A fan asked: What is the underlying logic of the knowledge points of the Chaos Theory?
Answer: The core idea of the Chaos Theory is to predict price trends based on market trading behavior itself, rather than relying on fundamental analysis. The Chaos Theory believes that market price fluctuations are regular, and this law can be captured by analyzing the market trend structure and the strength and size of the turning point.
The underlying logic of the Chaos Theory mainly includes the following aspects:
The basic unit of market movement: The Chaos Theory believes that market movement can be divided into basic trend units, including types, pens, line segments, and centers, which are the basis for understanding market fluctuations.
Trend division: Price trends are divided into three basic trends: rising, falling, and sideways. Each trend has its own specific characteristics and laws.
Central theory: The central axis is a very core concept in the Chaos Theory. It refers to a balance area formed by price fluctuations within a certain range, which can be used to judge the continuity and reversal of the trend.
Buying and selling point analysis: Through the analysis of the central axis and trend, the Chaos Theory provides a systematic buying and selling point judgment method to help investors intervene or exit the market at the right time.
Long and short analysis: Chaos theory emphasizes judging long and short forces based on the actual situation of the market, rather than simply bullish or bearish.
Volume-price relationship: Chaos theory also considers the changes in volume and energy, and believes that the volume-price relationship is an important basis for judging market momentum and trend sustainability.
Market psychology: Chaos theory believes that the psychological factors of market participants play an important role in price fluctuations, so the analysis of market psychology is also part of its theory.
Chaos theory is a highly comprehensive technical analysis theory that combines knowledge from multiple disciplines such as mathematics, statistics, and psychology, and reveals the laws of market price fluctuations through complex mathematical models and theories.
Gao Shan talks about Chaos theory
2024.06.15
#缠论教学 #缠中说禅 #币安用户数突破2亿 #btc #eth
