KDJ indicator is a technical analysis tool to evaluate the overbought and oversold of stocks or other financial assets. This indicator is represented by three curves, including %K line, %D line and J line. Traditional KDJ parameters are set to 9, 3 and 3. However, in the practice of traders and investors, some people will try to adjust with different parameters to obtain more accurate results. After modifying the KDJ parameters, some people made amazing discoveries.

First, the sensitivity can be adjusted by changing the KDJ parameters. Under the original parameter setting, KDJ index responds quickly to price changes. Therefore, in a short time, it can provide higher transaction frequency. However, sometimes this will lead to too many trading signals, making it difficult for investors to make informed decisions. By increasing or decreasing parameters, investors can adjust the sensitivity of KDJ indicators to make them more suitable for their trading needs. In this way, investors can make flexible decisions according to market conditions, rather than being limited by fixed parameters.

Secondly, modifying KDJ parameters can also improve the accuracy of indicators. In practical application, many traders find that KDJ indicators will produce misleading signals in some cases. This may lead to wrong trading decisions and losses. By modifying the parameters, traders can adjust the accuracy of indicators according to personal experience and market conditions. For example, by increasing the parameter value, especially the parameter value of %K, the index can be smoother and noise interference can be reduced. In this way, traders can clearly identify the real overbought and oversold situation and make corresponding trading decisions.

In addition, modifying KDJ parameters can also help traders discover new trading strategies. The original KDJ indicator may not provide the best trading strategy when it adapts to different market conditions. By adjusting the parameters, traders can find more effective strategies in a specific market environment. For example, the reduction of some parameters may make the index more stable and more suitable for long-term investment. Increasing parameters can improve the sensitivity of the index, which is suitable for short-term trading. By constantly experimenting and adjusting parameters, traders can find the best trading strategy that suits their own style and goals.

Generally speaking, by modifying the parameters of KDJ indicators, traders can adjust their sensitivity and accuracy, discover new trading strategies and achieve better trading results. However, it should be noted that the adjustment of parameters should be based on personal experience and market conditions, rather than blindly thinking that the parameter value is bigger or smaller. In practical application, traders should find the most suitable parameter setting according to their own actual situation and market characteristics.