How to analyze the trend line of 2022 shares?

How to analyze the trend line of 2022 shares?

The trend change of stock price has certain regularity, and it also shows certain trend change. Trend line is a line used by technical analysts to draw the past price trend of securities (stocks) or commodity futures. So today, Bian Xiao is here to sort out the stock-related knowledge for everyone. Let's have a look!

Stock trend line

Many investors and friends may be more concerned about the stock price when trading stocks. When the price breaks through the trend line, it will not run in the opposite direction for a short time. Even if the main force makes a more or less luring action, it must at least run 10 trading days or several trading weeks above or below the trend line before it can reverse.

Which line is the trend line in the stock? In the upward trend, connect two low points into a straight line and you will get the upward trend line. In the downtrend, the downtrend line is a straight line connected by two high points. The upward trend line plays a supporting role, and the downward trend line plays a pressure role.

Trend line stock selection

Trend line is to display the trend of stock movement in a graphic way and use it to predict and analyze, which is called regression analysis. Trend line can be used to expand the trend line in the chart, that is, to predict future data according to actual data.

An important principle of stock trading is to "follow the trend" rather than "move against the trend". Among them, "potential" is the general direction and trend, that is, the direction of stock market movement. There are usually three trends: upward trend, downward trend and horizontal trend (no trend).

In the stock market, investors can only make money by buying low and selling high, so it is particularly important to choose stocks with an upward trend. That is to say, when picking stocks, you should choose the stocks whose peaks and valleys at the back of each K-line chart are higher than those at the front (that is, the bottom is higher than the bottom), as shown in Figure 2- 16.

Connect two connected lows of a stock with an upward trend in turn to get an upward trend line. Usually, the uptrend line has a certain supporting effect on the stock price; Once the uptrend line is formed, the stock price will run on it for a period of time. According to this principle, short-term investors can choose stocks above the uptrend line.

How to analyze the trend line

Some people regard the 60-day moving average as a trend line, while others regard the 120 moving average as a trend line. Taking the 60-day moving average as the trend line, it is considered that the 60-day moving average is also called the medium-term trend line, which is an important traditional indicator of the trend of capital inflow and outflow. Taking the 120 moving average as the trend line, it is considered that the main function of the 120 moving average is to indicate the reverse trend of medium and long-term prices and guide or guide the large-scale operation of the band in the established trend.

How to analyze the trend line in the stock market? The uptrend line consists of each fluctuation low point, and the downtrend line consists of each fluctuation high point; The uptrend line breaks to produce shipping signs, and the downtrend line breaks to produce buying signs. Both upward and downward breakthroughs are effective breakthroughs of more than 3%; The upward breakthrough needs to enlarge the volume, and the downward breakthrough does not need to cooperate with the volume. After the validity is determined, the volume will expand; At the end of the rise or fall, the stock price accelerates to rise or fall. The above is the trend line analysis method.

How to buy and sell stocks according to the trend line

As a support line or pressure line, it will restrain the future stock price. When the stock price falls near the trend line in the upward trend, investors will choose to continue to hold positions or increase positions because of psychological hints that the stock price will not fall, so the stock price is supported. In the downward trend, when the stock price rebounds to the vicinity of the trend line, investors will think that the stock price cannot break through the trend line and choose to sell temporarily, so the stock price is suppressed here.

Selling points when the uptrend line breaks down: first, when the uptrend line is broken for the first time; Second, when the rebound high point after the breakthrough is suppressed by the uptrend line; Buy when the downtrend line breaks upward: first, when the downtrend line is broken for the first time, and second, when the downtrend line supports the downtrend line after the breakthrough; The same is true for trading points where the channel line of sideways trend breaks up or down.

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