1 thought on “How to analyze MACD index column charts”

  1. MACD is a technical tool developed based on the advantages of the mobile average. MACD absorbs the advantages of the mobile average. The use of a mobile average to judge the timing of trading is very effective when the trend is obvious, but if you encounter a cowhide consolidation, the signal sent is frequent and inaccurate. According to the MACD developed by the moving average principle, one removes the frequent fake signal defects of the mobile average, and the second can ensure the maximum results of the mobile average.

    The DIF value is usually used to reduce the DEA (ie MACD, DEM) value to draw a column -like diagram. It is represented by red pillars and green columns. The red column represents a positive value, and the green column indicates a negative value. Using the red and green column to analyze the market, it is not only observed, and it is practical and reliable.

    1. When the red column continues to be amplified, it indicates that the stock market is in the bull market market, and the stock price will continue to rise. At this time out.

    2. When the green column continues to magnify, it indicates that the stock market is in the bear market market, and the stock price will continue to fall. At this time Buy stocks.

    3. When the red columnar began to shrink, it indicates that the stock market bull market is about to end (or to enter the adjustment period), and the stock price will fall sharply. At this time, most stocks should be sold without buying stocks.

    4. When the green column starts to shrink, it indicates that the plunge of the stock market is about to end, and the stock price will stop falling up (or enter the consolidation). At this time Essence

    5, when the red column begins to disappear, and the green column begins to release, this is one of the signals of the stock market transfer, indicating that the stock market's rise (or high consolidation quotation) is about to end, and the stock price will begin to accelerate. Most stocks should be sold at time without buying stocks.

    6. When the green column begins to disappear and the red column begins to release, this is also one of the signals of the stock market transfer, indicating that the decline in the stock market (or low consolidation) has ended, and the stock price will start to rise. Should start buying stocks or holding stocks to rise.

    This can be slowly understood. For details, please refer to the book systems of relevant parties to learn about it. At the same time, combined with a simulation disk to practice, this theory can quickly and effectively master the skills. Introduction to the simulation software can be tried with bull stocks. I personally feel pretty good. Many functions in it are enough to analyze the broader market and individual stocks. It will help to use it. I hope to help you and wish you a happy investment!

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