Category: Money Tips Date: 2006-11-12
Method of technical analysis by category, there is no technical indicators which accuracy has significant advantages, and sometimes the operation of different indicators suggested by the direction may even be diametrically opposed, and all indications tend to generate conflicts between, therefore, investors in the Quotes should be possible to study them to seek the cooperation and verification of various indicators.
In general, the conclusions of a single technical indicators only as a secondary reference, rather than as the sole basis for the conclusions of
. In fact, there are only comprehensive comparison of multiple indicators and judge, then it can be more in line with the objective reality, based on the increase in the relative accuracy of the conclusions. That is, if a variety of technical indicators have prompted the same time, out of basically the same trading signals, then the time will greatly enhance the credibility of the signal. For example, in judging whether the broad market or individual stocks at the bottom of formation, it can be short-term stock prices and trading volume average and MACD indicators used in combination with short-term stock price moving average line and the average trading volume and the MACD crossover point occurs at the same time to confirm the bottom of the area.
If the price decline began to appear in the long run some of the more visual signs of stabilizing, followed by stock price began to rise slowly, 5-day moving average and 10-day moving average will generally slow because of rising stock prices to go flat after the cross, the corresponding volume average will also appear on the 5th line of the phenomenon of online wear 10 at this time if the MACD indicator at the same time emergence of cross-buy signals, then the stock price bottomed out is often picked up important tips. From a technical analysis point of view, first of all, 5-day moving average up through the 10 short-term moving average shows that a low stock price has emerged, newly formed not only in the current trading price of the market has been a certain recognition, but a short time, the average Cost is also the position in favor multi-direction.
Second, the average volume of turnover on the 5th line above the line is running 10-day average, indicating that market sentiment has been some recovery, additional funds have continued to approach trading with the volume and price so that more reasonable.
Third, when DIF occurs when MACD break up the golden cross in itself is a technical buy signal, if the DIF and the MACD cross is above the 0 axis, then the credibility of the good that may last longer than perhaps Quotes long. However, even if the two cross is to be completed under the 0 axis, the afternoon rebound opportunities as well as not small. Can be seen, when the stock price moving averages, volume averages and MACD buy signal occurs at the same time, due to mutual authentication between them at this time the possibility of stock price bottomed out a target than any of them will be given a more reliable conclusions on the bottom of the judged accuracy has been increased.
In the actual operation, when the above three conditions are met, investors can find a suitable time to buy the disk.
Generally speaking, the stock price moving averages, volume averages and MACD in a trading day also issued a rare opportunity to buy the signal, does not necessarily need demanding such a time to buy. In fact, most of the time above the intersection of several lines are in different trading days completed. As the volume of the amplification are often advanced to stock up, therefore, are volume of the line will be the first to cross over there. When the number of intersection points, all of the above occurs, investors can consider buying a timely manner. If investors did not find in the first time, or taken note of the emergence of selling points, you can also wait for the next share price correction occurs when a selling point. When the three crossing points appears, the initial share price rose slightly more than would be the middle of the back after the block,
At this point as long as the stock is still running on an upward trend in the pattern, investors will be able to short-term moving average price fell near the office waiting for an opportunity to intervene. (China Securities Research Institute Kai)
Edited in the gold-line
