【XMEX Contract Business College】Review of Third Trading Camp

XMEX
8 min readJun 4, 2020

The third AMA of the Trader Training Camp hold successfully.

Let’s review the five exciting moments of Q&A.

Presenter of this issue: XMEX Gold Analyst Wan Li said coin

Topic: “Mastering these technical indicators, contract win rate increased by 50%”

Time: 2020.6.2 20:30

Location: “XMEX Business School@trader training Camp Community

The following is the replay record of the third issue of “Trader Training Camp”

1. What technical indicators should contract junior traders pay attention to in order to improve the accuracy of trading?

Analysis of technical indicators, this is not something that can be learned in a day or two. This is an experience that requires a long time to accumulate. Today, we mainly introduce the following MACD indicators and BOLL indicators.

2.MACD everyone often hears, but the junior trader is not clear about its concept and function, can you explain it?

MACD: MACD is called the similarity and difference moving average, which is developed from the double exponential moving average. The fast exponential moving average (EMA12) is subtracted from the slow exponential moving average (EMA26) to get the fast line DIF, and then use 2× (Express Line DIF-DIF 9-day weighted moving average DEA) to get the MACD bar. The meaning of MACD is basically the same as the double moving average, that is, the discrete and aggregation of fast and slow moving averages characterize the current long and short state and the possible development trend of stock prices, but it is more convenient to read. The change of MACD represents the change of market trend, and the MACD of different K-line level represents the buying and selling trend in the current level cycle.

1. When both DIF and DEA are greater than 0 (that is, they are shown above the zero line on the graph) and move upwards, it is generally indicated that the market is in a long market, and you can buy open positions or long positions;

2. When both DIF and DEA are less than 0 (that is, they are shown below the zero line on the graph) and move down, it is generally indicated that the market is in a short market, and you can sell open positions or wait and see.

3. When both DIF and DEA are greater than 0 (that is, they are shown above the zero line on the graph) but are moving downwards, it is generally indicated that the market is in a falling phase, and you can sell open positions and wait and see;

4. When both DIF and DEA are less than 0 (that is, they are shown below the zero line on the graph), but when they move upwards, they generally indicate that the market is about to rise, and the stock will rise, and you can buy open positions or long positions.

Exponential smoothing similarities and differences moving average, or MACD for short, is a technical indicator that uses the aggregation and separation between the short-term index average index and the long-term index average index to determine the timing of buying and selling.

The MACD developed based on the moving average principle overcomes the shortcomings of frequent moving average false signals, and secondly, it can ensure the maximum success of the moving average.

Its trading principles are:

1. Both DIF and DEA are positive, DIF breaks through DEA ​​upwards, and buy signal reference.

2. DIF and DEA are both negative, DIF falls below DEA, sell signal reference.

3. The divergence between the DIF line and the K line may cause a reversal signal in the market.

4. The values ​​of DIF and DEA changing from positive numbers to negative numbers, or from negative numbers to positive numbers are not trading signals, because they lag behind the market.

3. Knowing the concept and rules of MACD, how to apply it?

The usage of MACD is roughly divided into the following types:

  1. MACD Golden Fork: DIFF breaks DEA from bottom to top, as a buy signal.
  2. MACD dead fork: DIFF breaks through DEA ​​from top to bottom as a sell signal.
  3. MACD green to red: MACD value changed from negative to positive, the market changed from short to long.
  4. MACD red to green: MACD value changed from positive to negative, the market changed from long to short.
  5. Both DIFF and DEA are positive values, that is, when both are above the zero axis, the general trend is a bull market, and DIFF breaks through DEA ​​upwards, which can be used as a buy signal.
  6. Both DIFF and DEA are negative, that is, when both are below the zero axis, the general trend is a short market, DIFF falls below DEA, and can be used as a sell signal.
  7. It is a reversal signal when the DEA line deviates from the K line trend.
  8. DEA has a high turnover rate when consolidating the situation, but if it cooperates with the RSI and KDj indicators, it can make up for the shortcomings.
    point.

