From the mba think tank encyclopedia (https://wiki. Mbalib. Com/)
What are trend indicators
The so-called trends are the current trends. Trends are judged by stock-price corridors or average lines. There is a trend theory in the stock market that the trend will continue once it is formed, but in recent practice there has also been a finding that there is room for change. For the chinese stock market, the theory of trends is good in the middle of the year, but when a middle trend is over, the stock market is over as soon as the trend takes shape。
The trend indicator (cye) is based on the theory of market trends, which, once formed, will continue and which, after a certain degree of operation, will be completed。
Cye's algorithm is a simple algorithm, using a numerical analysis method, for a numerical analysis of the k-line of the day, the overall effect of which is an upward and otherwise a downward trend; i. E., a numerical analysis of the k-line of the day, the overall effect of which is an upward and otherwise a downward trend. The trend indicator shows an increase in intensity, which is somewhat similar to the market strength indicator (cyr), but cyr uses a cost line, cye uses only k-line, and in short cye is a computer that makes a trend judgement about how k-line simulators feel. It shows a simple market fact。
Main role: the direction of post-market operations is to increase or decrease。
Use principle: the correct application of the trend should be consistent with the middle line, with short-line reverses, i. E. Medium-line doing upwards and short-line doing the bottom of the trend。
Morphological characteristics of trend indicators
1 the cye indicator has a cross-coordinate indicating 0 bits, and when the cye indicator value is at 0 point, the cye indicator value is upward and the cye indicator value is lower than 0 is downward。
The cye indicators also have two dynamic lines, the yellow line being a short-term line, representing a one-week trend, and the white line being a medium-term line representing a one-month trend。
3. The yellow line generally fluctuates slightly between ±1 at the time of the whole plate, sometimes reaching about +4 ~5 during the stock-raising phase. The white line generally fluctuates between ±2 and is a medium signal when it goes flat at a high level。
The cye indicators for the strongest stock also slightly exceeded the +10 because of the rise and fall system, and never reached the +10 because the decline was slowing down。
Use of trend indicators
1. When the cye indicator value is greater than 0, the stock price is the upward trend, and the higher the value, the stronger it is。
2. When the cye indicator is less than 0, the stock price is a downward trend, and the more the value falls, the harder it falls。
3 the cye indicator values are up and down to the middle line to signal the peak。
4 the short-term cye indicator values, once completed, are reversed to take stock of the evolution of the unit's previous cye indicator values, and to take account of historical trends to determine the criteria for reaching the very low cye indicator values, such as when it is confirmed that it is available for re-entry, and if all other indicators are available for buy-in。
From "https://wiki. Mbalib. Com/wiki/%e8%b6%e8b%e5%e8a%bf%e6%e8c%87%e6%a0%87"
