24 basic indicators (4) -- Cr

Intermediate willingness indicator-Cr

CR indicators are also called intermediate willingness indicators. They have many similarities with Ar and BR indicators, but they also have their own unique analysis and determination functions, it is a medium-and long-term technical analysis tool for analyzing the Strength Comparison between the stock market and grasping the stock trading opportunities.

Section 1 principles and calculation methods of CR indicators

I. Principles of CR indicators

There are many similarities between CR indicators and AR and BR indicators, such as calculation formulas and judgment rules. However, the biggest difference between CR indicators and AR and BR indicators lies in their different theoretical starting points. The theoretical starting point of CR indicators is that the central price is the most representative price in the stock market.
To avoid the shortage of AR and BR indicators, the CR indicator uses the middle price of the previous calculation cycle when you select a balanced price. In theory, its energy is "strong" at a price higher than the central price, and its energy is "weak" at a price lower than the central price ". The central price of the preceding calculation cycle (such as day N) of the CR indicator compares the highest price and lowest price of the current cycle (such as day), and calculates the "strength" of the stock price in a period of time ", therefore, it has unique functions when analyzing abnormal fluctuations in stock prices.
In addition, the CR index can not only measure the popularity and the potential of Price Momentum, but also show the pressure band and support band of the stock price. In order to analyze and predict the future trend of the stock price, it provides an important reference for judging the timing of stock trading.

Ii. Cr indicator calculation method

Due to the different calculation cycles, CR indicators also include daily CR indicators, weekly CR indicators, monthly CR indicators, annual CR indicators, and minute CR indicators. The daily and weekly CR indicators are often used for stock market research and determination. Although their values are different during calculation, the basic calculation method is the same.
Taking the daily Cr index as an example, the formula is as follows:
Cr (n) = p1 × P2 × 100
Formula, P1 = sigma (H-YM), indicating the total power of multiple parties since N days
P2 = Σ (YM-L), indicating the sum of air power since N
H indicates the highest price today, l indicates the lowest price today
Ym indicates the central price of yesterday (the previous trading day)
The central price in the CR formula is actually an indicator. It is obtained by weighted average of the highest price, lowest price, opening and closing prices of yesterday's (ym) transactions, the weight of each price can be artificially selected. Currently, there are four common calculation methods:
1. M = (2C + H + l) limit 4
2. M = (C + H + L + O) limit 4
3. M = (C + H + l) limit 3
4. M = (H + l) limit 2
Formula, C is the closing price, H is the highest price, L is the lowest price, O is the opening price
From the calculation method of the four central prices, the emphasis on the four prices is different, and the three are based on the closing price. It can be seen that the closing price is important in the technical analysis.
Like other technical indicators, in practice, investors do not need to calculate CR indicators. They mainly understand Cr calculation methods to gain a deeper understanding of the essence of CR indicators, lay the foundation for using indicators.

Section 2 General Evaluation Criteria for CR indicators

The general evaluation criteria of CR indicators are mainly focused on the value range of Cr values, the form of Cr indicator curves, and the cooperation between CR indicator curves and stock price curves.

I. CR indicators

1. From the formula of Cr, we can see that the CR index is prone to negative values, but according to the common method, once the Cr value is negative, always treated as 0.
2. Like AR and BR indicators, if the Cr value is 100, the willingness to buy and sell in the middle is balanced.
3. When the Cr value is between-(some are set to 80-), it indicates that the stock price is a consolidation market, and investors should take a wait-and-see view as the main factor.
4. in a bull market (or for bull stocks), when the Cr value is greater than 300, it indicates that the stock price has entered the high price zone and may be blocked at any time.
5. When the Cr value is greater than 200, it indicates that the willingness to rebound the stock price is in place and may fall again at any time, so we should leave the market in time.
6. In the consolidation market, when the Cr value is below 40, it indicates that the market adjustment is coming to an end, and the stock price may rise again at any time, so that investors can buy in time.
7. At the end of the bear market, when the Cr value is below 30, it indicates that the stock price has been seriously oversold and may rebound at any time. Investors can enjoy low prices.
8. The accuracy of the CR index for the analysis and determination of high values is higher than that of the CR index for the analysis and determination of low values. This means that the ability of the stock price to enter the high price zone is better than that of the low price zone.

