After a period of inventory, the stock price forms a special area or form on the diagram. Different Forms show different meanings. We can find out some regular things from these morphological changes. The K-line chart form can be divided into reverse forms, sorting forms, gaps and trend lines. from section 3 of this chapter, we will analyze these forms one by one.
I. Drawing Method
First, we can find the highest and lowest prices for the day or a period, and connect them vertically. Then, we can find the opening and closing prices for the day or a period, connect these two prices into a long and long column. If the ending price of the day or period is higher than the opening price (that is, the opening price is higher), we will use red to indicate it, or leave it white on the column. This column is called a "yangxian ". If the market price for the current day or for a period is lower than the market price (that is, the market price for a period of time is higher), we will show it in blue, or we will apply black to the column, this column is "overcast line.
Ii. Advantages
Able to thoroughly observe the real changes in the market. We can see the trend of stock price (or big market) in the K-line chart, as well as the fluctuations in the daily market conditions.
Iii. Disadvantages
(1) The rendering method is complex and the most difficult to create among the many trend charts.
(2) There are many changes in the yin and yang lines. For Beginners, it is quite difficult to master the analysis. It is not as easy as the column chart.
Iv. analysis significance
Due to the wide variety of changes in the "Yin and Yang line", the "Yin line" and the "Yang line" have many differences in size. Therefore, the significance of the analysis is necessary.
Before discussing the meaning of the "Yin/yang line" analysis, let us know the name of each part of the "Yin/yang line.
Take the yangxian line as an example. The part between the highest and the ending price is called "shadow". The part between the opening price and the ending price is called "entity", and the opening price and the lowest price is called "shadow ".
1. Long red line or Dayang line
This chart indicates that the highest price is the same as the closing price, and the lowest price is the same as the opening price. There is no online or offline. From the opening, the buyer actively attacked, and there may be a fight between the buyer and the seller, but the buyer played its best until the close. The buyer always prevails, making the price rise until the close. It indicates a strong upward trend, the stock market shows a climax, and buyers enter the market frantically, with no price limit. Those who hold stocks are in short supply because they are reluctant to sell their stocks because they are eager to buy goods.
2. Long black line or big line
This chart indicates that the highest price is the same as the opening price, and the lowest price is the same as the closing price. There is no online or offline. From the very beginning, the seller prevails. The stock market is at a low tide. Those who hold the stock are not limited to the price and throw, causing panic. The market fell one by one until the close and price fell, indicating a strong decline.
3. First drop, then increase
This is a red object with a shadow. The highest price is the same as the closing price. After the opening, the price drops because the sales volume is sufficient. However, the seller received support from the buyer at a low price, and the seller was frustrated. The price pushed up the opening price until the close, closing at the highest price. In general, the buyer has a great deal of strength in the case of first-to-second increase. However, the physical part is different from the offline part, and the strength of the buyer and the seller is different.
The entity is longer than the shadow. The price has not fallen much, that is, it is supported by the buyer and the price is pushed up. After the opening of the opening ceremony, we made great strides and the buyer was very powerful.
The entity is the same as the shadow. the buyer and the seller have a fierce battle, but in general, the buyer is dominant and advantageous to the buyer.
The entity is shorter than the shadow. Buyers and sellers are at a low price. In case of buyer support, the price will be pushed up gradually. However, it can be found that the above entity is relatively small, indicating that the buyer's advantage is not very large. If the seller tries to counterattack the next day, the buyer's entity will be easily attacked.
4. Decline offset type
This is a kind of black entity with a shadow, and the opening price is the highest price. When a disk is opened, the seller's strength is very high, and the price is falling, but it is supported by the buyer at a low price. The market outlook may rebound. The length of the entity and the shadow can be divided into three types:
(1) the physical part is relatively larger than the long selling pressure of the Shadow Line. When a disk is opened, it is under great pressure. At the low point, it is met with the buyer's resistance. The buyer and the seller have a fierce battle, and the film part is short, it indicates that the buyer has not pushed much of the price. In general, the seller has a relatively large advantage.
