Technical Interpretation Technical interpretation does not seem to pay much attention to book knowledge understanding.
Past prices and current trends should be understood and some technical indicators such as KD indicators should be added to determine if they can be profitable.
As a result, many investors who know little about the workings of financial markets choose to learn directly how to use technical analysis to make trading decisions, while downplaying the importance of fundamental analysis.
In fact, basic analysis, like the internal skills practiced by martial artists, is fundamental to the practice of martial arts.
Lack of basic skills and flexible field response skills.
Once on the battlefield, nature is defeated, impossible to win.
Technically, it’s like a kung fu master’s moves, but if these moves aren’t supported by the basics, they just turn into a flourish.
When they meet a strong enemy, they naturally cannot resist for long and are easily knocked down.
Even in terms of technical analysis itself, this method seems simple, but it is easier to learn than to learn.
Many investors can be described as “half a bucket of water” in the application of technical analysis.
These investors have poor basic analytical ability, and their understanding of technical analysis belongs to the degree of “half a bucket of water”. Once they enter the financial market and really face the big family, failure is the inevitable result.
Technical application Technical analysis should grasp three elements: market trends, price levels and technical patterns.
Identify dominant market trends and long-term trends.
Once the general trend is identified, the general trend for the future can be determined and the selective operation can begin to enter the market.
The price level is also very important. Buy high and sell low. Operate with the trend. Buy up on the rise and buy down on the fall.
It is a simple investment rule to form a head on a high and a bottom on a low.
Enter or exit based on some important price points.
Markets shrugged off the Fed‘s doubling, the dollar fell from a three-week high and gold rallied more than $20.
Please pay attention to the specific operation, the market is changing rapidly, investment needs to be cautious, the operation strategy is for reference only.