Ii. Cr indicator curve form

The Analysis and Determination of CR indicators are mainly aimed at the different forms of Cr curves at the top and bottom.
1. When the CR curve forms the M-headed or triple-peaked top reversal form at a high position, it may indicate that the market has changed from strong to weak, and the stock price is about to drop sharply (especially for stocks that have increased too much in the early stage ), if the share price's K-line also appears in the same form, it can be confirmed that the decline can be determined by M-headed or triplicate theory.
2. When the CR curve is at a low position, such as W bottom or triple bottom, it may indicate that the market has changed from weak to strong, and the stock price is about to rebound upwards, if the share price's K-line shows the same pattern, it can be confirmed that the increase can be determined by means of the W-base or triple-base.
3. Relatively speaking, the accuracy of the high m head or triple top of the CR indicator is higher than the W bottom or triple bottom at the bottom.

Iii. Use Cr curve with Stock Price Curve

To a certain extent, the CR indicator has a leading role in the stock price trend, especially when the stock price peaked or bottomed out, it can show signs of leading the stock price curve. If there is a deviation between the stock price curve and the CR indicator curve, it may indicate that the stock price trend is about to reverse. The combination of the CR indicator curve and the stock price curve mainly covers the following aspects.
1. When the CR indicator curve keeps rising, and the stock price curve also keeps rising, it means that the stock price trend is in a strong rising stage and the stock price trend will continue to rise, investors can firmly hold their shares to stay up.
2. When the CR indicator curve continues to fall, and the stock price curve also drops, it means that the stock price trend is in a weak decline stage and the weak trend is hard to change. At this time, investors should focus on currency holding.
3. When the CR indicator curve starts to fall down from the high position, but the stock price curve is still slowly rising, it means that the stock price trend may be "top off, especially after the stock price has just experienced a big increase. When the CR indicator curve shows a "Top deviation" at a high level, investors should make profits in a timely manner.
4. When the CR indicator curve starts to rise from the bottom, but the stock price curve continues to fall, it means that the stock price trend may have a "bottom deviation" phenomenon, especially after a long round of decline in the stock price in the early stage. When the CR indicator curve shows a "bottom deviation" at the bottom, investors can create a small number of warehouses in batches.
5. The accuracy of the CR index's determination of "Top deviation" is much higher than that of "bottom deviation.

