SIGNAL MASTER
Bitmaster Signal is an AI consensus algorithm that selects the 6 most reasonable and immediate indicators among many indicators, changes the conditional values of those indicators in Bitmaster's own
The indicators included in the consensus algorithm are MACD, RSI, Stochastic RSI, Candle, SMA, and Volume.
MACD (Moving Average Convergence And Divergence)
This is an indicator that shows the convergence and divergence of the short-term and long-term moving averages of stock prices. It is an indicator that finds the point in time when the difference between the two moving averages is the greatest and uses it as a signal of a change in trend based on the principle that the short-term and long-term moving averages converge and diverge due to stock price fluctuations. MACD is largely composed of the MACD line and the signal line. The MACD line is obtained by the difference between the short-term exponential moving average and the long-term exponential moving average, and 12 days are generally used for the short-term moving average line and 26 days for the long-term moving average line. If the short-term exponential moving average is located above the long-term exponential moving average, the MACD line becomes positive and this is considered a signal that the stock price is rising. Conversely, if the short-term exponential moving average is located below the long-term exponential moving average, the MACD line becomes negative and this is considered a signal that the stock price is falling.
The signal line is defined as the MACD index moving average for a certain period of time, and the 9-day exponential moving average of the MACD is generally used. That is, the 12-day exponential moving average and the 26-day exponential moving average are calculated, and then the difference between them is calculated as the 9-day exponential moving average. The point at which the MACD line and the signal line intersect is considered to be the point where the difference between the short-term moving average and the long-term moving average is the greatest. Therefore, when the MACD line goes above the signal line, it means that the MACD has been formed higher than the 9-day average, so it is interpreted as a buy signal, and conversely, when the MACD line goes below the signal line, it means that the MACD has been formed lower than the 9-day average, so it is interpreted as a sell signal.
MACD is evaluated as a useful indicator for analyzing the direction of the trend and the movement of stock prices rather than predicting the timing of a trend reversal.
It is a useful indicator developed by Welles Wilder to predict when the stock price trend will change by expressing the strength of the current trend as a percentage. RSI analyzes the extent of the market price increase among the market price fluctuations, and if the stock price is in an uptrend, it expresses how strong the uptrend is as a percentage, and if it is in a downtrend, how strong the downtrend is.
Stochastic RSI is an indicator used in technical analysis, and is a tool to determine whether an asset is overbought or oversold and to identify the current market trend. Stochastic RSI is based on the Relative Strength Index (RSI) and is considered a derivative indicator of RSI.
A stock chart consisting of bar-shaped bars that express stock price movements over a certain period of time. It is also called a candle chart because the shape of the bars looks like candles. It was first used for the purpose of price trading in the rice market in Japan in the 1600s. After it was established as a systematic trading technique called the Yin-Yang Line Chart by a Japanese person named Munehisa Honma in the mid-1700s, it became known in the American market in the late 1970s and began to be studied under the name of a candle chart.
A line created by sequentially connecting stock price moving averages, which are the arithmetic averages of stock prices over a certain period of time. In the stock market, stock prices, trading volume, and trading value change every day, but when viewed over a certain period of time, they have a certain direction. The moving average line is a numerical representation of this, and there are long-term (120 days), medium-term (60 days), and short-term (5, 20 days) moving average lines. The stock price moving average is a line created by connecting the stock price moving averages, which are the arithmetic averages of stock prices over a certain period of time, and is an indicator of the average stock price. The stock price moving average is calculated daily. For example, to calculate the '5-day moving average' for a certain day, add up the stock prices (based on the closing price) for the last 5 days including that day and divide by 5.
The '5-day stock price moving average' is the line that connects the daily values in this way. The stock price moving average is a representative technical indicator of the stock market used to judge the overall stock price flow of the market at that point in time and to forecast future stock price trends. As the moving averages are drawn, they intersect. The short-term line goes up or down through the long-term line. Since the average lines meet like an intersection, it is called a cross, and a golden cross or dead cross appears.
It refers to the amount of stocks traded in the stock market. Along with the stock price index, it is an important indicator for judging the stock market trend, and is accepted as a signal that causes stock price fluctuations. In other words, when the trading volume in the stock market increases, a rise in the stock price is expected, and when it decreases, a fall is predicted.
It is also used as a standard to accurately understand the distribution level of the stock market over a long period of time. Here, there is the listed stock turnover rate and the market capitalization turnover rate. The listed stock turnover rate is calculated by dividing the trading volume by the average number of listed stocks during the relevant period, and the market capitalization turnover rate is calculated by dividing the trading amount by the average market capitalization during the relevant period.
It also refers to the number of futures contracts traded within a specific period in the futures market. It is expressed by only one of the selling and buying quantities of futures contracts, and transactions at this time occur due to differences of opinion among investors. In other words, buyers think the price is cheap, while sellers think it is expensive, and transactions are made. This means that when new information comes in, they interpret that information differently.
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