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What is the function of kdj indicator?
KDJ index, called stochastics in Chinese, is a very novel and practical technical analysis index. It was first used in the analysis of futures market, and then widely used in the short-term trend analysis of stock market. It is the most commonly used technical analysis tool in futures and stock markets.

Facing the unpredictable China stock market, it is very necessary to learn and accurately use relevant technical indicators for stock analysis, which can help us better grasp the rules and start operations. Today, I will introduce you to stock trading from five aspects and analyze KDJ indicators.

1 Deviation from KD index. If KD is high or low, if it deviates from the trend of stock price, it is a signal to take action.

2. If the value of J index exceeds 100 and is lower than 0, it belongs to the abnormal price area; If it is greater than 100, it is overbought; If it is less than 0, it is oversold.

3. the value of 3.KD. The unified value range of KD is 0 ~ 100, which is divided into three areas: over 80 is overbought area, below 20 is overbought area, and the rest is wandering area. But what stock investors need to pay attention to here is that this division is only a signal hint, and it cannot be completely operated by this analysis method.

4.KD indicators cross. The relationship between k and d is the same as that between stock price and MA, and there are also problems of death cross and gold cross.

5. The form of 5.KD index curve. When the KD index forms a head-shoulder top shape and multiple tops (bottoms) at a higher or lower position, it is a signal to take action. Here, stock investors also need to pay attention that these forms must appear in a higher or lower position. The higher or lower the position, the more reliable the conclusion.

Tips: The above instructions are for reference only and do not make any suggestions. There are risks in entering the market, so investment needs to be cautious.

Before making any investment, make sure that you fully understand the investment nature and risks involved in the product, and then judge whether to participate in the transaction by yourself after carefully understanding and evaluating the product.

Reply time: 2021-11-08. Please refer to the latest business changes announced by Ping An Bank in official website.