First, the principle that the bottom of the daily line deviates from the index
The daily deviation indicator is a technical analysis indicator, which can help investors accurately judge the inflection point of the market. The principle is that when the price trend shows a downward trend, if the closing price is higher than the opening price, it indicates that the market sentiment has changed and may rebound. This is the principle that the bottom of the daily line deviates from the index.
Second, the use of daily deviation indicators.
The use of the deviation indicator at the bottom of the daily line is very simple, just observe the price trend of the stock. When the price shows a downward trend, if the closing price is higher than the opening price, it shows that the market sentiment has changed and may rebound. You can consider buying stocks at this time.
Third, the advantages of the bottom of the daily line deviating from the index
The advantage of daily deviation index is that it can help investors accurately judge the inflection point of the market, so as to obtain better investment income. Its use method is also very simple, just observe the stock price trend. When the price shows a downward trend, if the closing price is higher than the opening price, it shows that the market sentiment has changed and may rebound. You can consider buying stocks at this time.
Fourth, the shortcomings of the daily line deviating from the index
There are also some shortcomings in the daily deviation index. First of all, it can only help investors accurately judge the turning point of the market, but can't help investors predict the future trend. Therefore, investors need to combine other technical indicators to analyze the stock trend. Secondly, the daily deviation index can not fully reflect the real situation of the market, and investors need to analyze the trend of stocks in combination with other technical indicators and macroeconomic situation.
V. Application of daily deviation index
The daily deviation index can be applied to various investment forms, such as stock investment and futures investment. It can help investors accurately judge the inflection point of the market, so as to obtain better investment income. In addition, the daily deviation index can also be used to analyze the foreign exchange market to help investors better grasp investment opportunities.
To sum up, the daily line bottom deviation index is a technical analysis index, which can help investors accurately judge the inflection point of the market, so as to obtain better investment returns. Its use method is simple and easy to understand, and it can be applied to all kinds of investment forms. It is an effective tool for investors to grasp investment opportunities. However, when investors use the bottom deviation index of the daily line, they need to analyze the trend of the stock in combination with other technical indicators and the macroeconomic situation in order to better grasp the investment opportunities.