master the combination of these K-lines and quickly judge the trend of the market
What is the use of K-line combination morphological analysis? To put it simply, when you see these K-line combinations appear in the future, you can directly analyze and judge how the future market will develop, and will generally be used in the medium and long term.
A K line can tell us that the top and bottom signals may occur, but the combination of two or more K lines contains more information, which is also more conducive to our research and judgment of the market.
In the last section, we have a master of the origin of the Japanese candle diagram and the form and meaning of the k-line which is the main line of the single k-line. Today, we have been able to quickly master the method and technique of judging the market trend from four basic K-line combination forms such as the shape of penetration, the top of the black clouds, the swallow, the rising and the swallow, and the like.
1. The penetrating form of the trend inversion signal and the top of the black cloud cove
1. Penetrating form
In the falling market, the appearance of piercing shape shows that the short gradually lost strength, unable to push the price to a lower level, because of the short closing or long intervention, the price rose out of the positive line. The positive line entity pierced more than 1 ≤ 2 of the previous negative line entity, indicating that the long head is strong, the downward trend may come to an end, and the future market may reverse or enter the concussion stage.
☛Puncture morphology:
It appeared in the downward trend.
The form is composed of two K-lines, the former K-line is a larger negative line, and the latter K-line is a male line.
The closing position of the positive-negative line is between 1/2 and the closing price of the previous negative line entity.
2. Black cloud cover top
The black-cloud cap is used to determine the form of the top-inversion, before the share price needs to go through an increase, or the stock price can also be used as a judgment standard when it is arranged at the top of the stage at the top of the stage. The top form of the black cloud cover is the classical top signal, and the accuracy is high.
In the rising market, the appearance of the black cloud cover indicates that the multi-head gradually loses strength, cannot push the price to higher, due to the multi-head position of the position or the end of the intervention, the price has fallen to the negative line. The female line entity pierces more than 1/2 of the previous positive line entity, which indicates that the air head is strong, the rising trend may be a paragraph, and the post-market may be inverted or enter the oscillation phase.
Morphological characteristics of the top of the black cloud cover:
It appears in the rising trend.
(2) the shape is composed of two K lines, the first K line is the larger positive line of the entity, and the latter K line is the negative line.
The closing position of the negative line is between 1 and 2 of the previous positive line entity and the opening price.
II. The swallow shape of the trend inversion signal
1. The swallowed form appears at the end of the trend, belonging to the reverse form. According to the trend, it can be divided into downward and upward.
What appears in the upward trend is called downward engulfing (bearish swallowing), which is a peak signal with a higher probability of reversal than the top of the dark cloud cover; when this pattern occurs, it is highly likely that the previous rally will end, resulting in a reversal or a concussion. If you hold a long position, you should pay close attention to the timing of profit closing at this time; when the rebound in the downward trend appears, it may indicate that the rebound is over, and at this time pay attention to possible short position opportunities.
To swallow down (see and swallow) the morphological characteristics:
The previous trend was an upward trend.
(2) the morphology is composed of two K lines, the first is the positive line with large solid amplitude, and the latter is the negative line.
③ The amplitude of the last negative line entity completely swallowed the previous positive line entity amplitude.
two. Contrary to the downward swallowing pattern, what appears in the downward trend is called upward engulfing (bullish swallowing), which is a bottoming signal. The reversal probability is higher than that of penetration pattern.
When this form appears, it is likely that the previous fall is likely to end, reversing or entering the market. If you hold an empty-head position, you should pay a high degree of attention to the timing of a profit-taking position; in the event of a rising trend, it may indicate that the call-back has ended, at which time it is important to focus on possible multi-head build-in opportunities.
☛Upwardly swallowed features(seeing-up swallowed)Morphological features:
The previous trend was a downward trend.
The first form is composed of two K-lines, the front one is a negative line with a large solid amplitude, and the latter is a male line.
The amplitude of the previous negative line entity is not dropped by the amplitude of one positive line entity.