First, we find the highest price and the lowest price of the day or a certain period of time, and connect them vertically into a straight line; Then find out the opening price and closing price of the K-line on the same day or in a certain period of time, and connect these two prices into a long and narrow rectangular column. If the closing price of the day or a certain period of time is higher than the opening price (that is, lower prices and higher prices), we will show it in red, or leave a blank on the column, which is called "positive line". If the closing price of the day or a certain period of time is lower than the opening price (that is, the opening price is higher and the closing price is lower), we will use blue or paint the column black, and this column is the "negative line". [ 1]

K-line diagram is intuitive, three-dimensional and informative, and contains rich oriental philosophy. It can fully show the strength of the stock price trend, the change of the power contrast between buyers and sellers, and accurately predict the market outlook. It is a technical analysis method widely used in various media and computer real-time analysis systems.

The daily K-line of 1. is drawn according to the four price points formed in the daily trend of stock price (index), namely, opening price, closing price, highest price and lowest price.

When the closing price is higher than the opening price, the opening price is lower than the closing price, and the rectangular column between them is drawn in red or hollow, which is called the positive line; The highest point of the upper shadow line is the highest price, and the lowest point of the lower shadow line is the lowest price.

When the closing price is lower than the opening price, the opening price is lower than the upper closing price. The rectangular column between them is drawn with black or solid lines, which is called negative line. The highest point of the upper shadow line is the highest price, and the lowest point of the lower shadow line is the lowest price.

2. According to the calculation cycle of K-line, it can be divided into daily K-line, weekly K-line, monthly K-line and annual K-line.

Weekly K-line refers to the K-line chart drawn with the opening price on Monday, the closing price on Friday, the highest price and the lowest price in the whole week. The monthly K-line is based on the opening price of the first trading day of a month, the closing price of the last trading day and the highest and lowest prices of the whole month. The definition of annual K-line can also be derived. Weekly K-line and monthly K-line are often used to judge the mid-term market. For short-term operators, the 5-minute K-line, 15-minute K-line, 30-minute K-line and 60-minute K-line provided by many analysis software also have important reference value.

3. According to the fluctuation range of opening price and closing price, K line can be divided into extreme yin, extreme yang, small yin, small yang, middle yin, middle yang, big yin and big yang. Their approximate fluctuation range.

The fluctuation range of extreme yin line and extreme yang line is about 0.5%;

The fluctuation range of xiaoyin line and xiaoyang line is generally 0.6-1.5%;

The fluctuation range of Yinzhong Line and Zhongyang Line is generally1.6-3.5%;

The fluctuation range of Yin Da Line and Dayang Line is above 3.6%.

The time-sharing chart records the trend of the stock price all day. Different trends form different kinds of K-lines, but the same K-line has different meanings because of different stock price trends.

A. xiaoyangxing: the stock price fluctuated very little throughout the day. The opening price is very close to the closing price, which is slightly higher than the opening price. The appearance of Xiaoyangxing shows that the market is in a chaotic stage, and the market outlook is unpredictable. At this time, it is necessary to comprehensively judge according to the shape of its previous K-line combination and the price region at that time.

B. Xiaoyinxing: The time-sharing chart of Xiaoyinxing is similar to Xiaoyangxing, but the closing price is slightly lower than the opening price. Explain that the market is weak and the development direction is unknown.

C xiaoyang line: its fluctuation range is small, the yangxing increases, and the bulls have the upper hand slightly, but the upside is weak, indicating that the market development is chaotic.

D. hang the yang line:

If there is a hanging line in the low-priced area, the stock price shows that the trading volume shrinks during the bottoming process. With the gradual rise of the stock price, the trading volume will enlarge the situation evenly and finally close at the positive line, indicating that the stock price in the market outlook is bullish.

If there is a hanging line in the high-priced area and the stock price goes out of the picture, it may be that the main force is pulling the boat, so you need to pay attention.

E. Lower shadow line and positive line: Its appearance shows that the multi-party attacks in the battle of long and short are calm and powerful, and the stock price first falls and then rises, and the market has the potential to rise further.

F. Upper shadow line and positive line: It shows that the upward pressure is heavy when attacking from many sides. This pattern is common in the main test action, indicating that there are more floating chips at this time, and the gains are not strong.

G. broken head and broken foot: the stock price shows that many parties take advantage of it, and there are waves of rising prices. The stock price rose steadily with the cooperation of trading volume, indicating that the market outlook is bullish. Similarly, if the stock price trend shows sideways or falling for most of the day, and the market suddenly rises, it indicates that it may open higher and then go lower the next day.

On the other hand, if the stock price fluctuates widely throughout the day, when the volume of the tail market rises and closes, it may be that the main force drove away the sedan chair passengers by oscillating the dishes that day, and then rose easily, and the market outlook may continue to be bullish.

H. Bald Yang line: If the bald Yang line appears in the low-priced area, the time-sharing chart will show that the stock price has risen wave after wave after wave, and the trading volume is enlarged, indicating the beginning of a round of rising market. If it appears on the way to the rising market, it means that the market outlook continues to be optimistic.

First, the barefoot line: It indicates that the upward trend is very strong, but there are differences between the long and short sides at high prices, so be cautious when buying.

J. Upper shadow line: It means that the multi-party upswing is blocked and the last selling is heavier. Whether the situation can continue to rise is still unclear.

K. Bare head and barefoot: It shows that many parties have firmly controlled the disk, and they are attacking wave after wave, forcing the air step by step and gaining a strong momentum.

Yinxian with small length: it means that the empty side is suppressing, but the strength is not great.

Barefoot Yinxian (abbreviation of meter): The appearance of barefoot Yinxian shows that although the stock price has rebounded, the selling pressure on the upper gear is heavier. The empty side suppressed the stock price and closed at the negative line.

Bald Yinxian: If this line type appears in the low-priced area, it means that the intervention of copying low prices makes the stock price rebound, but the strength is not great.

O. Lower shadow line, lower shadow line cross star and T line: Any one of these three lines appears in the low-priced area, indicating that the lower gear has strong bearing capacity and the stock price may rebound.

Shadow line, negative line and inverted T-line on the page (abbreviation of page): either of these two lines appears in the high-priced area, indicating that the selling pressure on the upper file is serious, the market is weak, and the stock price may reverse and fall; If it appears on the way up in the middle price range, it shows that there is still room for growth in the market outlook.

Q cross: It is usually called variable cross. Whether it appears in the high-priced area or the low-priced area, it can be regarded as a top or bottom signal, indicating that the general trend is about to change its original direction.

R. big yinxian line: the stock price was sideways for one day, and suddenly it went up in the end, indicating that the empty side finally occupied the dominant position in the battle one day, and it was more likely to open lower the next day. If the stock price goes out of the wave-by-wave decline as shown in the figure, it means that the empty side is cheap, many parties are unable to resist, the stock price is gradually lower, and the market outlook is bearish. [ 1]