Key points of application of the golden section theory of stock;
1 Based on the highs or lows in the recent trend. When the stock price rises, it is based on the bottom stock price, and it is easier to get support when it falls to a certain golden ratio. When the market draws to a close, the stock price rises or falls sharply, and its rise and fall reaches an important golden ratio, then the trend may change.
After the turning point of the market, whether it is the reversal of stopping falling and turning up or the reversal of stopping rising and turning down, the increase between the important peak position and the bottom position in the recent trend is taken as the measurement base, and the original increase and decrease is 0.
19 1, 0.382, 0.5, 0.6 18, 0.809 is divided into five golden sections. The trend of the stock price after the turn will probably encounter temporary resistance or support at these gold points.
Later, the golden ratio theory was applied to the wave theory, which became the backbone of the wave theory known to investors, and was applied by a large number of investors in actual combat and proved to be effective. Therefore, even today, this theory is still an important method to find support and pressure levels.
Risk disclosure: This information does not constitute any investment advice. Investors should not substitute such information for their independent judgment, or make decisions only based on such information. It does not constitute any trading operation and does not guarantee any income. If you operate by yourself, please pay attention to position control and risk control.