The moving average is the core concept of technical analysis, because trading is a trend operation. The market is either up or down, and then sideways. The market can't always be sideways, there will always be a trend. Once the trend is formed, it is difficult to change. The moving average index is actually the abbreviation of moving average index. Because this indicator is an important indicator reflecting the price trend, once it is formed, it will last for a period of time, and the high point or low point formed by the trend operation has the function of blocking or supporting respectively.

Other rules for using moving averages:

1, the closing price is bought above the moving average and sold below.

2. On the moving average, there are gold forks to buy and dead forks to sell.

3. Buy when the EMA turns from falling to rising, and sell when it turns from rising to falling.

Characteristic analysis of moving average

1, tracking the trend steadily. As can be seen from the calculation method, the moving average filters the influence of accidental factors to a certain extent, which makes us see the general trend of the market clearly.

2. Help rise and fall. The moving average reflects the market's willingness to buy and sell over a period of time. Reflected in the chart, the moving average has the meaning of support and pressure. This role makes it more likely that the market will continue to develop.

3. lag. Horses reflect the market for a period of time. When there are new changes in the market, horses often send out buy and sell signals later, resulting in a decline in the actual profit rate.

In this line of work, beginners must learn to analyze trends. This investment is nothing but buying and selling. People who know nothing have a 50% chance of getting it right. Investment is not gambling. If you are gambling, you will definitely lose money in the end, so investing is a long-term financial management process. What we can do is to increase the probability of doing right as much as possible and maximize profits. Then it involves an accurate judgment and grasp of the market.

There are many index fluctuations in the market. Many people ask me what index is the most useful. In fact, every index is useful, inventable, widely circulated and very classic. So the key is what index suits you. Here is my personal habit of watching movies.

First of all, talk about the main map indicators. My personal habit is to look at the Bollinger Band, which has three lines, the upper rail, the lower rail and the middle rail. Through three lines, an upward channel, a downward channel and a volatile market are formed. Secondly, I am used to watching macd, and I judge the kinetic energy of ups and downs through the dead fork of macd and the heavy volume attached to axis 0. Then there are some shapes to help analyze, such as head and shoulder bottom, head and shoulder top, M shape, W shape and so on. In addition, I personally suggest not to look at too many indicators, there will be contradictions. Hand-only, I hope it will help you and be adopted. thank you