In the process of crude oil trading, every fluctuation of the market may lead to entry signals. A successful investor of crude oil futures will grasp these signals and enter at the most ideal point, so as to earn more profits. So how do you master the correct skills of watching and seize the trading opportunity?
First buy point:Moving average from the decline gradually flat or higher, and the price from bottom to top across the EMA, for the buy signal. If the moving average changes from falling to flat or rising, it means that the downward momentum of prices has been weakened. The breaking of the moving average confirms the upward action energy of prices, indicating that the short-term upward adjustment has been strengthened.
Second buying point:The price is above the moving average, falling below the moving average when retreating, but the moving average continues to rise, which is the buying opportunity. Such a phenomenon often leads to short traps. Many investors try to short when they see the price falling below the EMA, but ignore the direction of the moving average and the falling strength of the K line. We can often combine the bullish K-line signals, such as morning star, bullish through the head and feet, to confirm the buying signals.
Third buying point:When the moving average is back, it is above the moving average.
Fourth buying point:The price moves above the moving average, suddenly plummets, and is getting farther and farther away from the moving average. It is very likely that the future market will return to the moving average (as the saying goes, extremes will reverse), which is the time to buy. Since the moving average, especially the moving average with a long period of time, calculates the average closing price of several trading days in the past, it is difficult to change the direction of the moving average in the near future when the price goes down. Even if the change angle is small, the price still has the risk of upward backward pumping.
I believe that through the above explanation, we have a certain understanding of how to grasp the trading opportunity of crude oil futures investment. However, the crude oil market is changing rapidly, and trading skills should be learned and applied flexibly in combination with the actual situation. Before each transaction, we should strictly stop loss and profit to avoid heavy losses due to misjudgment.