It is difficult to grasp the opportunity of a rebound, and the difficulty is that we do not know whether it is a relay market of the decline, or a reversal market after the bottom of the decline. So, how to seize the opportunity to grab the rebound in foreign exchange trading? YSHX
First, the market has fallen sharply the day before or two days ago, and the negative deviation rate is very large;
Second, the current market is at a very important support level, such as the 30-day average, 60-day average, 200-day average, or the golden section of the previous upward trend, such as 0.382 , 0.5, 0.618; or in the previous intensive transaction area, that is to say, the same position as the current exchange rate. In the early stage, a trend platform with intensive transactions was formed. Why do you do this? Generally speaking, when the moving average The location of the golden section, the location of the golden section, or the intensive transaction platform, these locations are all places where the cost of holding positions in the market is intensive. When the seller’s power reaches here, the short-term is very likely to have the final exhaustion, and the buyer’s power will take advantage of it. , the market is prone to an expected rebound.
If it is said that the first-class masters can grab the rebound of the day in the sharp drop, then ordinary investors should master the band rebound. The band rebound continues Generally, the time of the rebound is more than two weeks, and the rebound height is at least a few hundred points. It is a pity to give up such a profit opportunity. How to grasp the swing rebound? We should start from the following three points:
The first is to look at the K line . The K line represents the exchange rate. Looking at the K line is to draw the conclusion that the exchange rate will no longer fall. Falling and rebounding are two trends in completely opposite directions, and they must pass through a relatively balanced area between long and short. Time will also be reflected in the exchange rate, which is the form we often refer to. No further decline in the exchange rate will inevitably drive the short-term moving average from falling to flat, which is the basis for the exchange rate rebound. yunshfx
The second is to look at the moving average, generally look at the 5-day moving average. Once we see that the 5-day moving average has changed from falling to flat, we should pay close attention to it. At this time, other moving averages such as the 10-day moving average, 20-day moving average, and 30-day moving average are still running downward. If the exchange rate breaks through the 10-day moving average on a certain day, it can basically be determined that the band rebound has begun.
Under normal circumstances, after the exchange rate breaks through the 10-day moving average for the first time, there will be a certain withdrawal, and it may also return below the 10-day moving average. When The exchange rate rises again, which will inevitably drive the 5-day moving average upwards and cross the 10-day moving average. At this time, we can be completely sure that the rebound has begun. When operating, we should also take three steps: find that the 5-day moving average has started to go normal , you can buy 1/3 of the position; when you find that the exchange rate breaks through the 10-day moving average, you can buy 1/3 of the position; It has completed the safest and most scientific operation of band rebound. In this way, we can advance, attack, retreat, or defend, calmly, and easily pocket all the profits of the rebound. Yun Shang Hui Xin
The third is to look at technical indicators. A relatively low level of technical indicators is also a necessary condition for a rebound. The low level indicators themselves reflect that the market is in an oversold state, and the oversold state cannot be maintained for a long time. Appropriate time and location for expected bounce.
We should pay attention to the following three points: firstly, the indicator must run at a low level, which is the first condition for a rebound; secondly, the indicator must have a golden cross at a low level, which is a sign of the start of a rebound; thirdly, it is best to have a bottom deviation state of the indicator, In this way, the probability of grasping the rebound will be higher. When we use technical indicators, there is no need to pursue some very peculiar indicators or indicators with complicated calculation formulas. In fact, we can use the commonly used RSI, KDJ, and MACD to achieve very good results. The key to technical indicators is to be able to use them, not to pursue novelty. After the mutual cooperation and verification of K-line, moving average and technical indicators, the success rate of band rebound will be greatly improved. Friends of Huimin can carefully experience and continuously summarize and improve in future foreign exchange market operations. I wish you a master of rebounding in a falling market. Yun Shang Hui Xin Limited
