Central Theory 2

Source: Internet
Author: User

The trend is to take time as the horizontal axis, price, volume and listed as the price of the vertical line tick curve, the level of the concept is based on 1 points, 5 points, 30 points, 1 days, 1 weeks, such as candlestick chart trend cycle.

Entangled in the theory that: any level of all movements can be broken down into the trend (up or down) and consolidation of the two major trend types, and any level of any trend type will eventually be completed.

Without any rise, fall or consolidation, it is inevitable that the central issue is involved. A hub is a price platform that is composed of three (segment) successive sub-level trend types that are part of a level trend type. The center has a level, generally fixed the smallest center in a 1-minute chart of the 3 candlesticks overlap.

so-called consolidation , that is, any level of movement that is completed contains only one level of the hub;

The so-called trend is that any level of movement that is completed contains more than two of the level centers in turn.

Therefore, the above two situations are summed up is: any completion of the trend must contain more than one backbone, that is, any level of any trend type, at least three (segment) above the sub-level trend type composition. Deduce the above conclusion, is that any continuous trend can be decomposed into consolidation, fall, up to three types of movement of the connection.

Trend only rose, fall, consolidation of three types. For example, once the fall is completed, that is, the trend of the momentum of the back, it will be converted to consolidation or rise, regardless of which, this turning point is the first type of buy points, then the first time the trend of the second level callback manufacturing low point is the second type of buy points. The selling point is, in turn, the case. There is also a level of buy and sell points, since the large-scale trend is synthesized from a small level, then the large-scale second-class trading point in the corresponding small-level map is the first type of trading point.

By the definition of the central to know, in the consolidation, no left or return to the center of the trend type is necessarily below the sub-level, otherwise it will become a central extension of the paragraph; Similarly, in a trend, connecting two of the same level hub is necessarily the following level of movement type at the sub-level.

When a sub-level movement away from the center, then the sub-callback trend of its low point does not break the central zone high, that is, do not return to the center, then leave the success, its callback low is the center of the corresponding level of the trend of the third kind of buy points, selling point instead. When the center is successfully left, a new level of the same center is generated, and the trend arises when there is no overlap between the current and the next two levels of the center's wave range. Otherwise, the front and back centers will be expanded to a greater level of a hub. If the departure is unsuccessful, there is no third type of buy and sell point, the level of consolidation will continue.

Level is derived from the trend of the self-isomorphism, when the trend into the back section, its sub-trend in the paragraph for the self-isomorphism, will come out similar to the previous level of the trend type; Similarly, the secondary trend within the back section of the interior, will also generate similar sub-level trend of the trend type, which is the trend of the interval pattern Three types of buy and sell points can be found exactly .

The back is the same as the center, the point of sale, there are levels, and the three are one by one corresponding. A certain level of the back must trigger this level of transition, the large-scale transition is usually caused by small-scale back-chi, but the small level of the back does not necessarily lead to a large level of transition. For example, a 5-level downtrend of the last 5 points after the center enters the back section of the back Chi, will trigger a rebound to the last 5 sub-center of the lowest volatility, and at least a new 5-point Center, the new 5-point center and the last 5-minute center of the fluctuation interval overlap, thereby expanding into a 30-point center Or, the new 5-point Center has a third type of purchase, followed by a new 5-points upward trend.

In addition to the expansion of the central region, there is another case in which the extension of the central region occurs when the 6-segment trend type is developed, and the 3 segments of the backbone itself automatically form a larger center. A large-scale hub can be manipulated by breaking it down into the same-level trend type at the sub-level, which is based on the sub-level of the tertiary class trading point operation. By and large, no one is a consolidation or trend, you can break the trend into the same level of movement type to operate, the only thing to be aware of is the intensity of the resonance point is obviously larger, at this time should be actively transferred to a larger level of operation.

