Category: Money Tips Date: 2007-06-11
As China's stock market established in a short time, only a decade, coupled with listed companies, fraud was rampant, and the use of fundamental analysis is very difficult, thus adding a number of technical analysis camp, which is a very natural thing. A significant number of investors filed a technical analysis, the first thought is probably KDJ, RSI, MACD and other common technical indicators. These technical indicators easy to use, intuitive judgments, only a simple observation, "Jin Cha" or "Sicha" seems to be in the future will be able to ebb and flow of information, so well received by the investor favorite, where I call superstition such indicators Friends thought two things:
First, these indicators of buy sell signal issued by almost all market participants can see, then do the same operation if everyone can be a rewarding experience it? Trying to tell us that this is absolutely impossible.
Second, these indicators themselves, within a period of time from the calculation of stock price data, but many individual stocks changes in price movements is difficult to ensure that people are not around, in other words, these indicators can easily be manipulated, they may be a deceptive手段.
Of course, with the stock market development, people are no longer confined to the target applications, began to try to study the K-line combination of price-volume relationship, but there is a cart before the horse issue. Let's give an example of life, for instance, one person for the first time by train, he sat in a train carriage trying to find out the reasons for flying, he found the curtains on the windows waving and train movements are closely related, therefore concluded that the train curtains fluttering driven forward, in fact, as long as he out of the car, you'll see the engine and you will find the driving force behind the train, I am This is a telling random examples of life may not have such a stupid person, However, this phenomenon in the stock market are everywhere. Many of my friends to focus on chart patterns and phenomena of the research and come up with ways how the days to come up conclusions. In fact, China's stock market is concerned, every big policy context of the stock market are all supported and stocks in the main leader, led a scheme to manipulate the way Chong Guan Ba Zhai, and the resulting market sentiment triggered heated almost all of the shares there will be more or less boost. So, I say that these issues of principle are not clear, and you study hard for Handicap technology, as well as from the time-sharing plans to see the subtleties, and the only with your own feelings about, in fact, to express the meaning of the chart simple and limited, we subjective thinking to add a lot. Rise in stock prices must have the amount of transaction, while the transaction volume and price of the stock may or may not increase, how to make good use of this condition depends on everyone's perception of the.
Later, with the stock market development, a lot of upside to develop into the phenomenon of investment theory, these theories might sound a little token, experience real loss what to do, which is totally behind closed doors results. For example of such a statement as to what the stock market can be deceptive, volume alone can not lie, so have a bargaining chip distribution theory, and others hope that through some of the disk buying selling statistics to find out. Technical analysis is an assumption: stock prices reflect everything. In the investment practice, do not know how many people can fully understand charts and technical indicators covered by "all", and based on technical analysis to be invincible? Perhaps, technical expert on would think that the reason they can not read charts and technical indicators, as Personal Development, rather than a technical analysis itself is limited by the shortcomings, I said, This is a misunderstanding, I am speaking here, and perhaps I do not know what is the real technical analysis, but I can say for sure that a lot of investors a friend currently available technical analysis is simply insufficient to meet the market, if our friends around or advertising in a number of expert insisted that they could well aware of the dealer's every move on the market trend in the words with confidence. I'll advise you to find a few have been publicly reported for Chuang look inside the complexity of this chart is far from being able to express.
Technical analysis relies on the theory were provided that: market behavior with all Han, the price trend toward mobile, history will keep repeating itself. Representatives of the faction have Gann, Elliott. However, frustrating is that, relying on technical analysis investing in stocks in the stock market on the fortunes of people from all over the world today has no one, including Gann and Elliott himself. Here, I do not want things on some theoretical level, to make some controversy. Many of the stock market theory, inscrutable, has naturally spread the truth of its existence and survival of the soil. I'm just from the actual point of view, I think the stock market does not exist can be programmed unique skills, and the most taboo curing response to changing market ideas. I also emphasize that technical analysis does not hold a negative attitude towards me, on the contrary I think that small investors, the rational use of technical analysis is a very important investment in one part, I am just a number of existing investors is obvious the error made some comments, and also welcomes the exchange of letters from friends. In conclusion I hope that the majority of investors will realize that while technical analysis can give some useful reference for investment and the role, but not exaggerate the role of the blind subjective, so as to get out the errors in understanding the real investment.
