There are many ways to buy and sell stocks. How to determine the buying point of MACD deviation? The bottom deviation of MACD indicator means that when the stock price goes out of wave after wave, the DIFF line and DEA line in MACD indicator have not hit a new low, but have gradually increased.
The emergence of MACD deviation shows that many forces are gradually strengthening and starting to push up the stock price, but the empty power has been gradually exhausted and there is no power to suppress the stock price again. This also indicates that the stock price will turn the roommate's decline into an increase.
At this time, there was a buy signal. For cautious investors, you can wait until the stock price really reverses before buying.
The price drops gradually, but the high points of MACD move up one by one. The resulting bottom deviation phenomenon generally requires the market to recover after three bottom deviations. However, if there is a similar bottom deviation in a very weak down market, the price recovery may be extremely small, and there is basically not enough room to make more orders, so this bottom deviation has little impact.
We see that MACD deviates from the top, and the stock price K-line has reached a new high. MACD technical indicators have not reached a new high with the stock price's new high, indicating that the strength of being a cow is gradually shrinking and the market is bound to rise. The longer the period, the more credible the deviation. MACD indicator is a lagging indicator, because MACD indicator is mainly used for long-term trend judgment. The deviation of MACD indicator at the top is the way to escape from the top. Generally speaking, you can't rush to the bottom, you must have speed to escape from the top. According to this statement, when MACD shows signs of deviation at a high level, what we have to do is to quickly retreat and close the position, no matter how much money he will make afterwards.
The top K-line is always rising, while the MACD energy column shrinks and deviates greatly. The DEA and DIF lines are also dropping. This is an extremely obvious top deviation. Look at the picture and you will understand. Skillful use of MACD top deviation may not make you sell at the highest position, but it can avoid most risks for you.
The bottom of MACD deviated, and the K-line stock price began to hit a new low, but the MACD technical indicators did not hit a new low with the innovation of the stock price, indicating that the energy of the green energy column has begun to be insufficient, and listed companies began to secretly buy positions. Similarly, the longer the cycle, the more valuable the operation. We look at the red energy column at the top and the green energy column at the bottom. The bottom deviation of MACD indicator is what we use to bargain-hunting, especially when the third golden cross appears under the 0 axis of MACD, which is the best time to bargain-hunting.
The bottom deviation of MACD is from a downward trend to an upward trend, forming a small form of upward inclination, while the stock price is still falling, thus forming a bottom deviation form of MACD and stock price.
But sometimes we will notice that after the MACD indicator deviates from the stock price, the stock price does not peak immediately, MACD is in a downward trend, and the stock price rises slightly. This situation can only be regarded as an induced behavior of the main force.
MACD rarely deviates from the bottom. Once it appears, it means that the stock price will rebound or reverse in the afternoon, which is the best time for investors to buy stocks. MACD deviation usually occurs after the stock price falls sharply. Although the stock price hit a new low, the empty side has exhausted its strength and is unable to further suppress the stock price. So the bottom deviation means that the stock price will gradually strengthen.