It is a comprehensive index of moving average, which is calculated by using the weighted average method of several moving averages on different days. BBI index itself is an improvement of ordinary moving average MA index.

Second, the principle and application rules of exponential formula

BBI calculation formula:

BBI=(3-day average price +6-day average price+12-day average price +24-day average price) ÷4 As can be seen from the calculation formula of the long-short index, the values of the long-short index include some weights of different moving averages, which are re-averaged values of different moving averages, thus representing the "interests" of each moving average respectively. In fact, the long-short index is a special product of the moving average principle, which plays the role of a long-short watershed.

Application rule (1): 1. The stock price is higher than BBI and is regarded as a bull market. 2. The stock price is lower than BBI, which is considered as a short market.

Apply rule (2): 1. In the high-priced area, the closing price falls below the long and short line as a selling signal. 2. In the low-priced area, the stock price breaks through the long and short line as a buying signal. 3. The long and short indicators increase from bottom to top, and the stock price is above the long and short line, indicating that the bulls are strong and can continue to hold shares. 4. The long and short indicators decrease from top to bottom, and the stock price is below the long and short line, indicating that the bears are strong and generally not suitable for buying.

Disadvantages: 1 The lag of indicator signal often occurs when the stock price is close to the short-term head, and BBI only sells when the stock price is close to the short-term bottom. 2. The frequent occurrence of indicator signals, especially when the trend is unclear, is even more serious. 3. A number of moving averages are set in MA, which are divided into growth period, middle period and short period. They are applied at the same time and compared with each other, which effectively makes up for the defects of a single moving average. However, the BBI indicator only sets an average line, which only acts as a short-term long-short watershed.

Third, the improvement plan:

Set a long-term BBI indicator to be used together with the original BBI. The calculation formula of the new BBI is:

1. Calculate the average transaction price of individual stocks: average transaction price = volume of individual stocks ÷ volume of individual stocks.

2. Calculate the smma of the stock price on 6th,18th, 54th and162nd respectively, such as the EMA calculation formula on 6th:

6-day moving average =2× average transaction price +(6- 1)× 6-day moving average value of the previous period ÷(6+ 1)

The calculation methods of smma of other indexes such as 18 moving average, 54 moving average and 162 moving average are analogized, so I won't repeat them here. If you use software to calculate, it will be too simple. Just write EMACLOSE6, emaclose18 ... ...

Fourth, calculate the long-term EBBI index:

Ebbi = (6th EMA+18 EMA +54 EMA+162 EMA) ÷ 4 Application skills of EBBI;

The biggest advantage of 1 EBBI is able to catch the long-term dark horse in time. When the stock price is low, BBI breaks through EBBI from bottom to top as a long-term buying signal. The criterion to judge whether the pull-up is effective depends on whether the BBI is strongly pulled up from a position far below the e BBI, or whether the BBI is accidentally higher than the e BBI in the process of bonding with the EBBI after gradually rising, if the latter is invalid. Although this buy signal does not guarantee that 100% of the stocks bought will become big dark horses, almost all the big dark horses in Shanghai and Shenzhen stock markets have sent buy signals to wear EBBI on the low BBI, so no more examples are given.

2. The advantage of 2.EBBI is not only the buying signal, but also the trend judgment. If BBI is always above EBBI, it shows that the stock price is in a strong state and can continue to hold shares, which is a powerful tool for riding a dark horse. If BBI is always lower than EBBI, it means that the stock price is in a weak state and can continue to hold money. Investors can compare the stocks in their hands and find that EBBI will instruct you to hold money in 2200-65438+ 10 this year.

3. Although 3.EBBI is an excellent indicator, it is not omnipotent. It's just a convenient tool for you in some ways. Like all tools, it can only play its best in some aspects, just like you can't cut vegetables with a spoon or stir-fry with a knife. EBBI can't be used to judge short-term trends and is very suitable for long-term investors.

4.EBBI's judgment on the selling signal is also one of its shortcomings. Never simply infer that BBI wearing EBBI is a long-term buying signal, then BBI wearing EBBI is a long-term selling signal. If so, it's all wet. By the time BBI wore EBBI, its share price had fallen by half. If EBBI has been in the process of increasing its holdings, it can firmly hold shares. If EBBI turns around, you should be careful. This time is not necessarily the head, but other indicators should be used to confirm.