The basic principle of cyw master control index cyw master control index judges the flow and control of the main funds in the market by analyzing the relationship between trading volume and price. It is based on the following two assumptions:
Volume is the leading indicator of price changes, and a large amount of volume is usually accompanied by the rise or fall of prices. The main funds have great financial strength and market influence, and their actions can often cause changes in the market. The main control indicators of cyw mainly include the following indicators:
Main buying ratio: main trading volume minus retail trading volume and then divided by total trading volume. The proportion of main buying is greater than 0, indicating that the main force is controlling the market, and greater than 0.5, indicating that the main fund is obviously controlling the market. Main net inflow: main net inflow = main buying turnover-main selling turnover. A positive main net inflow indicates the main capital inflow in the market, and a negative one indicates the main capital outflow. Main fund position ratio: main fund position ratio = main fund position market value/total market value. The higher the proportion of main capital positions, the stronger the ability of main capital to control the market. Main inflow indicator: main inflow indicator = main buying ratio+main net inflow. The higher the main inflow index, the greater the intensity of the main capital inflow into the market. The application of cyw master control index can be applied to the analysis and trading decision of financial markets such as stock market and futures market.
1. Judge the inflow and outflow of main funds
Through the main net inflow index, investors can judge whether the main funds flow into or out of the market. When the main net inflow is positive, it means that the main capital is flowing into the market, which usually means that the market will rise; When the main net inflow is negative, it means that the main funds are flowing out of the market, which may indicate that the market will fall.
2. Observe the change of the proportion of main capital positions.
The proportion of main capital positions can reflect the main market control ability. When the proportion of main capital positions rises, it means that the main capital's ability to control the market is enhanced, which may indicate that the market will continue to improve; When the proportion of main capital positions decreases, it means that the main capital's ability to control the market is weakened, which may indicate that the market will weaken.
3. Combined with other indicators for analysis
The main control index of Cyw can be combined with other technical indexes to improve the accuracy and reliability of analysis. For example, you can judge market trends and trading signals by combining technical indicators such as K-line chart and moving average.
Cyw main control index is an important technical analysis tool, which can help investors to judge the main capital flow and control the market, so as to make more informed investment decisions.