Support low = market end-(market end market low) × 0.682.
Pressure level = market end point+(market highest point-market lowest point) × 1.382.
Extended data:
Support level and pressure level are the prices of moving averages, generally using 5-day moving averages, 10 moving averages, 20, 30, 60, 120, 250 moving averages.
If the current price is above the moving average price, then the moving average price is the support level; If the current price is lower than the moving average, the moving average price is the pressure level.
Support level refers to the price that may encounter support when the stock price falls, so as to stop falling and stabilize. Corresponding to pressure level, pressure level refers to the price that may encounter pressure when the stock price rises, so as to reverse the decline.
When the stock price is running, pressure and support are interchangeable. Specifically, if a major pressure level is effectively broken, then this pressure level will in turn become an important support level in the future; On the other hand, if the important support level is effectively penetrated, the price will become the pressure level for the future stock price rise.
Several factors that form pressure level and support level;
1, the pressure level and support level formed by the moving average;
2. Pressure level and support level formed by high point and low point;
3. The pressure level and support level formed by the gap;
4. Pressure level and support level formed by ascending channel and descending channel.
Moving average (m a) is a technical index, which averages the securities prices (indexes) in a certain period through statistical analysis, and connects the averages at different times to form a MA to observe the changing trend of securities prices.
The moving average was put forward by Joseph E.Granville, a famous American investment expert, in the middle of 20th century. The theory of moving average is one of the most widely used technical indicators, which helps traders to confirm the existing trend, judge the coming trend and find the trend that will be reversed if it is delayed excessively.
General characteristics
1) Track the trend. Pay attention to the price trend, follow this trend and don't give up easily.
2) stability. Because the change of the horse is not a one-day change, but a few days change. If a big change in one day is shared by several days, the change will become smaller and invisible.
3) hysteresis.
4) Help rise and fall.
5) dependence.
6) Characteristics of support line and pressure line.