Category: Money Tips Date: 2007-06-15
Stock bottomed out in advance to leave the Federation of the signal, any bottom of the form has its own interpretation of the classic, but the original aim, they are all interrelated with each other, but bottomed out a strong signal to varying degrees, but the formation of the same principles, such as the Insert lines, good to stimulate the line and hold lines. Hold lines we have previously mentioned, the focus today, talk to stimulate the insertion line and the positive line.
Of these three classic combination of K-line is the most common form of bottomed out, open the K line graph we will find a lot of stocks are three kinds of forms from the beginning. However, this combination of three kinds of K-line bottomed out a clear signal to varying degrees, bottomed out the weakest was the insertion of the signal line, and then hold line, the strongest line is the positive stimulus.
Classic Insert line: individual stocks with low share prices did not continue after opening down to find the bottom, but there is a clear trend of rebound, but the rebound force is not large, there is no more than yesterday's opening Yinxian location, which is equivalent to the right of Yang Xian inserted into the left The Yinxian go inside, which I call it into line form. But the insertion of the classic line must meet the following conditions, that is, the intensity of attacks Yangxian larger, at least to reach half of yesterday's Yinxian or more. If Jinzhou 6 Lu, in the July 12, 2005 the formation of the insertion lines, and then stock prices along the way lines, or as high as 83%. We can see that the unit inserted into the line Yangxian July 11 Yinxian half of the position.
Classic holds line: In fact into line hold line is the evolution of the right efforts to re-bounce Yang Xian attack a bit more, if more than yesterday's opening Yinxian position, holds line on the form. Yang Xian entity the right than the left Yinxian's opening position, indicating the multi-attack power is very large, it bottomed out the signal is far stronger than insert a line.
Good to stimulate the line: This is the three forms the strongest signal. After a long decline in stock prices after the sudden appearance of a decline Yinxian, the market most people think that the market outlook will continue to decline, but the next day, stock prices, spurred by positive high away suddenly opened higher and also more than yesterday Yin Xian's open position, bottoming out the signal is very clear.
However, all three forms must be guaranteed to be a big bang, the amount of release was, the more credible, if the two K lines do not have upper and lower shadow line even more credible.
Of course, I have always believed that no matter what shape, appear in the weekly and monthly online bottoming out signal will be more clear, but heavy volume is required. The three forms used to determine if the tape would be more useful, even we can fall when the broad market such as this special combination of K-line appears. Once there, we can determine the bottom of the basic, if there is relevant information with or in the important support level, we can rest assured that buying the stock.
However, when we use these when the K-line portfolio is difficult to encounter a very standard form, it should be applied flexibly, and can not be applied mechanically, for example, K-line may be hatched with the upper and lower, but the entity must comply with some of the characteristics mentioned above .
Bottomed out at the bottom of the signal, and this combined to form three kinds of K-line principle is the same, but the signal strength differences, they often evolved with each other and give us to judge afternoon provided a lot of reliable basis for readers to analyze them to be dynamic, formation process, so that lesson should be learned.