Trading Line

To operate, one must understand the basic principles of moving averages

Attack Line: 5-day moving average, when it turns upward it helps to rise, when it flattens it indicates consolidation, and when it turns downward it assists in falling; short-term experts usually rely on just one 5-day line;

Operation Line: 10-day moving average, an important indicator for wave market trends, analysis is more accurate when combined with the attack line;

Lifeline: 30-day moving average, the dividing line for medium-term strength or weakness in wave trends, usually used to define the watershed when a stock begins to strengthen or weaken;

Decision Line: 60-day moving average, a guiding line that determines strategic tactics, sharper than a trend line for judging operational guidelines;

Trend Line: 120-day moving average, a medium-term trend indicator, bull-bear dividing line, usually serves as the basis for major players' market entry and exit.