Section 3 special analysis methods for CR indicators

Since currently, Qian Long and analysts in China are two representative stock market analysis software, CR indicators have two different interfaces. Therefore, the special analysis and determination of CR indicators mainly focuses on different analysis methods of such software.
I. Analysis and Determination of CR indicators on analytics software
In analyticdb, the daily Cr index is mainly composed of the daily Cr curve and the ma-day moving average of CR. Ma consists of three curves with different cycles: ma1, Ma2, and ma3. They can use different cycle parameters to calculate the moving average days of ma1, Ma2, and ma3, generally, the number of start days is 5, 10, or 20. The Analysis and Determination of daily ROC indicators is based on the different relations between the four curves.
The relationship between the CR curve and the ma curve of Cr is not only the form and Deviation Analysis Methods we mentioned earlier, more importantly, the analysis and determination of the intersection between the CR curve and the three Ma curves of Cr. The main analysis method is as follows:
1. When the CR curve and the three Ma curves merge at the bottom and move horizontally in a narrow area (preferably between-), it indicates that the stock price is bottoming in the bottom area, at this time, investors should pay attention to the stock price trend and can begin to build a warehouse at an bargain. Once the transaction volume begins to gradually increase and the stock price increases slowly, investors can increase their warehouse creation volume.
2. When the CR curve begins to break away from the narrow area of the Front horizontal disk and break through three Ma curves from the bottom to the top, it indicates that the bottom sorting of the stock price may end, and the strong characteristics of the stock price may begin to appear, once the CR curve breaks through the last Ma curve and there is a large transaction volume, it is a better buy signal. Investors should buy in time.
3. When the CR curve breaks through three Ma curves and quickly rises above 150, it indicates that the strong characteristics of the stock price have been established, and investors should promptly buy or hold shares to rise.
4. When the CR curve moves up quickly, the three Ma curves also rise, indicating that the stock price continues to maintain a strong upward trend, investors should hold shares all the way.
5. When the CR curve rapidly rises after a short period of time and is far away from the pre-organized area, and the stock price has increased significantly, investors should pay close attention to the trend of the CR curve.
6. When the CR curve starts to turn down at a high position (more than 200), it indicates that the strong stock price is coming to an end, which is a better selling signal. Investors should sell the shares in time.
7. When the CR curve moves down from a high position and falls below the top Ma curve for the first time, it indicates that the strong stock price has ended and investors should clear the stock in time.
8. When the CR curve moves down from a high position, the other three Ma curves start to run down together, indicating that the weak stock price has started, and investors should hold the currency to wait and see.
9. When the CR curve breaks down the last Ma curve, it indicates that the weak stock price has been established, and the stock price will fall quickly. Investors should firmly hold on to the sidelines.
10. When the CR curve falls below three Ma curves, the stock price trend will enter a long bottoming process. What investors can do is to wait patiently until the weak market of the stock price operation shows signs of ending.
Ii. Analysis and Determination of CR indicators on Qianlong Software

Section 4 practical skills of CR indicators

The practical skills of CR indicators mainly focus on the intersection between CR curves of CR indicators and ma1, Ma2, ma3, and the location and operation direction of Cr curves (note: in the Qian Long software, the research and Determination of CR indicators mainly focus on the relationship between CR curves and A, B, C, and D curves ). The following uses the daily parameters (, 40, 60) of analyticdb as an example to reveal the sale and wait-and-see functions of CR indicators. [Note: The daily metric parameters of Qianlong software (, 40, 60, and 80) correspond to those of analyticdb. The usage of these parameters is generally the same 〕.

I. Sales Functions

1. When the CR curve in the CR indicator is integrated and combined with the three curves ma1, Ma2, and ma3 in a small area near 100, once the CR curve breaks through these three curves, in addition, when the stock price also broke through the medium-and low-price average over the long term, it indicates that the stock price's mid-and low-price consolidation has ended, and the strong rise feature has begun to emerge, which is a signal to buy the CR indicator. At this time, investors should promptly buy stocks in the middle and short-term. As shown in figure (12-1.
2. When the CR curve in the CR indicator is integrated and combined with the three curves ma1, Ma2, and ma3 in a small area near 100, once the CR curve breaks down the three curves, in addition, when the stock price broke through the medium-and long-term average, it indicates that the high consolidation of the stock price has ended, and the weak decline feature has emerged. This is the sales signal of the CR indicator, if it is a stock with a recent increase, this selling signal is more obvious. At this time, investors should leave the market in time. (12-2.

Ii. Currency Ownership Signal

1. When the CR curve in the CR indicator breaks through the last curve in the three curves ma1, Ma2, and ma3, it runs all the way up, and the stock price also rises upwards based on the short-term moving average, it indicates that the short-term strong rise of the stock price has begun, which is a signal that the share price is about to rise. At this time, investors should firmly hold shares in short-term. (12-3.
2. When the CR curve in the CR indicator breaks down the last curve in the three curves ma1, Ma2, and ma3, it runs all the way down, and the stock price is also squashed by the medium-and short-term moving average, it indicates that the medium-and long-term weakness of the stock price has begun to fall, and the stock price will fall all the way. This is a clear currency holding signal issued by the CR indicator. At this time, investors should firmly hold on to the coin. (12-4)