(2) The same length of the entity and the video line indicates that after the seller presses down the price, the buyer's resistance is also increasing. However, it can be seen that the seller is still dominant.
(3) the seller of the real part lowers the price all the way down than the short video line. In terms of low prices, the seller gradually pushes up the price despite the strong resistance of the buyer and organizes a counterattack, however, we can see that the seller has only a small advantage. In the market outlook, it is very likely that the buyer will perform a full counterattack to eat all the small and Black Entities.
5. Rising Resistance
This is a red object with a shadow. The lowest price is when you open the service. When a disk was opened, the buyer was strong and the price was pushed along the way. However, the rise of the stock price was blocked due to pressure on the seller at the high price. The result of the confrontation between the seller and the buyer is a little better than that between the buyer and the seller. Observe the length of the object and the shadow.
The red object is longer than the shadow line, indicating that the buyer encounters resistance at a high price, and some Bulls make a profit. However, the buyer is still the dominant force in the market, and the market outlook continues to be bullish.
The entity is the same as the movie line. The buyer pushes the price up, but the seller's pressure is also increasing. As a result of the two battles, the seller reduced the price to half, although the buyer was dominant. But it is obviously not as advantageous as it is.
The entity is shorter than the shadow. In case of pressure from the seller at a high price and comprehensive counterattack from the seller, the buyer was severely tested. Most short-term investors have made a profit, and the seller has withdrawn most of the lost land after the day's battle. The buyer's small bastion (entity part) will soon be wiped out. If such a key line appears in a high-price zone, the market outlook will fall.
6. First increase and then decrease
This is a black object with a shadow. The closing price is the lowest price. When a disk is opened, the buyer and the seller are at war. Buyers have the upper hand and prices have risen all the way. However, in the face of selling pressure at a high price, the seller organized a reverse attack, and the buyer was defeated. Finally, the seller closed at the lowest price. The seller took the lead and made full use of the strength to bring the buyer into the dilemma of "locking.
The following three conditions are still available:
(1) The Black entity is longer than the Shadow Line, indicating that the buyer has not pushed much of the price, and immediately encounters a strong counterattack from the seller. After the price is squashed, the buyer will win the attack, let's push down the price for a large period. The seller is particularly powerful, and the situation is favorable to the seller.
(2) The buyer pushes up the price when the black entity and the video album are equal. However, the seller is more powerful and takes the initiative. The seller has advantages.
(3) Although the seller of the Black entity has a lower price than the short video clip, the seller has fewer advantages. When the seller enters the market tomorrow, the buyer's power may be attacked again, and the black entity may be attacked.
7. Reverse Testing
This is a red object with online and offline shadows. After the opening, the price fell. When the buyer supported it, the buyer increased after the two sides fought and the price pushed along the way. Before the close, some buyers made a profit and closed at the highest price. This is a reverse signal. If it appears after the surge, it indicates a high-end shock. If the transaction volume increases, the market outlook may fall. If this happens after a big drop, the market outlook may rebound. The differences between the upper and lower lines and entities can be divided into multiple situations:
(1) The online and offline pictures are longer than the offline red objects. They are also divided into two parts: the online picture is longer than the red object, indicating that the buyer's strength is frustrated. The red entity is longer than the shadow part, indicating that the buyer is still dominant despite setbacks.
(2) The Shadow is longer than the red entity of the shadow. It can also be divided into: the red entity is longer than the shadow part, indicating that the buyer is still active despite setbacks. The photo and video lines are longer than the red ones, indicating that the buyer still needs to be tested.
8. Pop-up testing
This is a black entity with online and offline shadows. During the transaction process, the stock price sometimes becomes competitive after the opening. As the strength of the seller increases, the buyer is reluctant to chase high prices, the seller gradually took the initiative to reverse the stock price. The stock price fell after the opening and trading. In the case of low-price support from the buyer, the sales volume becomes stronger, so it will not close at the lowest price. Sometimes the stock price is closed below the opening price in the first half, and the buying intention in the second half is enhanced. The stock price is back to the top of the opening price, and the seller is dominant before the closing price, and the price is closed below the opening price. This is also a reversal test. If it appears after the plunge, it indicates low-end undertaking, and the market may rebound. The market outlook may fall if it appears after the surge.
