&Dalian Gangyi Commodity Trading Center Opening an Account and Making Orders Analysis Deducting Merchants and Recruiting Agents Good Negotiable Conditions for Making Orders Easy to Fluctuate Big Telephone Dalian Gangyi Commodities Trading Center) Subtract the slow exponential moving average to get the fast line D , and then use (daily weighted moving average D of fast line DD) to get column D. The meaning of D is basically the same as that of the double moving average, that is, the current long and short status and the possible development trend of the trend are represented by the dispersion and aggregation of the fast and slow moving averages, but it is more convenient to read. When D turns from negative to positive, it is a buy signal. When D turns from positive to negative, it is a sell signal. When D changes at a large angle, it means that the gap between the fast moving average and the slow moving average widens very quickly, which represents a change in the general market trend.
2: Basic usage of exponential smoothed average convergence and difference (D) indicator
D golden cross: the white line (D) breaks through the yellow line (D) from bottom to top, which is a buy signal.
, D dead cross: the white line (D) breaks through the yellow line (D) from top to bottom, which is a sell signal.
, D green turns red: D value changes from negative to positive, and the market turns from short to long.
, D red turns green: D value changes from positive to negative, and the market turns from long to short.
, the white line (D) and the yellow line (D) are all positive, that is, when they are above the zero axis, the general trend is a bull market, and D breaks through D upward, which can be used as a buy signal.
, the white line (D) and the yellow line (D) are all negative, that is, when they are below the zero axis, the general trend is a short market, and D falls below D, which can be used as a sell signal.
When the yellow line (D) deviates from the line trend, it is a reversal signal.
The yellow line (D) has a higher error rate when consolidating the situation, but if it is combined with the R and D indicators, the shortcomings can be appropriately compensated.
Three: The application principle of exponential smoothing average convergence and difference (D) indicator
In most futures technical analysis software, the columnar line is colored, below the axis it is green, above the axis it is green is red, the former indicates a downward trend, and the latter indicates an upward trend. The longer the columnar line, the stronger the trend.
When the white line (D) and the yellow line (D) are above the axis, it is a long market. When the white line crosses the yellow line from bottom to top, it is a buy signal. When the white line crosses the yellow line from top to bottom, if the values of the two lines are still running above the axis, it can only be regarded as a short-term decline, but the trend turning point cannot be determined. At this time, whether to sell requires the help of other indicators to comprehensively judge. .
When the white line (D) and the yellow line (D) are below the axis, it is a short market. When the white line crosses the yellow line from top to bottom, it is a sell signal. When the white line crosses the yellow line from bottom to top, if the values of the two lines are still running below the axis, it can only be regarded as a short-term rebound, but the trend cannot be determined. Turning point, whether to buy at this time requires comprehensive judgment with the help of other indicators.
, the columnar line shrinks and expands. Generally speaking, the continued contraction of the columnar line indicates that the strength of the trend operation is gradually weakening. When the color of the columnar line changes, the trend has definitely turned. However, in the use of some D indicators with short time periods, this view cannot be completely established.
, patterns and deviations. The D indicator also emphasizes patterns and divergence phenomena. When the D line and the D line of the D indicator form a high bearish pattern, such as a head and shoulders top, double head, etc., you should remain vigilant. When the D line and the D line of the D indicator form a low bullish pattern, you should consider buying. When judging the form, the D line is the main one and the D line is the supplement. When the price continues to rise, and the D indicator moves lower and lower, it means that the top divergence appears, indicating that the price may turn downward in the near future. When the price continues to decrease, the D indicator moves out of a downward trend.
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