Many investors have a good understanding of the expectation of stock speculation. Stock trading focuses on the performance of listed companies, but stock trading should not only carefully examine the fundamentals of the company, but also look at the technical aspects. When it comes to technology, most people are familiar with MACD indicators, but they are not clear about the usage of KDJ. For those who want to be short-term friends, the importance of KDJ can be imagined. So today, let's take a look at what KDJ indicator is and how we can use this technical indicator to improve our fault tolerance rate for short-term operations. Before we start, we might as well have a wave of benefits-the list of bull stocks selected by the organization is freshly released, so don't miss it when passing by: the list of bull stocks recommended by top secret organizations is leaked, and the speed is limited! ! !
1. What is KDJ?
KDJ index, also known as stochastics, consists of three curves, namely, K line, D line and J line. By looking at the pictures, we can see that K, D and J are all different colors, in which K is the fast confirmation line, D is the slow trunk line, and J is the dark line in Fang Xiangming. The fluctuation range of k value and d value is 0~ 100, while the fluctuation range of j value can be less than 0 or greater than 100, which has a large fluctuation range. KDJ seems to have made a judgment on the short-term market trend.
Second, what practical skills does KDJ have?
1, what parameters are set properly?
Generally speaking, the default parameter of KDJ indicator system is (9,3,3), but under this parameter setting, KDJ fluctuates frequently under the daily K-line, and many investors simply can't respond, let alone have time to keep up with the operation. Therefore, for investors with ultra-short-term operation, it is recommended to select the following appropriate parameters as needed:
The parameter (1) is (6, 3, 3): even if the change frequency increases, it is easier for us to find buying points and selling points;
(2) The parameter is (18,3,3): the trading signal will be more stable and the sensitivity of the indicator will be maintained;
(3) The parameter is (24, 3, 3): it is very suitable for those mid-line investors to choose and can increase the fault tolerance rate.
2. How to use KDJ to operate individual stocks?
Taking 50 as the dividing line, we can judge the strength of both sides at this time according to the relative size of the three values of KDJ. Once the values of k, d and j are all greater than 50, it also shows that the strength of many parties is relatively strong; Assume that these three values change around 50, indicating the balance of long and short forces; If all three values are below 50, the air force is still very strong. In operation, it is divided into three different areas: if the values of k, d and j are below 20, it is designated as an oversold area, which is called a buy signal; More than 80 are divided into overbought areas, which are called selling signals; 20-80 is a wandering area, suitable for waiting and seeing.
In addition, you can learn about these tables:
(1) dead fork of golden fork: If all three values of k, d and j are less than 50, and both J line and K line break through D line, then KDJ will form a golden fork, which means that positions can be added on the same day. However, if all three values of K, D and J are greater than 50, but the J line and K line are lower than the D line, it means that KDJ will form a dead fork.
It is not difficult to see the golden cross formed by the yellow circle on KDJ from the picture, so it is more appropriate to start on the same day. If KDJ has formed an obvious dead fork when it first arrived at the red circle position, then in this case, investors need to reduce their positions and avoid the losses caused by the high callback.
(2) Top Deviation and Bottom Deviation: When the stock shows a growth trend, but the corresponding KDJ indicators show more and more declines, then the top deviation of KDJ is formed. At this time, investors should choose to lighten their positions and avoid the risk of callback. The general pattern is as follows:
When the stock price is in a downward trend, it keeps hitting new lows. However, if the corresponding KDJ index is higher than the other party, that is to say, the pattern of KDJ bottom deviation has been formed. At this time, investors can intervene on dips and constantly pay attention to the late trend of individual stocks. The general pattern is as follows:
To sum up, the function of KDJ indicator is only to judge the market. To accurately judge the trend of individual stocks, we should also consider factors such as market trend, sector and current policy. Friends who really don't have enough time to study a stock, may wish to click on the link below, enter the stock code you want to know, conduct in-depth analysis, and test the current valuation position of your stock for free?
Third, the advantages and disadvantages of KDJ indicators
KDJ indicator is sensitive to stock price changes and can be used as a reference standard for short-term operation. However, due to the rapid response of this indicator, the buy or sell signal is sometimes sent too early, which may easily lead investors to make wrong operations. So how can we find the best time to buy and sell? Is pure human technical analysis still useful? Try clicking on the link below. AI can intelligently judge the trading opportunity and do not hesitate to enter the market: AI assists decision-making and captures artifacts.
Reply time: 202 1-09-25. The latest business changes are subject to the data displayed in the link in the article. Please click to view.
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