Today's morning market analysis;
Brothers and sisters analyzed two trend lines for everyone in the live broadcast last night, so today I will use these two trend lines to analyze with you and teach you how to use the moving average to identify the trend direction.
1: First, the 28-day moving average can be used as a large-cycle trend line. As long as the coin price is still above 28, it means that the upward trend has not ended. Every callback to the moving average price is your opportunity to buy.
2: The other is the 14-day moving average. When the price of the coin is above the moving average and is far away from the 28th, you should refer to the 14-day moving average at this time. When you step back on the 14-day moving average, it is time for you to buy.
3: In terms of cycle use, it can be divided into two time periods. If you use it at the 12-hour/daily level, it will be more accurate to judge the trend direction, because the small cycle changes the large cycle. Once the 12-hour trend breaks, it will quickly change the daily level trend. If you are still waiting for the daily level to break at this time, you will be late to escape the top.
4: When the 14-day moving average is the first to fall below the 12-hour level, then the 28-day moving average is the position where you take delivery and enter the market. If the same order price directly breaks through the 14/28-day moving average, whether it is 12 hours or daily, then you should pay attention to risk avoidance, and every time the currency price rebounds to the upper 14/28 moving average, it is the best position for you to short-term operation or reduce your position.
Core summary: At present, Bitcoin has fallen below the 14/28 moving average at the daily level, and the 12-hour level has not broken through the 14/28-day moving average. It can be judged that it is just a rebound. How to judge the reversal, then the breakthrough must be completed in 12 hours first. The Bitcoin price must break through and stabilize at 96,000 to be considered an effective breakthrough. (What is stabilized means that the closing price is above 96,000, and it is best to have 3 or more K-line prices with closing prices above 96,000) Only in this way can the trend direction of the daily level be changed, because the small cycle obeys the large cycle, and the small cycle can also change the large cycle. (Note that try not to use 2.4.6 hours to judge the general direction, and you can make a short-term reference to the rebound direction)
Note⚠️; The above is the use of the 14/28-day moving average, and how to judge the trend direction, how to use the time period, and note that the moving average is a cage drawn by the dog dealer for everyone. Don’t rely on the small cycle completely, otherwise it is easy to cheat. The long cycle is available to judge the trend direction.