Hello everyone, I am Fan Bo. I focus on researching and sharing the "Main Power Behavior" in the stock market. The following article explains in detail how to find the main force through K-line charts. I hope it will be helpful to you in learning stocks. help!

K-lines cannot be judged by their appearance. You must look at the internal structure of the K-lines. K-lines that look exactly the same may have completely different souls inside!

Technical analysis of stocks seems very complicated, but if we peel back the details, we will find that all technical analysis is nothing more than two charts, one is a time-sharing chart and the other is a K chart. When it comes to K-line charts, whether you are an old investor or a new investor, you all know at least a little bit about it! Many friends even think that when it comes to K-line, they may be at the "master" level. The viewpoint of "Main Behavior" holds that to study K-lines, one must know both their shape and their meaning. To understand the deepest meaning of the K-line chart, it is recommended that you start from the basics!

Let’s take a look at the picture below first. Do you think it is very simple and superficial? I believe that the first lesson for all investors to learn stocks is this picture, but many friends have taken a detour from the beginning.

The study of traditional K-line charts, as well as various technical analysis methods using K-lines, are all racking their brains to explore whether this K-line chart predicts whether it will rise or fall in the future? The method of studying K-line charts in our "Main Power Behavior" is to explore why such K-line charts are formed? Was it done deliberately by the main force? Or is it caused by its own long-short game?

The so-called different understandings lead to different results. Just like the trend of the market every day, the graphics, data, etc. that everyone sees are exactly the same, but some people are still bullish and some are bearish. The sails are moving, but the heart is still beating? It is indeed a profound knowledge.

In order to grasp the K-line research method of "Main Behavior" and figure out why such a K-line is formed, we must first understand the K-line itself.

I think everyone knows the four prices of ABCD as shown in the picture. A—highest price, B—closing price, C—opening price, D—lowest price.

The negative line is slightly different. The closing price is lower than the opening price, which is the negative line. At the same time, a single K line still has the problem of false negative and false positive. These problems are very basic and can be checked on Baidu.

In addition to these 4 prices, I would like to introduce to you 2 hidden prices, one is the center price and the other is the center of gravity price.

The center price refers to the average price of the highest price and the lowest price (the average price of AD);

The center price refers to the middle average price of the K-line entity (the average price of BC) .

What are these two prices for?

From the behavioral perspective of the main force, these two prices are not of much use. Because when analyzing this K-line from the perspective of the main force's behavior, we consider whether this K-line is formed by natural games or whether it is made by the main force itself.

Different causes, analysis methods and angles are completely different. The reason why I introduce this price to you is because many of our indicators use these two prices, such as the KDJ indicator that everyone is very familiar with.

The K-line consists of 4 prices, which only reflects the price itself and does not reflect the fluctuation problem. The same K-line can be formed in different ways, as shown in the figure:

If we dig a little deeper, we will find that the exact same K-line may be formed due to different internal structures. The opposite result is that we must not use the price of the K chart itself to measure it, but ignore the internal structure of the K chart.

Take the daily limit K-line as an example:

The same K-line, but different trading ideas, determine different results. Some are really strong, and some are even deceptive lines.

The study of K-line can be said to have a long history, and it can even be said that it is difficult to distinguish between true and false. Many people have been entangled in these lines throughout their lives and have not come out.

From a behavioral perspective, studying the K-line and knowing the reasons for its formation, you will naturally know what it represents.

It can be seen that the K-line cannot be judged by its appearance. You must look at the internal structure of the K-line. K-lines that look exactly the same may have completely different souls inside!

I would like to emphasize that this excellent book "The Behavior of Main Forces", which deeply reveals the secrets of main force trading, is given for free!