Using stock indicators [Part 2]: CM Chip Indicator.

First, let's understand the techniques for using these 6 core stock indicators.
DKW: a trend indicator for both long and short positions, determining buy and sell points based on the structure numbers [1-9] and arrow hints of the ladder.
CD: a bottom-fishing signal indicator, where red represents a bull market, and orange-yellow represents a bearish market. Use the changing colors of the DKW trend ladder, as well as the CD indicator colors and hints [buy, clear position], to find a relatively suitable buy and sell point.
CM: a capital indicator, where orange-yellow represents the entry of block orders, usually indicating a bull market; blue represents retail funds, typically indicating a bear market. When individual stocks attract speculative funds, it indicates a potential strong breakout in the short term, and the increase will be significant.

SXHY: [Three-in-One Indicator] Green represents resistance, red represents trendlines, and yellow represents support. When the three lines come together, it's a long position, and when they separate it's a short position.
STZ: a three-wave resonance indicator that optimizes the advantages of KDJ and MACD indicators, enhancing the accuracy of DKW buy and sell points, needing to be used in conjunction with each other.
CKDJ: a super stochastic indicator. It strengthens the accuracy of DKW, CD, and STZ indicators based on the strength of stock price trends and overbought/oversold phenomena.

Next, let's look at the technique for using the CM chip indicator.

The CM indicator is mainly used to identify the flow of funds by looking at the color of the columns. Red columns represent block orders, pink represents retail investor funds, yellow indicates block control in an uptrend, blue represents individual investor funds. Red and green appearing simultaneously indicate block control in a downtrend, and stock prices will have minor-level band rebounds.

(1) How to determine the long and short trend market through the CM indicator

Uptrend: Market block orders continuously buy long positions, causing stock prices to rise. In the CM indicator, red columns represent block orders, and yellow indicates block control. In an uptrend, red block orders tend to quickly push up stock prices, followed by the appearance of yellow columns in the CM indicator, leading to gradual small-scale price increases, which signifies block control in an uptrend. At this time, the DKW ladder color is pink. The CD indicator's coverage area is also red, and the SXHY indicator will also indicate a potential long position.

Downtrend: When market block orders stop actively buying stocks and instead start selling, stock prices start declining. In the CM indicator, the blue color represents individual investor funds beginning to appear. At this time, the DKW will show a nine-turn structure number in green [1-9], and the ladder color also changes to green. The SXHY indicator will also indicate a potential short position.

Determine the rebound trend: Here is a reminder that when the stock price has been falling for a period of time, there will be a rebound. The rebound in a downtrend needs to be analyzed with multiple indicators, as shown in the chart. First, there will be a blue candlestick appearing, indicating that the stock price trend will change, whether it will go up or down is unclear at this point. This requires a comprehensive judgment based on other indicators. When the CM indicator also starts to show red and green color patterns at the same time, and the SXHY indicator suggests [long], it means that the rebound trend is established. We should follow the pink numerical tips of the DKW nine-switch structure to observe the rebound.

Friendly reminder: Everyone's buying and selling points and risk tolerance are different. The use of indicators requires each individual to study their own buying and selling points based on their risk preferences.

Indicators will also change with the changes in stock prices, as you will notice when checking stock market on your mobile phone. Having indicators to assist in judgment helps us to grasp the market trends more confidently and reduce unnecessary losses.

Hope everyone learns more about stock knowledge, improves stock trading skills, and with the assistance of indicators, the accuracy will be much higher. Do not blindly consider these stock indicators as magical tools.

I have created a stock learning technical guide. Those interested can refer to it. I am also an amateur speculator. I hope to have the chance to meet and learn from experienced trading masters.