forex cashback easy

How to identify true and false breakthroughs in Forex technicals


The forex cashback easy of the cashback forex forexcashbackeasy to buy, sell timing, etc. has important analytical significance, and even if only the cashbackforexpip makers tend to take market operations based on changes in the trend line; therefore, to figure out when the trend line for the breakthrough, 100%cashbackforex a valid breakthrough or non-valid breakthrough, in fact, the stock cashbackforex hovering above and below the trend line often happens, the error in judgment The following provides some methods of judgment and market principles, but the specific situation should still be combined with the market situation for specific analysis (1) the closing price of the breakthrough is a real breakthrough Technical analysts have found that the closing price breakthrough trend line, is a valid breakthrough and therefore a signal to enter the market to fall trend line that is the counter-pressure line, for example, if the market price once broke through the counter-pressure line, but the closing price This proves that the market did want to try to go higher, but the buy orders did not continue, and the sell orders poured in, so that the stock price finally fell back at the close of the market Such a breakthrough, experts believe that it is not a valid breakthrough, that is, the counter-pressure line is still valid, the market trend is still not changed Similarly, the breakthrough of the rising trend line, should see whether the closing price fell below the trend line in the chart records often occur: the trend line breakthrough After the breakthrough, the stock price and back to the original position, this situation is not an effective breakout sail instead is often the market trap (2) the principle of judging the breakthrough In order to avoid market entry errors, technical analysis experts have summarized several principles to determine the true and false breakthrough: A. found after the breakthrough, more than one day of observation If the breakthrough for two consecutive days after the stock price continues to develop in the direction of the breakthrough, such a breakthrough is an effective breakthrough, is Of course, two days after the market, the share price has been a large change: the share price to buy high; the share price to throw low, but even then, because the direction is clear, the trend has been set, the investor will still have a great deal, much better than rashly enter the market B. Pay attention to the high and low prices two days after the breakthrough If the closing price of a day breaks through the downward trend line (resistance line) upward development, the next day, if the transaction price can If the closing price of a day breaks the downward trend line (resistance line) and moves upward, the next day, if the trading price crosses its highest price, it means that there is a large amount of buying to follow after the breakthrough of the resistance line. On the contrary, although the market price is marked up, but the volume does not increase but decreases, indicating that not many people follow up, the market has doubts about the movement of the party, the breakthrough of the trend line is also the same, when the stock price breaks through the line or resistance line, if the volume rises or remains at the usual level, this indicates that after the breakthrough of the line to follow up more people, the market has confidence in the direction of stock price movement, investors However, if after the breakthrough, the volume does not rise, but falls, then you should be careful to prevent the breakthrough and then return to the original position In fact, some false signals of breakthrough may be due to some large investors into the market, the large market forced price, such as large investment companies into the market, the central bank intervention, etc. But the market investors do not have a lot of people to follow, false breakthrough can not change the entire surface potential, if you believe in such a If you believe in such a breakout, you may be fooled D. Lateral movements When studying trend line breakouts, it is important to clarify one situation: a break in a trend may not be the immediate start of a new trend in the opposite direction, sometimes because the rise or fall is too rapid, the market needs to make a slight adjustment, for up and down lateral movements If the range of up and down is very narrow, it forms a so-called bullish state lateral movements will last for some time, sometimes a few days, sometimes a few weeks Technical analysts call the movement a digestion phase or consolidation phase lateral movement will form some complex graphics lateral movement after the end of the direction is a more complex issue understanding the nature of the lateral movement is extremely important to grasp the direction of the stock price movement sometimes, people for the stock price back and forth narrow movement, its meaning, a great sense of lost direction in fact, since the lateral movement is the digestion phase, it means that the upward process has greater resistance; down process is bought, buyers and sellers do not give way to each other, you buy up, I throw down in a breakthrough resistance line up the trip, the lateral movement is a bottoming process, the greater its lateral degree, the greater the power to throw off the cowhide state rise, and, rising cowhide state is a dense area Similarly, at the end of the upward trip, the market price downward slide, there will also be a lateral movement lateral movement The dense area formed, is often the resistance area of the future stock price rebound up, that is to say, there is not enough power, the market is difficult to break through the dense area, change the direction of decline