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Technical Analysis Tools— Technical Indicators

帮考网校2020-08-05 19:17:03
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Technical indicators are mathematical calculations based on the price and/or volume of a security, which are used to identify potential trading opportunities. They are used in technical analysis to help traders and investors make informed decisions about buying and selling securities.

Some common technical indicators include:

1. Moving Averages: A moving average is a line that represents the average price of a security over a specific period of time. It helps to smooth out price fluctuations and identify trends.

2. Relative Strength Index (RSI): The RSI is a momentum oscillator that measures the speed and change of price movements. It is used to identify overbought and oversold conditions.

3. Bollinger Bands: Bollinger Bands are a volatility indicator that consists of a moving average and two bands above and below it. The bands widen when the price is volatile and narrow when the price is stable.

4. MACD (Moving Average Convergence Divergence): The MACD is a trend-following momentum indicator that shows the relationship between two moving averages. It is used to identify trend changes and momentum shifts.

5. Fibonacci Retracement: Fibonacci Retracement is a tool used to identify potential support and resistance levels based on the Fibonacci sequence. It is used to identify potential entry and exit points.

These are just a few examples of the many technical indicators available to traders and investors. It is important to understand how each indicator works and how it can be used to make informed trading decisions.
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