ATFXAnalysis: stocksBollWhat does it mean? Is the investment safe?

The rise or fall of stock prices is directly related to investors' profits and losses, and will also affect their subsequent decisions. However, stock prices are not judged solely by a single factor. When analyzing stock price trends,BollIt is also a good indicator.

sharesBollWhat do you mean??

Boll (Boll)Indicators are one of the commonly used tools for stock market technical analysis, which calculates the standard deviation of stock prices and then calculates the trust interval of stock prices. Draw three lines on the graph, where the upper and lower lines can be seen as pressure and support lines for the stock price, and there is also an average stock price line between the two lines. Generally speaking, stock prices will operate in a channel formed by pressure and support lines.

sharesBollComposed of three lines:

【1】Upper rail-BOLLThe yellow line of the line;

【2】Mid rail-BOLLThe white line of the line;

【3】Lower rail-BOLLThe purple line of the line.

The upper track is the pressure line, the lower track is the support line, and the middle track is the dividing line between the strength of stock prices.

sharesBollIndicator usage tips:

【1】The upper, middle, and lower tracks of the Bollinger Line all run upwards simultaneously, indicating that the current stock price is relatively strong and will continue to rise in the short term.

【2】When the online, medium, and offline tracks of Bollinger run downwards simultaneously, it indicates that the stock price is currently relatively weak and may continue to decline in the short term.

【3】When the upper and lower trajectories of the Bollinger Line move downwards, while the middle and lower trajectories move upwards, it indicates that the current stock is in a consolidation state.

【4】When the upper trajectory of the Bollinger Line moves upwards, while the middle and lower trajectories both move downwards, it indicates that the current stock price may undergo the next round of decline, and the magnitude of the decline can be determined based on the opening of the upper and lower trajectories.

【5】If the upper, middle, and lower trajectories of the Bollinger Line are all in a parallel state, it indicates that there is no obvious trend in the current stock market and it is in a horizontal stage. It is necessary to judge the future trend of the stock price based on other circumstances.

The rise and fall of stock prices are determined in the long run by the profits created by listed companies for shareholders, while in the short term it is determined by supply and demand. Therefore, it is recommended to pay more attention to blue chip stocks and stocks highly recognized by investors when buying stocks in daily life.