9. Cross
This is a type of image with only the upper and lower lines and no entity. The opening price is the closing price, indicating that the stock price is higher than or lower than the opening price, but the closing price is equal to the opening price. The buyer and the seller are almost evenly matched.
The longer the shadow goes, the heavier the selling pressure. The longer the shadow, the greater the buyer. The upper and lower lines look like a long cross line, which can be called a transit line. This means a reversal at a high or low price.
10. "Images"
The opening and closing prices are the same. The transactions on the current day are all at the price above the opening price, and close at the lowest price (that is, the opening price) of the current day, indicating that although the buyer is strong, the seller is stronger, and the buyer is unable to rise. In general, the seller is slightly dominant, for example, in a high-price zone, the market may fall.
The "T" figure is also called the multi-win line. The opening price is the same as the closing price. The trading on the current day is closed at the starting price, and the closing price is the highest price on the current day (that is, the opening price. Although the seller is strong, the buyer is more powerful and the situation is favorable to the buyer. If the seller is in a low-price zone, the market will rise.
11. "1" graphics
This relatively shape is not common, that is, the opening price, closing price, the highest price, the lowest price at the same price. Only when the transaction is very deserted, there is only one price for the whole-day transaction. Cold stocks are prone to such situations.
Analysis of K-line potential types
The so-called line trend is based on the three to five days of the daily chart, and the analysis of future stock price trends is also aimed at short-term market changes, however, in many cases, it must be analyzed and understood in large long-term quotations.
I. rising trend
1. Two stars
When there is a baseline in the rising market, it is called two stars and three stars. At this time, if the stock price rises, coupled with the increased transaction volume, it is the opportunity to buy with extremely high reliability, the stock price is expected to rise again
2. Raise the gap
In the rising market, after a positive line is pulled out, a negative line immediately appears, which is a precursor to accelerating the rise of the stock price. investors do not have to panic and throw the stock ownership, the stock price will continue to rise in the previous wave.
3. Decrease the Yin line
On the way to the rise, there are three consecutive downgrades, which is a great opportunity for low-level acceptance. When the sun line on the fourth day exceeded the opening day of the previous day, it indicates that buying a disk is better than selling a disk. It should be bought immediately in order to promote the stock price.
4. hovering the previous file
The stock price rises with the strong and powerful great Yang line, and will be sorted out in the high-end mode, that is, waiting for a large number of hands to change. As the transaction volume expands, you can determine the appearance of another wave of growth. During the above-mentioned consolidation period, it is about 6 to 11 days. If the period is too long, it indicates that the increase is weak.
5. side-by-side yangxian
During the continuous increase, a positive line exceeded on a certain day, and another positive line almost exists on the other day. If a high disk is opened on the next day, you can look forward to the emergence of a large market.
6. Overlay
If there is a coverage line on the way to the market rise, it indicates that the price has reached the daily price zone. If there is a positive line of innovation, it indicates that the market shows signs of being converted into a buy market, and the share price will continue to rise.
7. Rising insertion line
When the market volatility increases, the next day of the overcast line appears, pulling out a downward positive line, which is a short-term shift back and the stock price will rise.
8. Three big lines
Three consecutive dashboard lines appeared in the falling market, which is a sign of the bottom of the stock price. The market will be converted into buying a disk, and the stock price will rise.
9. Three ascending Methods
As the market goes up, there are three consecutive Yin lines after the Great Yang line. This is a sign of the future and the stock price will rise.
10. Jump up to the blank line
Although this figure does not mean there will be a large market, it can continue to rise for about seven days, for the time to buy
Ii. Rebound
1. Rebound line
In the reserve price circle, when there is a long offline market, it is often the time to buy. After a buy signal occurs, investors can buy it, or to ensure security, they can buy it after the market rebounded, if there is no major negative value, the market will rebound.
2. shezi line
In the plunge, the gap between the air and the cross line appeared, which implies that the bottoming has been completed and is a sign of a rebound.
