical influences, MTM can generally reflect the speed of stock price changes.
3. Cooperate well with horses. The main methods are as follows: when the stock price rises, the MTM downward curve intersects with the MA upward curve, and the short-term strength is strengthened, so investors should sell the stock in time at the intersection; When the stock price falls, when the MTM rising curve crosses the moving average falling curve, the short-term strength weakens. At the crossroads, investors should buy stocks. When used with horses, the period is generally 10 day.
4.MTM breaks through the 0-line position from bottom to top as a buying signal, and breaks through the 0-line position from top to bottom as a selling signal. If the stock price keeps hitting new highs and MTM fails to keep up with the rise, the market may reverse. The stock price keeps bottoming out, and MTM fails to cooperate with the decline, which is also a deviation phenomenon, so we should pay attention to bargain hunting.
3. Two or more average lines cross upward, which is suitable for buying, and two or more average lines cross downward, which is suitable for selling. Moving average
Comprehensive application of indicators
65438 +0. The OBV indicator fluctuates in a narrow range at the bottom for a long time (more than one month), almost in a straight line or zigzag trend (the straighter the curve, the longer the time, the bigger the market outlook). Suddenly one day, the OBV line rose from the ground, cleanly breaking through any high point in the straight line or zigzag trend, with great strength (more than 45 degrees and less than 80 degrees).
2. The 2.WVAD index fluctuates in a narrow range up and down the 0 axis for a long time (more than one month), almost in a straight line or zigzag trend (generally fluctuating between-100~+ 100). The closer to the 0 axis, the straighter the curve, the longer the time, and the greater the increase in the market outlook). Suddenly one day, the WVAD line broke through any high point in the straight line or zigzag trend cleanly from the 0 axis, with great strength (above 45 degrees and below 80 degrees).
3. In terms of trading volume, the trading volume of the day was more than 80% of the average trading volume of the previous day or the fifth day, and the average trading volume of the fifth day was greater than or close to the average trading volume of 10, and the off-exchange funds were obviously involved.
On the 5th of April, the MA of Golden Fork 10 (or the MA of Golden Fork 10 on the 5th, or the MA has been running on the MA of 10 on the 5th), and on the 30th, the MA leveled off or moved up, showing a multi-head arrangement.
Market significance:
The biggest advantage of this set of signals is to find a big market and catch a big black horse, which is most suitable for long-term sideways and solid stocks at the bottom. Most of this trend has been brewing for a long time, and it is extremely explosive. It is often hard to imagine the rising space, so it is considered as the tranquility before dawn. Experience has proved that some stocks have doubled in a short time (1~3 months) and some have doubled in more than half a year when trading with this set of signals. If you can make more money by doing bands, focus on a few such stocks and do bands back and forth. In fact, it is enough to fry a few stocks a year.
It should be pointed out that we don't want to double every stock. What we want is that the bookmaker will immediately pull up and follow up, so as to get the maximum benefit in a short time (generally above 20%). This set of signals can be used to judge the bottom and top.