What are the indicators of stocks?

There are momentum index, relative intensity index, randomness and so on.

Because the above analysis often needs the support of certain computer software, it is only a general understanding for investors who buy and sell personal real transactions.

Technical index analysis is an exchange rate analysis and forecasting tool that professional foreign exchange traders rely heavily on in the international foreign exchange market. The emerging electronic spot market also uses similar indicators.

Extended data

Momentum index aims to analyze the speed of stock price fluctuation, study various acceleration, deceleration and inertia effects in the process of stock price fluctuation, and the phenomenon that stock price changes from static to dynamic or from dynamic to static. The theoretical basis of momentum index is the relationship between price and supply and demand. With the passage of time, the increase of stock price must be gradually reduced, and the speed of change will slowly slow down before the market can reverse.

Momentum index calculates the speed of stock price fluctuation in this way, and obtains different signals such as stock price entering a strong peak and turning into a weak trough, which has become a favorite market measurement tool for investors.

The relative strength index is used to compare the average increase and average decrease of financial instrument prices in a few days. The index does not compare the relative strength of the two securities, but only compares the price fluctuation of a single financial instrument itself.

Using this index, we can find the signals of overbought and oversold, and use it as an early warning of the deviation between the direction of index change and the direction of financial instruments change. For example, when the price of financial instruments falls and the relative strength index rises, this is a buying signal.

In the stock exchange market, before the market trend turns, most of them tend to close at a high price every day, and when they fall, the closing price is often at a low level. In the design of randomness, the random amplitude of price fluctuation and the calculation of short-term fluctuation are fully considered, so that its short-term market measurement function is more accurate and effective than the moving average, and it is more sensitive than the relative strength index in short-term overbought and oversold.

Baidu Encyclopedia-Stock Indicators