In the classification of spot silver trends, trends are generally divided into three categories, one is rising, one is falling, and the other is level. For investors, the trend, that is, rising or falling is what we like, so how do we capture this trend? We can focus on these follow-up technical indicators.
Bollinger Bands
The Bollinger Band indicator, that is, the BOLL indicator, uses statistical principles to find the standard deviation and confidence interval of spot silver, so as to determine the fluctuation range and future trend of spot silver.
The future trend of spot silver is generally judged by the Bollinger Band in the middle. When the Bollinger Bands are open and the midline is upward, it indicates that the spot silver is about to rise; when the Bollinger Bands are open and the midline is downward, it indicates that the spot silver is about to fall; The closing center line is in a parallel situation. At this time, the spot silver is in a temporary calm period, which is generally a consolidation market.
moving average
MA, is the moving average Moving
The abbreviation of Average, it is a line formed by dividing the sum of the closing prices of each K-line for a period of time by the points obtained in this period. Generally, there are 6 moving averages displayed on the disk, representing 6 different periods.
In actual operation, MA is used in many ways. You can use one moving average to judge the trend of spot silver according to Granville’s eight rules, or you can use three moving averages to judge the trend of spot silver. You can also use more than three Whether the arrangement of the moving average is short or long is used to judge the market.
MACD
The MACD indicator, known as the exponential smoothing average convergence divergence, is developed from the double exponential moving average. MACD is composed of fast and slow lines and red and green columns. The future trend of spot silver is judged by the position and shape of the fast and slow lines or the color and value of the columns.
The line breaks through the slow line downward to form a dead cross, which indicates that the spot silver will fall; the fast line breaks through the slow line upward to form a golden cross, which indicates that the spot silver will rise. This is the most commonly used and easiest way to capture the trend of spot silver.