The fairy guide K line indicates that the main force made a long upper shadow line before pulling up the individual stocks, which makes investors think that the short position is strong and the pressure is high, but in fact it is the main force's shock position building behavior.

After a short-term adjustment, the stock price moved in the direction of the upper shadow line, and even rose more violently. This kind of K-line combination of Xiandao mostly occurs in the case of strong market washing. Identification of true and false fairy guidance:

1) The stock price is in a downward channel, and the long lower shadow line and small yin and yang K-line on that day are not the guidance characteristics of gods.

2) The daily trading volume is more than 5 times, and the turnover rate is more than 10%. The large-volume long shadow Yin and Yang K-line does not belong to the characteristics of fairy guidance.

3) At the close of the day, it fell below yesterday's closing price, with a drop of more than 5%, which is not a characteristic of magical guidance.

4) When the stock price is in the rebound stage of the decline, the long upper shadow and small yin and yang K-line that appear on that day are not the guiding characteristics of gods. If investors can't grasp the buying point, they can wait until the fairy's guidance breaks through before buying.

The drawing method of K-line charts in the stock market and futures market includes four data: opening price, highest price, lowest price and closing price. All K-lines revolve around these four data, reflecting the general situation and price information. If you put the daily K-line chart on a piece of paper, you can get the daily K-line chart, and you can also draw the weekly K-line chart and the monthly K-line chart.

1. K-line chart This kind of chart originated from the Tokugawa shogunate era in Japan and was used by traders in the Japanese rice market to record the market conditions and price fluctuations of the rice market. Later, it was introduced into the stock market and futures market because of its exquisite and unique drawing methods. This chart analysis method is currently particularly popular in China and even Southeast Asia. Because the chart drawn by this method is shaped like a candle, and these candles are black and white, it is also called a Yin and Yang line chart.

2. Through the K-line chart, the market performance of each day or a certain period of time can be completely recorded. After the stock price moves for a period of time, a special area or pattern is formed on the chart. Different patterns have different meanings. We can find some regularities in these changes in form. K-line charts can be divided into reversal patterns, consolidation patterns, gaps and trend lines, etc.