1, overall market trend: look carefully.
The most important thing in Dow's theory is the high and low points of the wave band, which is the most easily overlooked place. Both the high and low points of the daily line and the high and low points of the 5-minute chart need attention and have the value of attention. We can judge the trading direction according to the high and low points of a trend, choose the entry point of the order, set the stop loss and determine the holding time.
2. Transaction chart size cycle: see conversion.
Looking at the picture from a large cycle, the daily chart needs to be read every day, the weekly chart once a week, the monthly chart once a month, or the combination of 1 hour and 15 minutes can take 30 minutes. Look down from the big to the small, and then start from the small to the big. The former is to understand the overall trend, and the latter is to choose the starting point. The so-called megatrend is the megatrend that spreads from a small cycle to a small cycle. Therefore, understanding the trend change must start from a small cycle.
3. Long and short trends: comparison.
This requires Fibonacci's support resistance level to observe the trend. It seems simple, but it is easy to ignore in practice. Because there are many trends and resistance levels, it is easy to ignore some details without looking carefully.
4. Cross-trading and the trend of the US dollar index: a comprehensive view.
When doing direct selling of European and American pounds, we need to look at the dollar index and the euro pound and comprehensively analyze the relationship between them.
5. Reversing the pattern: looking at the trend.
No matter how high the success rate is, reversing the pattern belongs to contrarian operation. If the market price goes against the short-term trend and follows the reverse pattern of the medium-term trend, we can pay attention to it. This is why we should look at it in combination with the trend.
6. Trend slope: especially.
Pay special attention to the trend with small slope, indicating that the trend is weak (the angle of the trend line
7.MACD and moving average: watch it together.
The difference between the two is that MACD describes the relationship between moving averages, focusing on the adhesion and divergence of moving averages, that is, the increase or decrease of price kinetic energy and the deviation of price trend (the price breaks through a new high and a new low, but the kinetic energy does not). The moving average shows the position relationship with the K line. In addition to showing the bond deviation, the EMA also describes the spatial relationship of prices.
8. Relay form: key points.
Relay means the continuation of the trend of money market, which means taking advantage of the trend, low risk and high income, and needs to be studied separately.