What does ma5ma 10ma20 mean in macd line? What do you think of line kdj? Thank you.
MACD is based on smma of two indices with different speeds to calculate the deviation between them as the basis of market judgment. In fact, it is to use the signs of convergence and separation of fast and slow moving averages to judge the timing and signal of buying and selling. In practice, the MACD indicator not only has the functions of bargain hunting (when the price deviates from the MACD) and capturing the strong rising point (when the MACD turns red for the second time in a row), but also captures the best selling point to help investors escape from the top successfully. Its common methods of escaping from the top are: 1, stock price sideways and MACD indicator dead fork selling. It means that the stock price has been sideways after a sharp rise, forming a relatively high point, and the MACD indicator is the first to appear dead fork. Even if there is no dead fork on the 5 th and the 10 moving average, it is necessary to lighten up the position in time. 2. If the stock price does not plummet after the MACD indicator is dead, but rises again after the callback, it is often the last time the main force rises to cover the shipment, and the height is extremely limited. The high point formed at this time is often the highest point of a wave of market. The sign at the top of the judgment is the deviation of "price and MACD", that is, when the stock price hits a new high, but the MACD fails to hit a new high at the same time, the two trends deviate, which is a reliable signal that the stock price peaks. KDJ stochastic analysis is a common technical analysis tool in futures and stock markets. It is composed of two lines% k and% d on the chart, so it is also called KD line for short. Stochastics integrated some advantages of momentum concept, strength index and moving average in his design. In the calculation process, he mainly studied the relationship between the price and the closing price, that is, by calculating the true amplitude of price fluctuations such as the highest price, the lowest price and the closing price on the same day or in recent days, to reflect the strong and weak trend of prices and the phenomenon of overbought and oversold. Before the market turns because of the upward trend, most of them will close at a high price every day, and when they fall, the closing price will often close at a low level. Stochastics also fully considers the calculation of the random amplitude and short-term fluctuations of price fluctuations in its design, making its short-term market measurement function more accurate and effective than the moving average, and more sensitive than the power index when forecasting short-term overbought and oversold markets. Therefore, as a short-term and medium-term technology market measurement tool, randomness is quite practical and effective.