people can spread Tao, not Tao can spread people. There are thousands of theories in the stock market, and the theory of entanglement is one of them. Like the wave, Gann belongs to a school. It is not necessary to distinguish between high and low. If you use it well, you can use it. If you don't use it well, you can switch to something else. Why hang yourself on a tree? Any systematic theory that can spread in the market has its merits. You must spend time studying, practicing and constantly integrating into your own operation without making any effort to study.
The theory of entanglement has its own advantages:
First, the theory of entanglement gives a complete and clear analysis method of market trend, which enables the original fragmented K-line trend to be well organized, analyzed and accurately analyzed, with a complete set of purely mathematical theoretical derivation such as definitions, concepts and axioms. This is also the reason why the theory of entanglement can be partially programmed accurately, but waves cannot. A pile of loose sand is fired into square bricks through K-line merging processing, classification identification, and the division of winding pen segments, and then a series of high-rise buildings, such as the center, trend, level, structure, trading point and backstepping interval, are used to construct the high-rise buildings of the whole market analysis, which is a complete, systematic and operable analysis theory.
second: through the analysis of the trend level and structure, we can find out the strength of the market, and through the complete classification of trading points, we give a clear and safe and efficient operating point for buying and selling. The introduction of operation level makes the chaotic trend have a three-dimensional sense of hierarchy. The trend, center and trading point all have their corresponding levels, and the operation also has levels. The level is the core of the theory of binding. If you leave the level, you can use the theory of binding, that is, wield a knife from the palace and draw your sword.
Third, it is inclusive, and the theory of entanglement has its own set of analysis methods, such as structural trading point analysis based on trend recursion and large period diagram analysis based on pen-classification theorem, with two sets of analysis systems, giving consideration to accuracy and convenience. At the same time, it can also be combined with many traditional theories, such as moving average, trend line, golden section line, Gann cycle and many other time-space measurement theories, and the trend of the theory is perfect, which can play a greater practical value.
Of course, in the process of learning and using the theory of entanglement, we also need to pay attention to some problems, especially for the newcomers who have just come into contact with it. According to my own understanding, I will tell you the following points for your reference:
Correctly understanding and treating the theory of entanglement
The theory of entanglement is not a deism, let alone a lifesaver, nor can it be invincible to the market after learning the theory of entanglement. Take the market as an ATM, and don't overdo the myth of entanglement. It's a stock analysis theory written by pestering teachers in combination with the bull and bear market from 26 to 28, which is not available in any other theory. Just treat it as a scientific market analysis theory, and prefer another name of entanglement theory: the mathematical principle of market philosophy, which is a systematic and scientific market trend analysis theory and an excellent analytical methodology.
Seriously and systematically study the theory of entanglement
It is true that everyone learns any market analysis theory in order to make money, which has a strong utilitarian mentality. However, if money is not urgent, it takes a lot of time and energy to learn any theory. Compared with other market analysis theories, the theory of entanglement is more systematic and comprehensive, and the cost of natural learning is higher, so it takes more thought to understand. It is not difficult to make money in the market. For newcomers to learn the theory of entanglement, the first thing is to read the full text carefully. Only by reading the full text can we have a comprehensive understanding of the theory of entanglement. Any hearsay book is a glimpse of the leopard and is easy to go astray. Entanglement is the best teacher to learn the theory of entanglement. Many typical problems are repeatedly emphasized in the articles of entanglement. Many people claim to have learned the theory of entanglement but turn a blind eye. They are just a little concept pieced together from hearsay, and it is strange if there is no problem.
After reading the full text, we will learn the theoretical details one by one, including K-line merging, classification identification, winding pen segment division, trend decomposition, interval hedging judgment, accurate identification of three types of trading points, etc. Every level needs to spend energy to pass. After making it clear in theory, the last thing is to use it in practice and improve your own trading system. The theory of entanglement is only a theoretical framework, and it will eventually become your own weapon to kill the enemy in the battlefield.
flexible use of entanglement theory
entanglement and the so-called 1%. Many people learn to use the theory of entanglement, obsess over those 1% things, and draw two pen centers casually, so they want to go to the opposite direction and find 1% room for theoretical increase. Not to mention whether you are right or wrong in theoretical study, the theoretical accuracy and practical accuracy can't be completely consistent. Even if the entanglement teacher says that the theory of entanglement has 1% theoretical guarantee, it is only a perfect hypothesis of theory, and you really mean that you can work it out casually. More than 9% of the trend in the market can't meet the standard deviation requirements of entanglement theory, but the more standard the trend is, the better the effect will be. The closer it is to 1%, many people will talk about it as if entanglement theory is useless if it doesn't reach 1%. This is wrong in the cognitive level. The first idea to get rid of when learning and using entanglement theory is to pursue 1%, which is only theoretical.
do you want to stop loss? This is also a problem that operators are often puzzled by: Entanglers often say that Entanglement does not need a stop loss, because there is a certain theoretical increase guarantee in the buying and selling points, and it can be sold before there is a loss. In theory, of course, there is no need to stop loss. However, due to the influence of operation level, T+1 and judgment accuracy, as well as personal mentality and operation treatment, timely stop loss is necessary for any operator. Imagine that you bought a line segment for one minute today and made a profit that day, but suddenly the next day, the bearish market opened sharply lower. So, whether to stop loss or not is a question. No one can give a 1% correct answer. You may pull up when you stop loss, and you will sing all the way later. Or you may not stop loss, and you will stop for a second after opening, followed by a continuous stop for several days. Both of these situations are possible and often happen. How to deal with them? It depends on your operation strategy and your risk tolerance and risk control ability. However, it is generally suggested that a gentleman should not stand under a dangerous wall and come out first as expected. Even if it is pulled up sharply later, it is ok to get it back. This is a second confirmation, and it is nothing more than a floating profit of one or two points.
a trade-off between efficiency and accuracy? Many beginners, especially the first, second, and third kinds of trading points, listen to some of the concepts of the theory of entanglement, and then mark the so-called first, second, and third kinds of trading points with a few strokes or through the software pen center, and then buy them. As a result, they are in a mess, saying that the theory of entanglement can't do this or that. There are many such people. The first, second and third types of buying and selling points in the theory of entanglement have very strict requirements on the trend structure and level. The so-called definition of "three buying" is that the second level leaves the center+the second level callback does not return to the center again to form the third type of buying point. Just pull a few times or replace it with a pen center approximation, can you guarantee that it is a three-buy? In the view of hunting in entanglement, this can only be called "form three buying" or "suspected three buying". This method is really convenient and fast, but there will naturally be some discounts on accuracy, but it doesn't mean that there is no merit in form. Form itself is also a manifestation of strength change. The key is to be careful when manipulating. Once the later trend is less than expected, you can quit or stop loss in time.
The structural trading point analysis based on trend recursion and the large-period diagram analysis based on the pen-parting theorem are two sets of natural complementary tools in the theory of entanglement. The pen-parting can be used to quickly judge the general trend on the large-period diagram, combined with the recursive decomposition of the small-period diagram, and the two sets of tools can be used together naturally. Nowadays, the programming of the winding pen segment is quite accurate. Combined with the use of cross-period segments, the cost of trend recursion is greatly reduced. For a one-minute trend chart of two or three months, strict recursion can be done in dozens of seconds as long as you are proficient in theory.