is the KDJ line, which is the K-line of the stock and the three lines in the chart at the bottom of the volume. KDJ index, also known as stochastic index, is a quite novel and practical technical analysis index. It was first used in the analysis of futures market, and then widely used in the short-term trend analysis of stock market. It is the most commonly used technical analysis tool in futures and stock markets.
KDJ indicator is composed of three curves, with the fastest moving speed being J-line, followed by K-line and the slowest moving speed being D-line. Let's talk about the use of KDJ.
1. The interval of KDJ index is mainly divided into three small parts, namely below 2, between 2 and 8 and above 8. Among them, the interval below 2 is oversold; More than 8 areas are overbought areas; The area between 2 and 8 is the buying and selling balance area.
2. If the values of K, D and J are all greater than 5, it is a bull market and the market outlook is bullish; If the values of K, D and J are less than 5, it is a short market and the market outlook is bearish.
3. In the KDJ indicator graph, the D curve has the slowest running speed and the lowest sensitivity; Followed by K curve, J curve is the most sensitive.
4. when j is greater than k and k is greater than d, that is, the three indicator curves are arranged in a long position, indicating that it is a long market at present; When there is a golden cross among the three indicators, the indicators send a buy signal.
5. When the three indicator curves are arranged in short positions, it means that the short-term trend is downward; When there is a dead cross between the three curves, the indicator sends out a sell signal.
6. If the crossover of KD line oscillates around 5 repeatedly, it means that the market is being sorted out. At this time, it is necessary to observe the dynamics of KD deviation in combination with J value, and then decide the investment action. Extended information
stock is a certificate of ownership issued by a joint-stock company, and it is a kind of valuable securities issued by a joint-stock company to all shareholders as a holding certificate to raise funds, so as to obtain dividends and bonuses. Each share represents the shareholder's ownership of a basic unit of the enterprise. Every listed company will issue shares.
every stock in the same category represents equal ownership of the company. The share of ownership of the company owned by each shareholder depends on the proportion of the shares held by each shareholder in the total share capital of the company.
Stock is an integral part of the capital of a joint-stock company, which can be transferred and traded, and it is the main long-term credit tool in the capital market, but the company cannot be required to return its capital contribution.
reference: Baidu encyclopedia stock.