Generally, the parameters of the H1 (60 minutes) K-line MACD indicator of most analysis software are set to 12, 26, 9, that is, the fast EMA parameter is set to 12, the slow EMV indicator is set to 26, and the DIF parameter is set to 9. From a practical point of view, the MACD indicator composed of this group of parameters is not good enough. It has a significant lag in the fluctuation of price trends, which can neither provide users with the first opportunity to operate, nor can it be difficult to understand future price trends. Provide predictive signals.
So what is the more appropriate parameter value? Through continuous trial and error testing, the author concluded that there are two sets of price H1 (60 minutes) K-line MACD indicators, and the parameter values have relatively high practical value, namely: fast EMA value of 6, slow EMV value of 30, DIF Value 6; fast EMA value 6, slow EMV value 30, DIF value 9. The MACD indicator set by these two sets of parameter values has obvious performance improvements both in terms of sensitivity to price movements and early warning of future price movements, and according to the time span (note that it is not Cycle) and stock and spot differences, the accuracy between them will be improved, which can be used as another analytical tool in the hands of users.
MACD indicator parameter setting method
The application principle of the price 60-minute K-line MACD, which is set by the two sets of parameter values, focuses on the following principles:
- The principle of deviation: According to the inherent characteristics of the MACD indicator, the phenomenon of deviation is an important basis for judging the future trend of the price. This is the 60-minute K-line MACD indicator for the price, especially the MACD indicator composed of two sets of parameter values summarized by the author. Needs attention. Generally speaking, when the divergence between the indicator and the price occurs, the parties should consider that the price will be reversed to a large extent in the future, and the operation decision should be made as soon as possible at this time. Of course, prices tend to run inertially after the phenomenon of deviation occurs, so that users will have a not too long time to plan their operations.
Second, the principle of crossover: We should realize that when the value on the ordinate of the indicator is higher or lower, the probability that the indicator will cater to the cross (failed cross) is less, and the effectiveness of the cross is greater. Therefore, we can operate before the indicator has crossed or may cater to the cross.
- Generally speaking, when the DIF line and the MACD line continue to rise and stay away from the red column line, while the red column line continues to shrink or even the green column line appears, one should be wary of the indicator’s high dead cross and the turning of the price trend. This is what we have talked about in the “Japanese Line”, but I need to emphasize it again here. Because the price 60-minute K-line MACD indicator composed of this set of parameters will particularly emphasize the contraction or enlargement of the column line. Once the column line starts to shrink in the rising trend, although the indicator and the price trend still maintain a synchronized rise, We should also pay attention to the possibility of price changes in the future. On the contrary, we can also draw operating principles in the downward trend.
- In the price 60-minute K-line MACD indicators set with two different parameter values, the division of labor is as follows: Generally speaking, indicators set with parameter values 6, 30, and 6 are mainly suitable for the market index And some stocks whose price movements are not too volatile; while the indicators set by the 6, 30, and 9 parameter groups are mainly suitable for some stocks with relatively large price movements. At the same time, in the consolidation of the market, the former has a slightly stronger indicator warning effect, and the latter has a slightly weaker indicator warning effect.
- There is no clear overbought and oversold area based on the MACD indicator, so the deviation principle is the first important principle, and the crossover situation is the second important principle. In addition, users can also make comprehensive judgments in combination with the moving average system and other technical indicators. The effect will be better than using a single indicator for analysis.
Buy “small” and sell “small”: This is an easy way to use MACD to capture the best trading points. The “big” and “small” here refer to the big green column and the small green column; the big red column and the small red column in MACD. In the operation, the two white and yellow curves of DIF and MACD are generally ignored. We only pay attention to the changes of red and green bars. After experiencing a wave of decline, when the stock is at its lowest price, a wave of “big green pillars” appears on the MACD. First of all, we should not consider entering the market to be long, but should wait for the first wave of rebound (the red column appears), and when it bottoms out for the second time, a “small green column” appears in the MACD (the green column is obviously more than the previous one). The big green column should be small), and when the small green column goes flat or shrinks, it means that the strength of the decline is exhausted. At this time, consider doing more, and then combine DIF and DEA. If the golden cross is the best buying point, this is The so-called buy small (that is, buy on the small green pillar).
On the contrary, short selling is obviously the same for rising. When the first wave rises (appears as a big red bar on the MACD), we should not consider shipping (or shorting), but should wait for the first wave to pull back, and when the second wave rises again, when the MACD appears Out of the “little red column” (the red column is obviously smaller than the previous big red column) at this time means that the upward momentum is insufficient. At this time, consider shorting, combined with DIF and DEA, if you die, it is the best selling (or short) point , This is the so-called selling small (that is, selling on the small red pillar).
Zero axis opportunities:
Morphological characteristics: MACD indicator crosses the zero axis up or down.
Analytical significance: The zero axis of MACD has the meaning of the boundary between strength and weakness in its original intention. When the indicator crosses the zero axis, there will be a certain change in popularity, which is very interesting. If the main funds want to use it, they will make a fuss around here.
The zero axis is actually not the dividing line between the strong and weak areas. This is because the MACD does not fluctuate between 0 and 100. In the large form and strong and weak conversion of the entire indicator, the above-zero area and the below-zero area are only the movement of the indicator graph. A space. In the original concept of MACD, the bulls have to intervene above the zero axis, but there may not be much space after the zero axis in actual combat. However, the zero axis is a point with a certain meaning after all. Let’s study its different effects on prices in different situations.
- When the indicator breaks through the zero axis, it also breaks through the morphological pressure line, and the K line breaks through the pressure of the K line graph at the same time, and there is a wave of market.
- The indicator draws back to the support line of the indicator pattern, and then crosses the zero axis upwards, there is a wave of market.
- When the indicator crosses the zero axis, it is the second wave of the three waves and there is also a wave of market.
- When the indicator crosses the zero axis, there is a certain distance from the indicator track pressure line, and the K line also has a certain distance from the resistance level, the indicator can rise to the resistance level.
- The weaker popularity below the zero axis is mainly based on the weak base, and the strong popularity above the zero axis is based on the strong top.
MACD’s most effective and commonly used method of top escape (short):
In actual investment, MACD is an indicator that not only has the functions of bargaining at the bottom (divergence is the bottom), capturing extremely strong rising points (MACD buying into the red for two consecutive times), and capturing the “washing end point” (up and down deviation buying). Enjoy the fun of rising after buying. At the same time, it also has the ability to capture the best selling point, help you successfully escape the top, and make you enjoy the feeling of harvest.
The method of using MACD to capture the best selling (short) point is as follows:
Adjust the relevant parameters of MACD-MACD parameters are set to: 8, 13, 9; the moving average parameters are 5, 10, and 30 respectively. After setting the parameters, it is looking for selling points. Since there are many selling points for a stock, here are two of the most effective and commonly used methods to escape the top:
The first selling point or relative top-its meaning is that the stock price appears sideways after a sharp rise, and thus a relatively high point is formed. Investors, especially those with larger capital, must sell at the first selling point Cargo, or lighten up. The technique for judging the establishment of the “first selling point” is “stock price sideways, MACD dead cross selling”, that is to say, when the stock price goes sideways after a continuous rise, the 5-day and 10-day moving averages have not yet formed a dead cross. However, MACD is the first to die, and the day of the die is when the “first selling point” is formed, it should be sold or reduced.
★Summary (MACD setting):
Little volatility (consolidation)-6, 30, 6; large volatility-6, 30, 9.
When going short-8, 13, 9.