3. Yin line breeds Yang line
In the falling market, the next day of the dashboard shows a small dashboard that is completely inclusive in the dashboard. It shows that the stock price is sold out, and there are signs of a turntable, the stock price will rebound.
4. A big line behind five Yin lines
When the Yin and Yang are intertwined to pull out five Yin lines, a long Yin line appears, you can determine that "has reached the bottom", if the next day to open a high disk, it can be seen as the beginning of the rebound.
5. Two inserted lines
This figure implies a strong position to claim from the bargain, and the stock price is on the rise as a result of the turntable.
6. Final inclusion line
In the continuous decline in the market appearance of a small Yang line, the next day immediately appeared inclusive big Yin line, this represents the completion of the bottom, the market is about to rebound. Although the image looks weak, the final floating code is exhausted, and the stock price is bound to rebound.
7. Five offline yangxian lines
There were five Yang lines in the reserve price circle, and it was not easy to take over from the bargain. The bottom formed and the stock price rebounded.
8. Rebound
It is confirmed that the stock price has fallen deep. One day, when the market shows a positive line, that is, when the "rebound positive line" is the buy signal, if the rebound positive line is accompanied by a long offline line, it indicates that there are a large number of low-end primary companies, and the stock price will rebound.
9. Three Empty lines
When three consecutive CIDR drops, the stock price is about to rebound after a strong buying signal.
10. drop three stars in a row
Confirm that the stock price has fallen deep. When the low-end consolidation is completed, three consecutive Yin lines (baseline) appear. This is a precursor to the bottom. If there is a cross line on the fourth day, there will be a great Yang line on the fifth day, you can confirm that the bottom is built and the stock price is reversed.
Iii. Market Trend
1. Overlay line
After the stock price rose for several consecutive days, the next day it was opened with a high disk, and then it was unwilling to chase the high disk. The general trend continued to decline, and the closing price fell within the previous day's sunline. This is the rise of sales pressure formed after the purchase of a large number of stocks, profit settlement, the stock price will fall.
2. Cross stitch
In the high-price circle, there is a cross Line (equivalent line at the opening close), and the upper and lower lines are left. The upper and lower lines are long. This situation indicates that after a period of time, the stock price has risen quite high. If you want to shake your head and start to go downhill, this is a clear sell signal.
3. the Yin line is bred in the long Yang line
After several days of growth, the opening and closing prices of the day completely gave birth to the Dayang line of the previous day, and there was a Yin line. This also represents a lack of strength, which is a precursor to the decline of the stock price, if a Shadow Line is pulled out the next day, it can be judged as a warning of the stock price slump.
4. The yangxian line is bred within the Changyang line.
After the stock price rose for several consecutive days, a small Yang line appeared the next day, and it was completely rooted in the great Yang line of the previous day, indicating that the rise was weak and a precursor to the slump.
5. Cross Line Breeding
That is to say, today's cross lines are completely included in the Dayang line of the previous day. This status indicates that the market price is weakened, and the market price is about to soft down into selling, with the share price falling.
6. Final inclusion line
When the stock price continued to rise for several days, there was a Yin line, and the next day it went low and high again to pull out a great Yang line and completely covered the Yin line of the previous day. This phenomenon seems to have increased the buying volume, however, as long as the next day's market price is lower than the Danyang line's closing price, investors should release their shares. If the next day's market price is higher than the Dayang line's closing price, it is also likely to be "covered in the Yin line", investors should be cautious.
7. Skip empty
The so-called gap is that the two yin and yang lines do not touch each other, there is a space in the middle. After three consecutive skylines appear, the selling pressure is mandatory. Generally, after the appearance of the second skyline, investors should take profit first to prevent the rollback from being stuck.
8. The shadow is too long.
The stock price opened at a high-end market. The previous purchase was successful due to profit settlement, which led to the decline of the general trend. The low-end market continued to take over with great strength, and the stock price rose again, forming more than three times the real line. This figure seems to be buying a strong disk, but should be cautious against the main force to pull high shipments, empty hands should not be rashly involved, shareholders should be high selling.
