Judging buying and selling points by deviation: the bottom deviation is a buying opportunity and the top deviation is a selling opportunity. The bottom deviation of WR means that when the trend of K-line chart is lower than the other, the stock price keeps falling, but the trend of WR curve on WR indicator chart is higher from the low position. This is the bottom deviation phenomenon, which indicates that the stock price will rebound with greater probability. Top deviation is the antonym of bottom deviation.

Judging buying and selling points by overbought and oversold areas: when W&; R is lower than 20, that is, oversold, and the stock price is likely to fall; When w &；; R is higher than 80, that is, overbought, indicating that the stock price may rise.

Precautions for futures

Generally speaking, unprofitable overnight positions should be controlled below 30% of funds. For newcomers to the market, judging the ups and downs of the market should be placed in the second place, and fund management is the first level. It tests the rigor of investors' thinking and operation, and the randomness of operation is an important reason for the failure of futures.

In reality, futures experts are not more accurate than novices, but they are more experienced in fund management and operation skills. Other investors even use the stock operation method to do futures and Man Cang trading. In the futures market, the result of this operation is that as long as one mistake, it may be wiped out. Therefore, investment in the futures market should adhere to the principle of fund management and not put all your eggs in one basket.