Basic trading skills of KDJ
1, when the value of k is greater than the value of d, it shows that it is an upward trend at present, so when the K line breaks through the D line graphically, it is a buy signal; When the value of k is less than the value of d, it shows that it is a downward trend at present, so when the K line breaks through the D line in the graph, it is a sell signal.
2. When the D value falls to 10- 15, it is a good short-term buying opportunity; If it is as high as 85-90, it is a sell signal.
3. When the K value is greater than 80, it is a strong selling signal, and when the K value is less than 20, it is a strong buying signal; When the weekly K-line is less than 20, it is a rare buying signal, and when the weekly K-line is greater than 80, it is a broken selling signal.
4. When the K-line and the D-line cross for the second time at a high level, the market will plummet, and when they cross for the second time at a low level, the market will fight.
5.KDJ is not suitable for use when the market is weak, for stocks with small circulation plates, and for unpopular stocks; It is more suitable for use when the market is strong, more suitable for individual stocks when the main market is controlled, and more suitable for hot stocks.
Clever use of KDJ to buy and sell stocks
1, multi-cycle KDJ (I told you too many cycles in the early stage of the old money) indicator also forms a golden cross at the low level below 20. When the stock decline is over and the low position is about to start, it is confirmed to buy, usually at the end of the decline and the beginning of the rise.
2. If the daily line is at a low level, but the J value of the weekly and monthly lines is above 80, it is an intermediate adjustment.
3. If the daily line is golden, the weekly line is golden, and the monthly line is dead, there is only a rebound;
4. The daily gold fork, the weekly dead fork and the monthly gold fork indicate that the upward pressure is relatively high.
5. The daily line, weekly line and monthly line run above 80- 100 at the same time, indicating that the top is coming.
6. The daily line runs at a high level, and the weekly and monthly lines run at a low level, indicating a short tone. The second time the golden fork re-enters, the smaller the J value, the greater the rebound, and the greater the J value after the dead fork, the greater the decline.
KDJ trade point
The values of 1, k and d are always between 0 and 100. When d is greater than 80, the market is overbought. When d is less than 20, the market is oversold.
2. In the upward trend, the value of k is less than the value of d, and when the K line breaks through the D line, it is a buy signal. In the downtrend, the K value is greater than the D value, and when the K line falls below the D line, it is a selling signal.
3.KD indicator can not only reflect the overbought and oversold degree of the market, but also send out buying and selling signals through cross-breakthrough.
4.KDJ indicator is not suitable for stocks with small circulation and inactive trading, but KDJ indicator is extremely accurate for large-cap stocks and popular large-cap stocks.
5. When the stochastic indicator deviates from the stock price, it is generally a turning point signal.
6. The rising or falling speed of K value and D value is weakened and tends to be gentle, which is an early warning signal for short-term improvement.
KDJ trading application
1, buying pattern: low gold fork on K line and D line. K-line and D-line in KDJ index can represent the kinetic energy of stock price. K line represents short-term stock price fluctuation kinetic energy, and D line represents long-term stock price fluctuation kinetic energy. When the K-line breaks through the K-line upward, they form the golden fork shape of KDJ index. This pattern shows that the short-term upward momentum of stock price has an increasing trend, which is a bullish buying signal.
2. buying pattern: k line deviates from the bottom of stock price. While the stock price continues to fall and hit a new low, if the K-line in the KDJ indicator does not hit a new low, it means that although the stock price is still falling, the kinetic energy of the seller in the market has gradually weakened, and the stock price will bottom out in the future, which is a bullish buying signal.
3, selling form: K line and D line high dead fork. When the K-line of KDJ index falls below the D-line from top to bottom, they form a dead fork. If this form appears at a high position above 50, it is called a high dead fork. The dead fork shape of K-line and D-line shows that the market forces are getting weaker and weaker, and the empty power is gradually increasing, which is a bearish selling signal.
4. Selling form: K line deviates from the stock price. When the stock price continues to rise and hit a new high, if the K-line in the KDJ indicator does not hit a new high, but there is a downward trend from top to bottom, it means that although the stock price is still rising, the upward momentum is getting weaker and weaker, and the stock price will peak and fall back in the future, which is a bearish selling signal.
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