In a market in which the broad-spreading sunlines are pursued and lost, with short-term fluctuations and harvests, the middle- and long-line trend trade is the core path that truly leads to a stable profit. And it's very simple — looking at a 20-month average, without cross-graphing, without relying on multiple indicators, without looking at the multiplicity of stories, you can choose the bull's share, hold the master to the waves and avoid all the traps。
Many investors wonder: why is the 20th average? Why does one line alone complete the selection, entry, holding, exit process? The report is broken down from bottom logic, stock selection criteria, manipulation techniques, false signal filtering, wind control details, full combat, landing, high value, immediate collection of recommendations and lifelong use。
I. Bottom logic: why should one look at the 20-month average be enough
This is not an encyclopedia, but rather a very simple method of matching a stock market patterns, dominant financial behaviour, and the nature of the trend, with three core logics:
1. Average 20-month = medium- to long-term real cost line in the market
About 20 trading days a month, the average 20-month line representing the average holding cost of nearly four years of market participants, is the “bill of cattle and bears” most capable of removing short-term noise from all cycles and reflecting real trends. Daylines and weeklines are easily manipulated by the main forces, but the level of the moon line, especially the 20th average, cannot be deliberately faked, and once trends emerge, they are extremely difficult to reverse。
2. Single indicator = no conflict, no interference, most successful decision-making break
Multi-indicator mixing inevitably leads to a signal conflict that leads investors to hesitate, tumble and trap. For a single 20-month mean line, the only signal, the only standard, the only execution, is a complete circumvention of the problem of “indicators fighting, confusion”, and what is needed most in medium- and long-term transactions is simplicity, firmness and non-challenge。
3. 20-month mean line = end of main strategic cycle line
Institutions, social security, foreign investment, long-standing silos, dishes washes, lifts and deliveries, all of which have a strategic cycle of the moon line, the 20th average being their “bottom line of defence”. The stock-price station has stabilized the 20-month average, representing a major effort to recognize current values and a willingness to rise to the todela; it has fallen to the 20-month average, giving up defences on behalf of the main effort, and the trend has completely deteriorated。
In summary, the 20th mean line is the “cost line” of the “lifeline” “main rise” of the mid-long line, one line sufficient to cover the full demand for stock selection, trading and wind control。
Ii. Core stock selection conditions: strict implementation, standard trends only tickets
This method of warfare, which does not pick blocks, does not gamble on performance, does not guess the news, depends only on the position of the price in relation to the 20-month average line, and directly incorporates the following conditions:
1. The stock price closing station is above the 20-month average and the 20-month average is moved from a downward turn to a flat and up-front (the median direction is core and represents upward trends)
2. The month k line, which is located above the average line of 20 months for two months and more, is not easily broken
3. A relatively low stock price, rather than an average bond in the wake of a steep rise in high places
4. The monthly level is bartered, with temperature and magnification during the break-out, rather than a massive increase。
Meeting the above four points is a high-quality target consistent with the medium- and long-term trends, without looking at any other indicator。
Iii. Managing logic: buying up, holding up, selling at the corner
The logic of this method of warfare is that the core of the operation is to be consistent, not to guess, to follow trends, and the whole process is clear and understandable:
1. Entry logic
The first time the stock price was set steady at the 20-month mean line, and the average line turned up, and the next month the 20-month average line remained intact, the best medium-long line entry point. Back-to-back is the main dishwashing exercise, and the unbreakable line represents a strong trend, when entry costs are the lowest and risks the least。
2. Warehousing logic
As long as the stock price does not effectively break the 20-month average and the 20-month average does not turn downward, it is firmly held against the short-term redeployment of the dayline and weekline. In the case of large bulls in the medium and long lines, major waves continue to climb along the 20th average, with short-line fluctuations without reference。
3. Exit logic
The stock-line closing price effectively broke the 20-month mean line, which began to turn down and to stop or leave without conditions. This is the only sign of the end of the trend, not a fight, not a fantasy。
Key: how to filter 90 per cent of the 20-month mean signals
The main force occasionally creates “false breakthroughs and secure positions”, but can remove more than 90 per cent of the false signals directly if it adheres to the following filter rules:
Filter "standing without turning of the median"
The stock price stands at the 20-month average, but the average line remains down and falls back and does not do it; it is just going straight + standing up。
Filtration “no-volume breakthrough”
When the moon line breaks through the 20th mean line, the turnover is not significantly amplified, it is highly induced, and the probability is likely to fall back below the average line and stay out of sight。
Filtering "standing high"
The stock price has doubled or even multiplied, and even above the average in the month of 20, it is a high-risk area where the main forces are ready to deliver at any time, with no high catch and no switch。
Filtration “one-month stand”
Only one month above the average, the following month immediately collapsed, constituting a false breakthrough and requiring a steady stand of two months or more to be validly confirmed。
Filtering of “separate stand-alone periods of great vulnerability”
When the large-discount index went down and the overall market trend went down, each stock stood alone at the 20-month average, which was extremely poor in duration and did not participate in the negative vote。
V. Problems of strengthening nuclear freedoms: the sustainable between small and small investers line
Medium- and long-term trading, wind control is more important than stock selection
Warender wind control
(a) the single-platform warehouse does not exceed 30 per cent of the total funding, and the subpositions are divided into only three to five units that meet the criteria to avoid the black swan risk
2. Wind loss control
(b) the loss of the line up to the average price of the 20th month, which effectively breaks down the immediate exit, does not make up, does not carry a bill and does not wish to escape
3. Warehousing control
(a) to do only an upward trend, without copying or touching the “equivalent support” in the downward trend, and only to participate in a definite pattern upwards
4. Attitude management
Without looking at the fluctuations of the solar line, not being affected by short-term rises or drops, the signals are strictly enforced, and there is no subjective prejudicion or emotionalization of transactions。
Concluding remarks
For small and medium-sized investors, the most profitable method of warfare was never complex techniques, but simple, repetitive and enforceable trend rules. A 20-month mean line, which removes all murmurs from the market, hits the nature of long-line trading: the pros and the retros。
