First, the upward trend pattern.
In the stock market, the rising trend pattern refers to the pattern that the stock price keeps rising for a period of time. This form of K-line combination mainly includes "Yang-line continuation", "three methods of rising" and "shock rising".
# Yangxian Continuation
The continuation of the positive line refers to the positive line form of the stock price for many days. In the K-line chart, the positive line represents the price increase, the entity is longer, and the upper and lower shadow lines are shorter. When the stock price has a positive line for several days, it shows that the market sentiment is optimistic, and investors are generally optimistic about the upward trend of the stock, so they can consider buying on dips.
# Three ascending methods
The three methods of rising refer to the negative line of two small corrections in the rising trend of stock price, and the positive line appears again on the third day. This pattern shows that the market rises again after a short correction, showing a strong upward momentum, and investors can find the right time to buy.
# Shock rise
Shock rise refers to the form in which stock prices fluctuate greatly during a period of upward trend. In the K-line chart, the rising entity is longer, but the upper and lower shadow lines are longer, indicating that there is great fluctuation in the market. Investors can judge the change and adjustment of the market by observing the fluctuation range and rhythm of the upward trend, so as to make corresponding investment decisions.
Second, the downward trend pattern.
The downward trend pattern refers to the pattern that the stock price keeps falling for a period of time. This form of K-line combination mainly includes "Yinxian continuation", "three methods of descent" and "broken position descent".
# Yinxian Continuation
The continuation of negative line refers to the form of negative line in stock price for several days in a row. In the K-line chart, the negative line represents the price drop, the entity is longer, and the upper and lower shadow lines are shorter. When the stock price has a negative line for several days in a row, it shows that the market sentiment is pessimistic, and investors are generally bearish on the downward trend of the stock, so they should be cautious or consider selling on rallies.
# Three descent methods
The "three-drop method" means that the stock price has two positive lines that rebound slightly in the downward trend, and the negative line appears again on the third day. This pattern shows that the market starts to fall again after a short rebound, showing a strong downward trend, and investors can find the right time to sell or short.
# Crashed
Broken position decline refers to the form of accelerated decline of stock price after it is broken in important technical positions such as important support level or moving average. This pattern shows that there is a lot of selling after the market breaks, and investors are generally bearish on the stock trend, so they can consider selling on rallies or shorting.
Third, the form of finishing stage.
The form of consolidation stage means that the stock price has no obvious upward or downward trend for a period of time, showing a sideways or volatile form. This form of K-line combination mainly includes "breakthrough form", "upper and lower separation form" and "triangle form".
# Breakthrough form
Breakthrough pattern refers to the pattern that the stock price continues to rise or fall after breaking through the important support level or resistance level in the consolidation stage. This pattern shows that there are a lot of buying or selling in the market after the breakthrough, indicating that a new trend has begun to take shape, and investors can decide the direction of buying or selling according to the direction of the breakthrough.
# Up and down separation
Top-bottom classification refers to the form that the stock price has obvious high or low points in the consolidation stage. This pattern shows that the market sentiment has changed, and investors can judge the market trend and trend by observing the shape and position of the top and bottom classification, so as to make corresponding investment decisions.
# Triangle
Triangle shape refers to the rising triangle or falling triangle shape of stock price in consolidation stage. This pattern shows that the market is gradually narrowing in the consolidation stage and the market sentiment is gradually strengthening, which indicates that a new trend is about to take shape. Investors can decide the direction of buying or selling according to the shape of the triangle and the direction of breakthrough.
The classic K-line combination chart includes three forms: upward trend form, downward trend form and finishing stage form. Investors can judge the market trends and trends according to different combinations and other technical analysis tools, so as to make corresponding investment decisions. However, it should be noted that the K-line combination chart is only a reference tool, and investors need to make comprehensive judgments and decisions based on fundamental analysis and market risks.