9. End Line
Once this figure appears, the rising power is about to be insufficient, and the market will be rounded up, investors should take a profit first. This is also a "blind eye". The Xiaoyang line does not surpass the highest point of the previous day, proving that the rise is weak and the share price is falling.
10. counterattacks along the route
This is called along the line from the high-grade sequential and appear under the two Yin line. In order to combat the appearance of the two Yin line, it seems that the drive power is enhanced, but investors must note that this is only the root "barrier eye", the main force is pulling high shipments, it is also a rare escape line for investors, and should be thrown out of stock ownership.
11. Skip blank lines
The market jumps up to open a cross line, but the next day it jumps out a Yin line, suggesting that the market is about to collapse. At this time, the stock price has increased quite a lot, and it is unable to rush up and down, so as to sell signals, in which case the transaction volume will often decrease.
12. Skip the blank to breed the cross Line
When the stock price jumped up and pulled out three major Yang lines, then another cross line appeared, representing a high increase, buyers are reluctant to Chase High, and shareholders have to fight out, which is also a golden opportunity for those who leave the stock market, the share price will plummet.
13. Dropped insertion line
In the overcast line of continuous decline, there is a high-opening and Low-going yangxian line, in order to sell the opportunity, the stock price will continue to decline.
14. Dropped overlay
In the high-end shock market, there is an inclusive line, the next day took a down Yang line, and then out of the coverage line, it implies that the market has reached the price of the day, this is off the line.
15. High-end catalogue
The stock price has risen high. The line chart shows five consecutive overcast lines, showing that the stock price has entered the board. If the transaction volume shrinks, you can be more confident that the market is not doing well.
16. Three Methods of descent
As the market continued to fall, there was a big Yin line, and three small Yang lines were connected from the next day. This does not mean that the bottom was completed. If there was another big Yin line, it would be the time to sell, the stock price will continue to bottom up.
17. Three-section dashboard
As the market continues to fall, there is a great positive line, which will be fully inclusive of the decline of the previous three days. This is an excellent line of escape. Investors should leave their shares as soon as possible, and the share price will continue to fall.
18. Three Stars
There is a baseline in the falling market. This is a good opportunity to take stock ownership off, and the stock price will go down to the bottom.
19. Low-end hovering
Generally, the consolidation period is between the 6th and 11th days. If the next line breaks blank, it is the start of a big drop. That is to say, the consolidation in the previous section is only the consolidation in the middle section, and the stock price will continue to be archived.
20. Skip the air and drop the line.
In the drop of the market, there are two consecutive negative lines falling by the gap, which is a precursor to the slump. There will usually be a small rebound in the market before the emergence of the two Yin lines, but if the rebound is weak, when there is a continuous Yin line, it means that the buying of a Large crash, the stock price will continue to bottom.
Section 3 Reverse type -- head and shoulder
Reversal refers to the chart formed by the reversal of the stock price trend, that is, the signal that the stock price changes from the rise to the fall, or from the fall to the rise.
1. Type Analysis
The trend of headers and shoulders can be divided into the following parts:
(1) the left shoulder part-the transaction volume continued to rise for a period of time. People who bought the product at any time in the past were profitable, so they began to sell the product at a profit, which led to a short-term decline in the stock price, the deal has been significantly reduced since it rose to its vertices.
(2) Head-after a short lag, the stock price rose sharply, and the turnover also increased. However, the highest point of transaction volume is significantly lower than that of the left shoulder. The stock price fell back again after the previous high point. The transaction volume also decreases during the fall period.
(3) Right-shoulder: the stock price fell to a low point close to the previous fall and then received support for the rebound. However, the market investment sentiment weakened significantly, and the turnover dropped significantly from the left shoulder and the head, the stock price could not reach the top of the head, so it fell back and formed the right shoulder.
(4) breakthrough-from the top of the right shoulder to the bottom of the neck broken by the left shoulder and the bottom of the head connected to the bottom of the neck, its breakthrough threshold is more than 3% of the market price.
Simply put, the shape of the head and shoulders shows three significant peaks, one in the middle of which is slightly higher than the other two peaks. In terms of transaction volume, there is a cascade decline.
