The use of average price judged tips Money Tips

Category: Money tips Release Date: 2007-06-05

First, short-term moving average of the judgments (20,30,60,120-day moving average)

1, there must be wide bottom-line return on the 30th and the increased bonding, stock stand firm on the line, and in this period, the stock experienced a long decline in heavy volume after the best rally once again by the second Su Liang bottom record low after the climb, followed by a moderate volume constant magnification and, at times take the initiative to heavy volume hit a 120-day moving average upside take the initiative to fix too much deviation from the average system so 30,60,120 Daily walk considering entering the flat immediately after bonding.

2, satisfy the first point Quanzhong trying to find the current price from its pre-transaction-intensive areas of high point and the platform has been more distant or break up, breaking through before the longer length of the average bond Shoulong, stock prices down slightly in-line oscillation, and a particular Junction placed a lot of pull Changyang (or break up the formation of gapped gap), and confirmed by the effective withdraw sword (Su Liang, withdraw sword shallow, 30-line support and still maintain a strong upward trend) courageous intervention.

3, once a stock pulled into the period, 20,30-day MA should always keep rising, this stage, the stop should be set at the two lines at the two lines should not go flat, but there should be no turning point Once there, immediately leave. The same time, the daily gains and the gains were calculated the ratio, if the initiative is stronger than the broader market continued to hold, and should note that a deviation between the short-and long-term average rate, is too large means that short-term profitable turnaround at any time or at least correction appears to adjust. MA in good health systems should not be "excessive" upward divergence (even if this means a strong, single-can only be a short-term strength), but a good average should be a form of both short-and long-term moving average parallel to uniform upward to keep pace, so that long-term gains and sound.

4, when the market from disdain to concern, then the same should be carefully optimistic about his possible shocks, always alert. 20,30 on-line, once flat, immediately consider dispersal; the back pressure between the medium-term moving average is a substantial adjustment.

2, long-term average of the judgments (120,250-day moving average)

For long-term moving averages 120,250's analysis there are some small experience, which is that these averages must be at a specific time interval before work, pay attention to the possible establishment of empirical formula conditions, such as stock-day moving average of the line to 120,250 between two moving averages into a pair of scissors of the situation, it is more difficult situations, (note that we are talking about a difficult, rather than pessimists!) because in general the 250-day moving average downlink, uplink of 120-day moving average, according to averages principle, Note holders of 120 days cycle, the cost of rising, 250 in fall, when the dealer if the upward movement, on the one hand the pressure of facing the long-term cash buyer, and these investors, and will not be affected by short-term technical trend , throw rallies is inevitable;

On the other hand, a long-term observations, for those who long for Quan Zhong Zhuang Manniu 120 days is generally the main line of the average cost areas, while most of the low stock Jiancang line of 120 days is their cost, when this average in the when the stock price at the top, take the flat is the best case, down to the same as a 250-day moving average down 2 shows the main body of at least had not been admitted into did not even try! Average up to know the cost of the advance of the main costs of sync with the market increases, so will he still alive worn out! And once the market early sign of trouble, or OK to leave the resistance will be faced with a high short-term passenger stuck. Moreover, a stock where there may not be a banker, but the cost was paid by up promote. A real breakthrough, more stable is to make lines from 120 days to go flat to slightly upturned.

On the other hand, stock prices fell in this range will not be a small decline to a relatively long time, price comparison is the downward pressure is generally bad to rely on market rumors, or rather loss of a bargaining chip, then the dealer may lose tomorrow of their jobs. In other words, will become a chicken ribs! Similarly, these two moving averages alone, when the above-mentioned conditions will also play a similar role, but only relatively weak intensity.