Category: Money Tips Date: 2007-03-19
"Golden Section" is a very magic number, use it to predict on the stock market analysis, not only to more accurately predict the stock or stock up or down range, but also able to determine the stock or stock up in the process of individual resistance (or pressure-bit), and down in the process of the various support spaces. Measured out of stock or stock up during the process of the various resistance and the decline in the various support spaces will be up when we are holding up to what extent can we expect, or wait and see when the minimum should look at the short positions fell to what extent, provide a strong frame of reference.
1, the magic's "Golden Section"
The end of the 15th century, the church's missionary flange map roadblocks? Baciorri (UCAPACIOLI) found that the pyramid has been able to survive for thousands of years does not fall, and the shape of beautiful, because of its height and the base structure of each side of the ratio of "5 : 8. " Responding to the mysterious because of the wonders and value of the ratio, while the use of the word gold, will describe the proportion of law books, named "Golden Section."
For hundreds of years, a number of scholars and experts been discovered, including the building structure, mechanical engineering, music, art, and even a lot of things in nature are with the "5:8" ratio of 0.382 and 0.618 similar to the two mysterious figures relate to:
5 / (5 +8) = 0.3846
8 / (5 +8) = 0.6154
And as 0.382 and 0.618 of these two mysterious figures add up exactly equal to 1, so the "0.382" and "0.618" ratio called the "Golden Section" or "golden cut rates."
Many experts and scholars pointed out that "Golden Section" not only has the aesthetic point of view to achieve a more functional purpose. For example, buildings, windows and doors, picture frames, crosses, cards and books, the ratio of their length and width are very close to the "Golden Section." As another example, a normal growth of people, from the navel to the soles of the feet of the length of the total body length of about 0.618, while the length of the head to the navel, then the total body length of about 0.382. If a person happens to be the length ratio of 0.618 and 0.382, then he (she) must be a well-proportioned body, like the body of a woman, we can call her "Golden Girls." In addition, the bacterial growth rate, fluctuations in waves, hurricanes, and outer space nebula cloud rotation, all with the "Golden Section" by the extension of the "golden spiral" 1.618 times the ratio.
In recent decades, some American scholars, the "Golden Section" application in the stock market analysis, to discover and index or stock up when the speed of the former band decreases 0.382 times 0.618 times, or near, will have a greater anti - pressure, may occur at any time stop rising drop; when stock or stock prices decline, its rate of decline to rise before the band of 0.382 or 0.618 times the vicinity will have a greater support, may be stabilized at any time up. Why such a coincidence? Study its root causes, since the natural world are subject to the "Golden Section" of this magical power of the norm, then, human beings will inevitably be constrained by the natural world. Strength of the stock market is a collection of crowd behavior, it also belongs to a natural social phenomenon, so its bound to follow the law, under normal circumstances can not be invisible forces of nature are not subject to the constraints. It can be predicted, the observation in the stock market analysis, if we can just right to use "Golden Section", must be able to more accurately predict the trend of stock index or stock has greatly enhanced the profitability of stock investments.
