Solve The Analysis of Top Characteristics K Line

The stock price in the band high, the daily fluctuations are more violent, the emergence of star-shaped small K-line, is the stock price rose to meet the performance of the bottleneck: if the volume of transactions, is the stock price stagnation phenomenon; if the volume of transactions, and the creation of a new high band also formed the volume of price deviation, the stock price only down a way.

The new high two stars is one of the combination K-line pattern of the top of the share price band. In addition, the two stars appear in the middle of a wave of pull-up market, then constitute a buying time.

The Sakata Method of Warfare explains the new high two-star: Conversion - two very short lines together, two stars as a sign of a shift in the market, such as the appearance of consecutive star lines in the chart, more can be bought.

Combination of K-line and K-line: Night Star

Night star, also known as the twilight star, by the combination of three K lines, the first is a positive line, can be small in the large positive line, generally more in the positive line; the second is a small entity of the K line, constituting a star, can be Yin can be Yang, may also be cross-star structure, general stock price fluctuations are small; the third is a low open low negative line, small in the large resistance negative line can be, generally more in the negative line.
The second star trading range if the two K lines before and after the trading range does not intersect, that is, a jump state, or with a side jump gap, its reversal of greater strength, you can basically determine the top of the band has been formed.

If it is a complete jump in the shape of a cross, in the "Sakata method of warfare" called "high shedding line", is the stock price has been the top of the band characteristics of the combination of K lines.

The formation principle of the night star: the share price after a wave of continuous rise, there has been a considerable rise in the range, the first day, the market in a carnival to continue to rise, pulling out a large positive, the next day, continue to rush high, but by profit taking and the main force of the covert shipping pressure and fall back, the main force in order to maintain the high level of shipping shock, will maintain the pattern of small price shocks, which is the closing of the small entity K line or cross star reason. The third day, the low opening, the volume down, the main force to start the crazy shipments, followers also panic selling, the day closed the long negative line, the share price also began a wave of downward trend.

The "Sakata Method of Warfare" interpretation of the night star: sell - in the process of rising buying power is particularly strong, after a large positive jump and a small negative, the next day opened low and then plummeted to close a long black, this small black high hanging situation Easterners named "night star", belongs to the sell-off This is one of the signs of a sell-off.

The "Sakata Warfare" interpretation of the new high shedding line: sell - this line pattern rarely occurs, the name "shedding" is also quite meaningful, the figure above the shedding line that is a series of rising trend, first appearing to open and close the same point of the long cross, and then the market fell, not only jumped and closed with a long black. This means that the buying power of the bulls has dried up by the time the cross occurs, so they have to abandon their positions and retreat. The market is likely to fall after the appearance of the upper scribe line, so the shorts should take advantage of the situation.