MACD indicator description
The convergence and divergence of MACD moving averages are two long and short smooth moving averages.
The principle of buying and selling is:
1.DIFF and DEA are both positive numbers, and DIFF breaks through DEA and buys the signal.
2.DIFF and DEA are both negative numbers. DIFF falls below DEA and sells the signal.
3. number three. DEA line deviates from k line, and the market reverses signal.
4. Analyze the MACD column line, change from red to green (from positive to negative), and sell the signal; Change from green to red, buy signal.
KDJ index
Indicator description
KDJ combines the advantages of momentum concept, strength index and moving average.
Used in futures investment in early years, the effect is quite remarkable. It is the most common in the stock market at present.
One of the indicators used.
Principle of buying and selling
1 K line crosses D value from the right to sell, and K line crosses D value from the right to buy.
2. The high grade crossed downward for two consecutive times, and the low grade crossed upward for two consecutive times.
Confirm the upward trend.
3 D value; 80% overbought, J> 100% overbought, j
When the 4 KD value hovers around 50% or crosses, it is meaningless.
5 stocks that are too speculative are not applicable.
You can observe the deviation between KD value and stock price to confirm the high and low points.
RSI index
RSIS is 1978 American writer Wells Wedler Jr. One of the proposed trading methods
One. The full English name of RSI is Relative Strenth Index, which is a Chinese name.
The basic principles of. RSI means that in the normal stock market, there are many
The power of empty buyers and sellers must be balanced, and the stock price can be stable; And RSI is aimed at
In a certain period of time, the ratio of the average value of the total range of stock price increases to the average value of the total range.
The RSI value 1 RSI is normally distributed between 0 and 100. When the RSI value is above 80‰ on the 6th,
The stock market is overbought, if there are M heads, it is the time to sell; When the RSI value is 20‰ on the 6th.
The next time the stock market oversold, if there is a W head, it is the time to buy.
2 RSI generally chooses 6th,12nd and 24th as the reference base period, and the longer the base period, the more.
Trend (slow RSI), the shorter the base period, the more sensitive it is (fast RSI). Fast time
When RSI breaks through the slow RSI from bottom to top, it is the buying opportunity; When the fast RSI goes from top to bottom
When it falls below the slow RSI, it is the time to sell.
Deviation index
Deviation rate shows the gap between the closing price of individual stocks and the moving average. positive deviation
The greater the amplitude, the greater the short-term profit, and the higher the possibility of profit taking; Negative and good.
The greater the departure rate, the higher the possibility of short covering. According to the closing prices of individual stocks and different days
For the difference between average prices, different deviation lines can be drawn.
W& rare
Algorithm:
The difference between the lowest price in n days and the closing price of the day, divided by the highest price and the lowest price in n days.
Poor, the result is enlarged 100 times.
Parameter: n Statistics days are generally 14 days.
Usage:
Below 1.20, overbought, about to peak, should be sold in time.
Above 2.80, oversold, about to bottom out, you should wait for an opportunity to buy.
3. It is better to combine RSI and MTM indicators.
Average directional motion index
Guide investors to avoid trading in a unified market. Once the market is profitable,
DMI immediately leads investors into the market and exits at an appropriate time.
Buying and selling principle:
1 and +DI cross DI, buy.
2. When +DI crosses -DI, sell.
3. When ADX turns its head downwards above 50, the market trend of counter-watch is over.
4. When ADX falls below +DI, it is not appropriate to enter the market for trading.
5. When ADXR is between 20 and 25, the reaction secrets in TBP and CDP should be used as trading parameters.
Testing.
Cotton boll index
Indicator description
BOLL uses the standard deviation of statistical principle to find its confidence interval.
Principle of buying and selling
1 BOLL can display its safe high and low price by band.
When the volatility becomes smaller and the band becomes narrower, there may be sharp price fluctuations immediately.
Healthy.
When the high and low points cross the edge of the wave area, they will return to the wave area immediately, and there will be a gear back.
After band 4 starts to move, it enters another band in this way, which is very important for finding the target value.
This is very helpful.
special administrative region
1.SAR can be used as a stop loss point at any time;
2. The price rise and fall must be faster than the SAR rise and fall, otherwise a stop loss signal will be generated;
3. when 3. SAR changes from red to green, sell it;
4. when 4. SAR changes from green to red, buy;
5. The cycle parameter of this indicator is generally set to 4 days;
6. This setting is mainly to find stocks with long or short stops.