How To Use MACD To Capture The Best Buying And Selling Points Of Stocks?

Adjusting the parameters of MACD will MACD The fast EMA parameter is set to 8, the slow EMA parameter is set to 13, and the DIF parameter is set to 9. The moving average parameters were 5, 10 and 30 respectively. After setting the parameters, it is looking for selling points. There are many selling points for a stock. Here are two most effective and commonly used methods of escaping:

The first selling point, or relative price, means a relative high point when the stock price rises after a substantial rise. Investors, especially those with large amount of money, must ship or sell at the first selling point.

The skill of judging "first selling point" is " Stock price sideways "MACD dead crossing sell", that is to say, when the stock price has been rising sideways continuously, the 5 and 10 day moving average lines have not yet formed a dead fork, but MACD is the first to kill the fork. The day of the cross is to sell or lighten up when the "first selling point" is formed.

　　 False selling point Or after the formation of the first selling point of the absolute top, some stocks did not show a big drop. Instead, they made a breakthrough in order to cover the shipment after the callback. The main purpose was to make the final pull up before the goods, which was also called the "false wave pull up". At that time, the high point often became the highest point of the bull market sentiment, so it was also called the absolute top. If the runaway could not run smoothly, the consequence would be unthinkable.

Judging the absolute ceiling is the technology of "price, MACD deviating from selling", that is, when the stock price has risen to a new high, MACD can not create a new high in the same time. The trend of the two deviates from each other, which is an obvious signal for the stock price to peak. It must be explained that when a stock is sold at absolute top, it must not wait for MACD to sell again, because the share price has dropped a lot when MACD dies, and the selling of shares at the top of the wave must be based on the K-line combination.

Generally speaking, it is a good time to sell in the process of virtual wave jerk. Finally, it needs to be reminded that because of the lagging nature of MACD indicators, it is particularly appropriate for MACD to find the best selling point for escaping from the top of the stock market.

In addition, most of the above two points appear after the stock has risen sharply. That is to say, after the stock market rises, if a stock has not risen sharply and the main wave has not been carried out at any time, then do not use the above method.