Traditional Culture Encyclopedia - Tourist attractions - Basic knowledge of moving average charts: What does moving average mean?

Basic knowledge of moving average charts: What does moving average mean?

The K-line chart represents the trend of stock prices, but the knowledge in it is too profound and cannot be explained in a few words. Just to tell you briefly. K-line charts generally have five lines, namely the 5-day moving average (white line), the 10-day moving average (yellow line), the 20-day moving average (purple line), the 30-day moving average (green line), and the 60-day moving average (blue line). . What we are talking about here is Flush stock trading software. Different software may be different, but they are generally the same. What is the 5-day moving average? It is the average closing price of a stock in the last five trading days. Other moving averages are similar. What kind of K-line chart trend is the most ideal? That is, the five lines are running almost parallel to the upper right, which indicates that the stock price has been continuously rising recently. But in reality, almost no stock is like this. It only rises but never falls. So isn’t such a stock crazy? Under normal circumstances, the five lines are divided and combined, and sometimes they are closely connected together, which is quite complicated. The picture below is an enlarged K-line chart of 600054 Huangshan Tourism. The 5-day moving average is pointing upwards and away from the 10-day moving average, indicating that the stock has the possibility of making an upward breakthrough. Can you understand? The K-line chart is just a reference, remember it. If you target it in stock trading, you may be wrong half the time. Because sometimes it appears regular and sometimes it doesn't. We need to analyze and study a stock based on all aspects of the situation. Such as changes in trading volume, turnover rate, internal and external markets, etc.