The MACD indicator is based on the construction principle of the moving average. It smoothes the closing price of the stock price and calculates it after finding the arithmetic mean. It is a trend indicator.

; 1. MACD is called moving average of similarity and difference, which is developed from the double exponential moving average. The fast exponential moving average (EMA12) subtracts the slow exponential moving average (EMA26) to get the fast line DIF, and then

Use 2×(9-day weighted moving average DEA of fast line DIF-DIF) to get the MACD column.

The meaning of MACD is basically the same as that of the double moving average, that is, the dispersion and aggregation of the fast and slow moving averages represent the current long and short status and the possible development trend of the stock price, but it is more convenient to read.

Changes in MACD represent changes in market trends, and MACD at different K-line levels represents the buying and selling trend in the current level cycle.

2. When applying MACD, you should first calculate the fast (usually 12-day) moving average and the slow (usually 26-day) moving average.

These two values ??are used as the basis for measuring the "difference value" between the two (fast and slow lines).

The so-called "difference" (DIF) is the 12-day EMA value minus the 26-day EMA value.

Therefore, in the ongoing rally, the 12-day EMA is above the 26-day EMA.

The positive difference (+DIF) will become larger and larger.

On the contrary, in a downtrend, the difference value may become negative (-DIF). At this time, the absolute value is getting larger and larger.

As for the market starting to reverse, the positive or negative difference must be narrowed to a certain extent before it is truly a signal of market reversal.

MACD's reversal signal is defined as the 9-day moving average of the "difference" (9-day DIF).

3. Research has found that today, the weekly K-line MACD indicator is more accurate in judging mid- and long-term turning points and can be used as the preferred reference indicator for mid- and long-term investors.

For long-term investment, using this method to speculate in stocks is obviously better than the investment method of holding index funds, and can achieve better appreciation and preservation of assets.

Let me share with you the actual study and judgment of the MACD technical indicator of the weekly K-line. First, it is best to use (12, 26, 9) parameters for online stock trading analysis software to analyze the weekly K-line. When the MACD value exceeds 5 and the indicator appears on the third

Buy when the market opens in two weeks, and sell when the market opens in the second week after the indicator turns green.

4. For most non-professional investors, the MACD weekly K-line method can be tried.

It is simple and single to operate and very easy to learn. It is also a good choice as a guide before buying and selling in stock trading.