Review 1: Judging whether the market is in an upward or downward trend by continuously moving up or down the highest and lowest points of the K-line;
Review 2: Judging whether the trend is in an upward or downward trend through the 30-day moving average, which is the lifeline;
Review 3: MACD yellow and white line combined with 0 axis to judge the current trend;
The most accurate judgment of these three trends is through the K line; and whether the 30-day moving average is up or down is a lazy way, but it is impossible to judge the sideways trend, because the 30-day moving average is relatively slow; and the essence of the MACD indicator is When the strength of the MACD dead cross above the 0 axis is combined with the K line to find that the strength is insufficient, when it gives a bullish golden cross signal, the strength will be very strong. This is very important, because the Hang Seng Index market does not need to look at the trading volume like the stock market, because whether the market can follow this direction after a large buy order comes in within a certain period of time, if a stock suddenly has a large buy order at a high level, The trading volume is very large but the stock price does not rise correspondingly but falls, indicating that someone is selling a large amount of money. Explanation: According to the quadrant of price P and quantity Q, the 45-degree upward is the supply S, and the vertical S is the demand D. When the supply remains unchanged, the demand increases, and the D line shifts to the right to form a new intersection point with S, resulting in a more With high prices, volume, that is, volume also increases, which is normal. However, when there are big buyers, the price should rise but fall instead, indicating that someone in the market is selling a large number of stocks, and the stock price is falling. This is the reason why the stock depends on the immediate effect. It is related to the overall trend of the stock, not the K-line and moving average, because they reflect the past trend, and the future trend depends on the current supply and demand relationship in the market. In the Hang Seng Index market, it doesn’t need to be so complicated. It is enough to trade through indicators. You don’t need to look at how many big orders and how many sell orders there are. To study the current trend in the Hang Seng Index market, you only need to compare the current long and short forces. But, for example, when judging by MACD that the current market is empty, if the decline is weak, then when the indicator turns upward, it must be a strong rise, which is very important.
There are four stages in the financial market: downwashing, sideways trading, rising profits, and sideways shipments. From an economic point of view, the price will fluctuate around the real value of the commodity, and the fluctuation range can be large or small. The reason why the Hang Seng Index is more profitable is that it can also be profitable in the falling wash-up phase and the pull-up phase. The sideways arrangement stage is difficult to judge in the early stage, but it can be clearly seen in the later stage. For example, sideways trading in a downtrend is very easy to lose money, so a stop loss should be set. It may be that the first and second times of sideways trading did not show up, resulting in losses. Before the third time of sideways trading and preparing to place an order, it is necessary to judge whether it is no longer in a downward trend but is in the sideways trading stage.
Definition of sideways trend: the highest point moves continuously, and the lowest point moves continuously. Trading strategy during sideways trading (don’t do it for beginners): enter the market at the previous high or so in a downtrend, and set a stop loss of 30 to 50 points above the entry point, and take profit from the lower rail of the sideways trading box. At the same time, go long on the lower track of the box and set a stop loss point of 30 to 50. This is a transaction inside the box. If you are short but reach the stop loss point, you cannot go long immediately at this time. You must continue to confirm the current long-short strength through the market, that is, you will only go long when the market continues to rise after the slight back step. The starting point of a wave of market. (Note: In fact, this is what Tang Lun calls the third type of buying and selling point)
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