Golden fork and dead fork refer to the intersection of indicator lines (fast line and slow line) such as KDJ and MACD or the intersection of the annual lines of the sun, the moon and the year. Crossing up from low gear is called golden fork, and crossing up from low gear is called dead fork. Used to judge the trend of peaking and bottoming. Golden fork and dead fork will appear in many technical indicators, such as moving average, KDJ, MACD and so on. As we all know, the moving averages are divided into five-day moving averages, 10 moving averages and 30-day moving averages. The KDJ index is also divided into K line, D line and J line, and the MACD index also has four lines: M, A, C and D.

First, the golden fork

Golden Cross is the abbreviation of Golden Cross. Refers to the short-term moving average (such as the 5-day moving average) and one or more medium-term moving averages (such as the 10 moving average), so the intersection they form is called the golden cross. The golden fork is a signal that the stock price has entered the rising stage.

Second, the dead fork

Dead fork is the abbreviation of dead cross, which refers to crossing one or more medium-term moving averages (such as 10 moving average) under short-term moving averages (such as 5-day moving average), so the intersection they form is called dead fork. The dead fork is a signal that the stock price has entered a downward stage.

Compared with the golden fork and the dead fork of other technical indicators, the golden fork and the dead fork of the moving average are relatively easier to understand, so they are also the technical analysis methods often used by many stock traders. However, to understand the meaning of golden fork and dead fork, we still need to know how to use it. Let's talk about the usage of golden fork and dead fork.

Third, the usage of the golden fork.

The golden cross often appears in the rising trend of stock price, which shows that many forces are playing a leading role. The short-term insider market exceeds the medium-and long-term moving average, and the market prospect rises. The best entry time is when the golden fork is just formed.

Fourth, the usage of dead fork.

Dead forks often appear in the downward trend of stock prices, indicating that empty rights are dominant. In the short term, offline will wear the medium and long-term moving average, and may continue to fall later. Once you find a dead fork, you should sell it immediately.

For the medium and long-term market, the market's judgment on the golden fork and the dead fork is particularly accurate. The golden fork and the dead fork are of great significance in actual combat, because they represent the beginning of the rise and the beginning of the fall respectively. It should be noted that the golden fork or dead fork formed by the daily line or the 60-minute line only represents the short-term market, while the golden fork or dead fork formed by the weekly line only represents the long-term trend. Therefore, in order to obtain long-term stable income, it is necessary to take the weekly line as the trend, the daily line as the interval, and the 60-minute line as the opportunity to enter and exit, so as to achieve a higher winning rate.