2. Market meaning
The head and shoulders are a technical trend that cannot be ignored. From this type, we can observe the fierce competition between the two sides.
At the beginning, the optimistic Power continued to promote the rise of the stock price, the market investment sentiment was high, there was a large number of transactions, after a short-term decline adjustment, those who had been ahead of the previous growth in the adjustment period to buy, the stock price continues to rise, and it has climbed through the previous high point. It seems that the market is still healthy and optimistic, but the deal is not as strong as before, reflecting that the power of the buyer is weakening. Those who have no confidence in the prospects and missed the previous high point to make a profit, or those who have been buying a short-term speculation at the low point of the fall, then their share price fell again.
The third increase provided opportunities for investors who missed the last opportunity to rise, but the stock price was unable to rise above the previous high point, and when the transaction volume fell further, it is almost certain that the optimistic sentiment in the past has been completely reversed. In the future, the market will be weak and a sharp drop is approaching.
The analysis of this type is:
(1) This is a shift type of long-term trend, usually at the end of a bull market.
(2) When the transaction volume at the recent high point is lower than the previous high point, it implies the possibility of the top of the head and shoulders. When the third rebound, the stock price cannot reach the previous high point, when transactions continue to decline, experienced investors will seize the opportunity to sell out.
(3) When the top of the shoulder and neck line is broken, it is a real sell signal. Although the stock price and the highest point have dropped by a considerable margin, the decline is just the beginning, unshipped investors continue to sell the goods.
(4) When the neck line falls below, we can predict which level the share price will fall based on the minimum drop measure of this type. The measure is to draw a vertical line from the highest point of the head to the neck line one by one, and then measure the same length down from the point where the right shoulder breaks the neck line, the resulting price is the smallest share that will fall.
3. Tips
(1) In general, the height of the left shoulder and the right shoulder are roughly equal, and the top right shoulder of some headers is lower than that of the left shoulder. However, if the height of the right shoulder is higher than that of the head, the type cannot be set up.
(2) If the neck line is tilted down, it shows that the market is very tired and weak.
(3) In terms of transaction volume, the left shoulder is the largest, the top is the second, and the right shoulder is the least. However, according to some statistics, about 1/3 of the top-left shoulders have a larger transaction volume than the top-left shoulders. 1/3 of the transaction volume is roughly the same, and the other 1/3 are more than the left shoulder.
(4) When the neck line falls below, you do not have to increase the turnover and trust it. If the turnover surges when it falls below, it shows that the market selling force is very large, the stock price will decrease as the transaction volume increases.
(5) A temporary rebound may occur after the broken neck line. This usually occurs when the low turnover falls. However, the temporary recovery should not exceed the neck line level.
(6) The top of the shoulder is a very powerful lethal form. Generally, the decline is greater than the minimum one measured.
(7) If the stock price eventually rises above the neck line and above the head, or the stock price rises above the neck line after falling below the neck line, this may be a failed head and shoulder, not trustworthy.
In the stock market, individual users are playing with their own money, which is easily lost by the amount of information they cannot afford and various attractive stock reviews. When you believe in stock reviews, you are most likely to be blocked by stock reviews; when you believe in technical analysis, you are certainly blocked by intentional or unintentional scams; when you only recognize the dashboard, you are trapped by your stocks. When you buy low-price stocks, you are trapped by junk stocks. When you buy high-performance stocks, the junk stocks change, the subject matter of Asset Restructuring soared; when you looked back to buy Asset Restructuring stocks, you took the last great deal handed by the banker; when you believed in authority, authority is the tool of the banker. When you believe in a message, the message is just a rumor; when you believe in a listed company, its stock is not in contention; when you ride a dark horse, you are not sure about the time to escape. Finally, when you only believe in yourself, you are also wrong. Who are the investors, investors, and accounts? What is your surname? Where is north? Come! With professional technologies, high-level information, and a good attitude, Tianfu provides guidance for your stock investment. We believe that all the book profits and losses are in the form of images, if we cannot successfully escape at the end, all prosperity will be empty.
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