The Bias index is an important index for analyzing stocks. Making good use of the Bias index can help us choose the right time to buy and sell and help us obtain higher returns. But what do you think of the Bias index? What are the skills of using the three lines of Bias indicators?
Bias, also known as deviation rate, is a technical indicator that reflects the deviation degree of stock prices from the moving average in the process of fluctuation. The theoretical basis is that no matter whether the stock price is above or below the moving average, as long as the deviation line is too far, it means that when the deviation rate is larger, the stock price is likely to approach the average. Based on this, calculate the percentage of stock price deviation from the average to judge the reference buying and selling signal.
The calculation formula of deviation rate is:
乖离率=(当日收盘价-N日内移动平均价)/N日内移动平均价×100%
The value of N is generally 6 days, 12 days and 24 days.