Different stocks, or the same stock in different periods, have different "optimal parameters", so it is difficult to make effective statistics and use.
Therefore, it is good to use the default parameters, which can take advantage of the "self-realization" effect of technical indicators, that is, when a certain number of market participants use the same technical indicator, the technical indicator will in turn affect the price and make it run in the direction indicated by the indicator, but this effect is limited in scale, and when there are too many users, it will in turn produce a "self-destruction" effect.
I must remind you that indicators are not the root of the problem.
Most technical indicators are designed based on daily chart trading and weekly chart trading. If they are applied to hourly charts, there is no big problem. However, if they are applied to the level below hourly charts, it is difficult to achieve good results by following the usage in textbooks.
You can refer to Lajus Wilhemlms's Secret of Short-term Trading and Valais/capra's < < Master of short-term trading > > Among them, the part about K-line form will be more valuable in the application of short-term trading.
The earliest technical analysis method invented by human beings is rooted in K-line morphological analysis and price chart morphological analysis, and technical indicators are used to assist K-line analysis and price chart morphological analysis after the diversification of mathematical theory and technical analysis theory.
For example, a homeopathic trader is most concerned about whether the trend is formed and whether the current trend is healthy. The accuracy of this information is only 5% only by K-line analysis and price chart shape analysis.
At this time, some investors who have summarized some market rules begin to design technical indicators according to these rules, such as "moving average", "Bollinger Band" and "MACD". With the help of these indicators, investors can better obtain the clues they need, and the accuracy rate may increase from 5% to 6%.
Therefore, when using the indicator, we should first understand the design purpose of the indicator, the applicable environment and the corresponding methods, so as to correctly master the usage of the indicator and further develop the special usage that meets our own needs.