4. You must already have some understanding of the concept and use of MACD, so what is the BOLL indicator?

The actual combat skills of the BOLL indicator mainly focus on the relationship between the stock price K line (or the US line) and the upper, middle, and lower rails of the BOLL indicator, and the opening and closing status of the Bollinger Band. In some software, the BOLL indicator is on the main chart. In order to more accurately research the market, we can use the combination of the BOLL indicator and the TRIX indicator to research the market. The following uses the BOLL indicator on the analyst as an example to reveal its trading and wait-and-see functions. (Note: On most software, the parameters of the BOLL indicator are generally not modified).

Folding trading signal

1. When the K-line of the stock price breaks through the upper rail of the Bollinger Bands, and the TRIX indicator has also issued a bottom “golden fork”, it means that the stock price is about to enter a medium- and long-term rising channel. This is a purchase issued by the BOLL indicator.入信号。 Input signal. At this time, investors should buy stocks in time.

2. After the narrow horizontal movement of the Bollinger Band track for a long period of time, once the K-line of the stock price breaks up the upper rail of the Bollinger Band, and the originally narrow Bollinger Band channel suddenly opens upwards, it means that the stock price It is about to leave the original horizontal running channel and enter a new ascending channel, which is also a buy signal sent by the BOLL indicator.

3. When the K-line of the stock price breaks down the middle track of the Bollinger Band, and the TRIX indicator has also issued a high “dead fork”, it means that the stock price is about to enter a medium- and long-term decline channel. This is a sell issued by the BOLL indicator signal. At this time, investors should clear out and leave the market as soon as possible.

4. When the Bollinger Band track moves for a long period of time in a narrow and high range, once the stock price K line breaks down the lower rail of the Bollinger band, and the originally narrow Bollinger band channel suddenly opens downward, it means that the stock price is about to It is also a sell signal sent by the BOLL indicator to break away from the original horizontal running channel and enter a new falling channel.

Holding signals

1. When the Bollinger Line opens upward, as long as the K-line of the stock price always runs above the middle rail of the Bollinger Line, it means that the stock price has been in a mid-to-long-term upward trajectory. This is the holding of the stock issued by the BOLL indicator. Signal, if the TRIX indicator is also a signal to hold shares, this signal is more accurate. At this time, investors should resolutely hold their shares to rise.

2. When the Bollinger Line opens downwards, as long as the K-line of the stock price always runs below the middle rail of the Bollinger Line, it means that the stock price has been in a mid-to-long-term declining orbit. This is the currency holdings issued by the BOLL indicator. Signal, if the TRIX indicator is also a currency holding signal, this signal is more accurate. At this time, investors should resolutely wait and see.

5. What is the KDJ stochastic indicator?

KDJ’s stochastic indicator response is sensitive and fast, and it is a better technical indicator for the analysis and judgment of short-term trend bands. Generally speaking, for people with large funds and large bands, the monthly KDJ value is gradually entered when it is low; the main force usually focuses on the position of the weekly KDJ during normal operation, and makes a judgment on the cycle high and low points of the midline band. The unilateral style causes the repeated passivation of the Japanese KDJ; the Japanese KDJ is extremely sensitive to the direction of stock price changes, which is an important method for daily trading in and out; Reference indicators; for investors who have placed an order immediately for the designated trading plan, 5 minutes and 15 minutes KDJ can provide the best entry and exit time.

6. please ask Wanli teacher to talk about the skills of using KDJ stochastic indicators?

1. The K and D values ​​are always between 0 and 100. When D is greater than 80, the market is overbought. When D is less than 20, the market is oversold.

2. In an upward trend, when the K value is greater than the D value, and the K line breaks up the D line upward, it is a buy signal. In the downward trend, the K value is less than the D value, and when the K line falls downward and breaks the D line, it is a sell signal.

3. The KD indicator not only reflects the degree of overbought and oversold in the market, but also sends out buying and selling signals through crossovers.

4. The KD indicator is not suitable for stocks with small issuance and inactive trading, but the KD indicator has extremely high accuracy for large and popular large-cap stocks.

5. When the stochastic indicator deviates from the stock price, it is generally a sign of turning.

6. The rate of increase or decrease of K value and D value is weakened, and the inclination tends to be gentle, which is an early warning signal of short-term trend change.

XMEX hope that my sharing today will help everyone in the contract operation. XMEX 2.0 is fully updated, the operation experience is smoother, and the functions are more perfect. Hope you all make a lot of money at XMEX.

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XMEX Operation Team

June 2, 2020

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