Notes on using momentum indicators to analyze the stock market:

The general research and judgment standards of MTM indicators mainly focus on the important reference role of the 0-axis, the combined use of MTM lines and stock price curves, and the use of MTM curves. Analyze the form and other aspects. Taking the 12th MTM indicator as an example, the specific analysis is as follows:

1. The MTM indicator takes the 0 axis as the center line. The MTM curve is mainly centered on it and fluctuates up and down around it.

2. When the MTM curve is above the 0 axis, it means that the power of the bulls is stronger than the power of the shorts, and the stock price is in the stage of rising or high consolidation.

3. When the MTM curve is below the 0 axis, it means that the short force is stronger than the long force, and the stock price is in the stage of decline or low consolidation.

4. When the MTM curve starts from below the 0 axis and breaks upward through the 0 axis, it means that the power of the bulls in the stock market is gradually getting stronger, the energy of the upward movement of the stock price begins to be released, and the stock price will accelerate its upward movement, which is a strong medium and long-term trend. Buy signal. Investors should buy stocks promptly.

5. When the MTM curve starts from above the 0 axis and breaks through the 0 axis downwards, it means that the short power of the stock market is gradually getting stronger, the energy of the downward movement of the stock price is more powerful, and the decline of the stock price will also accelerate. This is If there is a strong mid- to long-term sell signal, investors should promptly sell all stocks in the mid- to long-term or wait and see.

6. When the MTM curve breaks through the 0 axis from below the 0 axis and moves upward for a long period of time, if the acceleration of the upward movement of the stock price begins to slow down, it means that the bullish power of the stock market begins to weaken. Once the MTM The curve begins to turn downward, indicating that the stock price will peak and fall back, which is a strong short-term selling signal. Investors should sell all stocks in the short-term in a timely manner.

7. When the MTM curve breaks through the 0-axis upwards and downwards from the 0-axis and moves downward for a long period of time, if the acceleration of the downward movement of the stock price begins to slow down, it means that the short power of the stock market has begun. Once the MTM curve starts to trend upward, it indicates that the stock price will bottom out in the short term, which is a good short-term buying signal, and investors can start to build a small amount of positions.

8. When the MTM curve breaks through the 0 axis upwards, as long as the MTM curve does not turn downward, it means that the speed and energy of the upward movement of the stock price can always support the rise of the stock price, and it is a strong stock holding to rise. signal, investors should resolutely hold stocks all the way until the MTM curve shows signs of turning downward.

9. When the MTM curve breaks through the 0 axis downward, as long as the MTM curve does not hook upward, it means that the energy of the downward movement of the stock price is still relatively large, which is a strong signal to wait and see. Investors are best to wait and see. It is best to hold the currency and wait and see, and try to do as little rebound as possible until the stock price completely stops falling and goes up.