How do I use KDJ to trade in the short term?
Hi, mooers!
Do you notice that using KDJ solely is not enough for you to decide your entry and exit points? Yes, that's normal. KDJ is a sensitive technical indicator. If you combine it with other indicators, the accuracy might be improved. Let's find out how to use the following combinations.
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Post your learning results by taping the discussion: TA Challenge: KDJ – A short-term trading tool you can't miss
KDJ+RSI (Relative Strength Index)
When KDJ falls below 20 and intertwines, you should turn to the RSI indicator to see if there is a bullish signal. If both the KDJ and RSI indicators show upward signs, it suggests that the stock may go up. Similarly, when the KDJ and RSI hit the overbought zone (KDJ and RSI exceed 80), it indicates that the upward trend may end.
KDJ+MACD (Moving Average Convergence Divergence)
When the KDJ falls into the oversold area and you can't see the upward trend on the chart, you can take a look at the MACD. If the MACD's short-term moving average crosses above its long-term moving average with the KDJ in an oversold zone, it suggests that a bullish trend may appear. When the KDJ reaches 80 and the gap between the short-term and long-term moving average of the MACD is getting smaller, it signals that the upward trend may turn downward.
After learning how to use the combinations, it's time to put them into practice. You may wonder: how do I screen out the stocks I want? Follow the 6 steps below to find them anywhere and anytime! It will just take a couple of minutes!
USD 20 Stock Cash Coupon Giveaways
Post your learning results by taping the discussion: TA Challenge: KDJ – A short-term trading tool you can't miss
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This article is for informational and educational use only and is not a recommendation or endorsement of any particular investment or investment strategy. Investment information provided in this video is general in nature, strictly for illustrative purposes, and may not be appropriate for all investors. It is provided without respect to individual investors’ financial sophistication, financial situation, investment objectives, investing time horizon, or risk tolerance. You should consider the appropriateness of this information having regard to your relevant personal circumstances before making any investment decisions. Past investment performance does not indicate or guarantee future success. Returns will vary, and all investments carry risks, including loss of principal.
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Meta Moo OP : Hey mooers! If you have any questions while reading this article, feel free to leave a comment. I will try to help you solve that problem.![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
steady Pom pipi Meta Moo OP :
Meta Moo OP steady Pom pipi :![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
SpyderCall : good info![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
The KDJ indicator never comes off my screen. Its good for a quick reference good entry and exits points when coupled with MACD and RSI. Works on any timeframe but when you use several time frames at once you can find a good entry like a sniper
Meta Moo OP SpyderCall : yeah, when MACD, RSI, KDJ all suggest a bullish trend coming, the possibility of price increasing is high.![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
Meta Moo OP SpyderCall :![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
Would you share some of your analysis with us in this topic? We can build a technical analysis trading group.
https://www.moomoo.com/hans/community/discussion/595066945
SpyderCall Meta Moo OP : Absolutely!![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
Meta Moo OP SpyderCall :
Team moomoo : great post![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
Mooers Lab :
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