Pen Division The only thing to note is the bottom of the middle of a candlestick and the top of the middle of a candlestick does not overlap on the line;

The academic standard of Zen theory:

Proficient in identifying all levels of the center, is the kindergarten graduation
Proficient in the Renaissance, extension, and expansion of the respective centers, graduated from preschool
Proficient in the resolution of the back and back Chi, escaped from the consolidation of the back to the third type of trading point, is the primary school graduation

Central:

1. in the trend of the center is a direction.

In the upward movement, the center 3 segment is down and down. In the downward movement, the center 3 segment is up and down. Therefore, in the trend to determine the central zone, usually requires at least 5 segments. The top and bottom are the two segments that leave the center as the backbone of the connection (respectively: one is to go up, one is to go down), and the middle 3 to form the central part. Similar to 1 strokes at least 5 candlesticks, that is, the bottom and top points between at least one candlestick is regarded as a sum of the most basic requirements. The central point here refers to the situation of the trend market, that is, the rise or fall. For consolidation is different, the consolidation hub connection does not require a connection segment.

2. Class Hub: When the trend is only 3 segments, called the class hub.

Back to the Chi:

Paragraph back chi, consolidation back, trend back Chi, class back Chi.

The comparison of the back-chi: The trend must be hit a new high, a new low to compare. The back of the comparison is the two-stage movement of the MACD contains all the same direction of the same column area, Yellow line height.

The back of the paragraph only compared to the column area, the other two conditions as long as the need to pay attention to one.

The comparison between the two segments of the center can be considered as a trend back comparison (such as the comparison between C and H), the other can be considered as disk back comparison (such as A-c, b-d, C-E, d-f, e-h, etc.), the inner back is also the disk back (such as a, C comparison between the force).

who has the highest level in the top, bottom, pen, segment, and hub?
a sumContains one of the adjacent top and one sub-types.
First segmentContains at least three strokes, that is, a segment contains at least the adjacent three-to-top, bottom-type.
Please do not confuse the defined size level. In the concept of top, bottom, pen and line segment, the segment contains the most content, the pen is the second, the top and bottom shepherds in the bottom type (short).
Then the top and bottom is a section of the small candlestick. These are the small candlesticks that make up a top and a bottom, forming a pen, and then forming a line segment at least three strokes. But not a continuous three strokes will necessarily constitute a line segment, these three pens must have overlapping parts, namelysegment is broken by pen。entangled in the course said: The pen damage line is not true destruction, is the line break can really destroy.
a centralis athree segments are formed by overlapping parts. So the center in the above concept, the highest level.

How is the trend judged after the formation of a central hub?
If a new backbone is formed, and the new Center has no coincident part with the previous center, it means that it will rise or fall at the same level as a new round of movement. According to the trend of perfection, is the upward trend, if the formation of a new complete detachment of the central , then it means a new round of the same level of rise and fall continued. followed by the observation of three or three selling points of the emergence.
About three-sell, three-buy.the high point of the rally did not touch the lows of the former center, which is three. (This low is the lower point of the adjacent same-level center, not the lowest point of the center, or other different levels of central lows.) Remember that it is the lower point of the neighboring same-level backbone. )
the bottom of the drop does not touch the high point of the former center, which is the three buy. (This high is the highest point of the adjacent same-level hub, not the top of the center, or other different levels of central highs.) remember the highs of the neighboring centers of the same level. )
What is the new center of complete detachment?
The center of Complete Detachment: The descending movement is the highest point of the new center that does not touch the nadir of the previous center. Only one segment of the two centers is connected. The bottom point of the complete Detachment Center in uptrend does not touch the highest point of the previous center.
Segment division: What kind of trend is not a paragraph?
Before the wrapping does not speak of the top and bottom, it is defined as:at the time of the descent, the second rising end with the first ascending starting point, no coincident part, cannot be the end of a segment.on the rise,The starting point of the second ascent is the end of the first ascent, there is no coincident part, and cannot be a segment ending. "whether the line segment, the key to look out of the form, if any point is higher than the previous high, then this situation is infinite extension, also is still just a line segment. It has nothing to do with the amplitude. "

Transferred from: http://www.360doc.com/content/14/1009/11/17658668_415476987.shtml

Central Theory 2

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