The relationship between upper, middle and lower orbits
1. When the upper, middle and lower rails of the Bollinger Band run upward at the same time, it shows that the strong characteristics of the stock price are very obvious, and the stock price will continue to rise in the short term. Investors should resolutely hold shares to rise or buy on dips.
2. When Brin runs down with the upper and lower rails at the same time, it shows that the weakness of the stock price is very obvious, and the stock price will continue to fall in the short term. Investors should resolutely wait and see or buy on rallies.
3. When the upper rail of the Bollinger Band runs downward, while the middle rail and the lower rail are still running upward, it shows that the stock price is in a consolidation trend.
4. When the upper, middle and lower rails of the Bollinger Band run horizontally almost at the same time, it depends on the stock price.
Trading skills
1. When the K-line runs on the lower rail of the Bollinger Band for a period of time, if there are signs of U-turn in the direction of the K-line, it indicates that the stock price has stopped falling and stabilized in the short term, and investors can open positions on dips.
2. When the K-line is always above the middle rail line and moves upward together with the middle rail line, it shows that the stock price is in the process of strong rise. As long as the K-line does not fall below the middle track, investors will resolutely hold shares all the way.
3. When the K-line runs upward above the Bollinger Band for a period of time, investors should be extra careful if the running direction of the K-line starts to turn downward. Once the K-line turns down and breaks through the middle and upper rails of the Bollinger Band, it indicates that the short-term strong stock market may end and will plummet in the short term. Investors should sell their funds and leave the market in a short time.
4. When the K-line breaks through the middle track of the Bollinger Band from top to bottom, it shows that the strong market in the early stage of the stock price has ended and the mid-term downward trend of the stock price has been formed. Investors should sell money in time.
Special tactics
1, open the bell mouth
Qualifications:
First, the stock price has to go through a long period of sideways consolidation. The longer the consolidation time, the smaller the distance between the upper and lower rails, and the greater the future increase.
Second, when the bollinger band begins to open, there should be considerable turnover.
2. Convergent bell mouth
Qualifications:
That is, after a sharp short-term increase in the previous period, the greater the increase, the greater the distance between the upper and lower rails, and the greater the future decline.
The formation of convergence trumpet is based on the fact that the stock price started to turn downward on the upper rail and the stock price fell below the short-term moving average.
For the emergence of convergence trumpet, investors can keep their income if they can sell it in time.