The opening chapter of this article will explain the technical aspect, which is what everyone calls the linear level. Before explaining, Lao Cui needs to make a statement. The technical indicators of the currency circle and the stock market can only assist in judging the later trend, but cannot determine the later trend. The technical level can only stay in the understanding stage. The first is the common moving average level, such as the five-day moving average, the ten-day moving average, and even the monthly moving average, which generally refers to the transaction price of the stock or the average value of the index in the last five days. Usually it corresponds to the 5-day moving average of the stock price and the 5-day moving average of the index (5MA). The function of the moving average is to reflect the transaction price in the recent period of time, and to reflect the transaction willingness of buyers and sellers from the side. The meaning of the moving average pointing up or down is not of reference significance.

Usually, the occasion when the moving average appears is the Bollinger band. The Bollinger band opening refers to the trend that the upper and lower tracks in the Bollinger band indicator of the stock appear in opposite directions but with great strength, indicating that the bulls are gradually becoming stronger and the bears are gradually exhausted. The stock price will be in a short-term sharp rise. Short-term investors can consider opening a position at this time. The situation of Bollinger Bands closing, that is, the upper and lower tracks in the Bollinger Bands are constantly approaching. When the stock price narrows after a long period of decline, it indicates that the power of both long and short sides is gradually balanced. The stock price of +laocuitanhua2209 will be in a long-term sideways market, and investors should wait and see. The middle and lower tracks of the Bollinger Bands are usually the same, and different opening methods are produced, which means that the market tends to be unstable. For example, on July 17, the upper track reached around 3500, but the closing price was at the beginning of 3300. The upper and lower tracks have different trends, but ultimately led to a wave of growth in the market. This is a typical case of the bulls gradually becoming stronger and the bears gradually weakening.