TA Challenge: Emotional trading is bad? PSY doesn't think so!
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PSY psychological line
Some technical indicators(BB, RSI, KDJ, PSY)seem to have a common formula. I just use the simplest way to understand, when the moving average reaches these technical indicatorshigh area is overbought (sell signal)和Oversold at the bottom (buy signal).。When a technical indicator gives a buy or sell signal, we may not be very certain about its current trend (some technical indicators may be slower, such as MACD). In this case, we can observe several different technical indicators to determine the current trend. When multiple different technical indicators point in the same direction, we can be more certain about the current trend of the stock.Haven't learned other technical indicators yet?You can refer to the link below:👉 Useful investment knowledgehttps://www.moomoo.com/hans/community/feed/108159904251910?lang_code=0Do you understand?Let's do a practice, please study carefully, I will ask questions later.This time I chose a popular stock. $Tesla (TSLA.US)$ The following chart has two.Red circles.What can you observe?1. MACD enters a death cross, with a decrease in trading volume.2. BB stock price exceeds the high part of the Bollinger Band.3. When KDJ exceeds 80.4. RSI exceeds 70.5. PSY exceeds 80.These are all bearish signals. When multiple technical indicators show bearish signals simultaneously, you can observe that the stock price starts to decline after these signals appear.Below is the chart.Green circle.What can you observe?1. MACD has been crossing below the zero axis for a period of time, with trading volume starting to rise. However, just by observing this technical indicator, we cannot identify any specific signals yet.2. The BB stock price is close to the bottom of the Bollinger Band.3. The KDJ is close to 20.4. The RSI is close to 30.5. The PSY is close to 30.When several technical indicators simultaneously show a bullish signal, you can find that the stock price is starting to rise. Have you learned? Start with these seemingly basic and simple methods (there are more complex ones, such as the divergence between technical indicators and stock prices, which may require more practice).Okay, now it's time for me to ask a question.By looking at the section at the end of the chart in April (behind the green circle), what can you find? (The answer is in the comments.) Update: I found that everyone did not read the article carefully.Please find "useful investment knowledge", click the link, and find "technical indicators", which provides explanations of various technical indicators.What can you find from the portion in April at the end of the chart (behind the green circle)?Answer:Bearish signalThe following explanations indicate that after the stock price rises to the overbought zone, there is a high possibility of a decline.1. You can see that the stock price has reached the top of the BB Bollinger Band.2. RSI indicator exceeds 703. KDJ indicator exceeds 804. PSY indicator 80++In the chart below, you can see that after these bearish signals appear, the stock price starts to decline. You all can pay attention to my paper trading investment portfolio, where I will slowly apply the knowledge I have learned here.$放长线钓大鱼$
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steady Pom pipi OP : Yes, it's a sign of decline
Evelynne : please don't go 700$
steady Pom pipi OP : Haha, 62% of people answered wrong, they want to spank
Milk The Cow :
whqqq : thanks for your sharing