What does float profit mean?

2023-05-29
Summary:

Floating profit usually occurs when holding certain assets or securities. When the market price rises, the holder can obtain floating profit; When the market price falls, floating losses will occur. This return will only become realized when the investment or transaction is liquidated.

Floating profit: Floating profit refers to the average holding cost of all traders over a period of several days, which is used to analyze market phenomena such as oversold, short-term adjustment demand, and the strength of the stock itself. The distance between the current stock price and the 8-day cost average is called "Floating Profit-8", and the distance between the current stock price and the 21-day cost average is called "Floating Profit-21", and so on.

[Floating Profit 8]: The manifestation is the displacement between the K-line and the 8-day cost average. The K-line is above the 8-day cost average and is a positive value. Farther the distance, the greater the positive value, and vice versa; The K-line is below the 8-day cost average and is negative. Farther the distance, the greater the negative value, and vice versa.


[Floating Profit 21]: The manifestation is the displacement between the K-line and the 21-day cost average. The K-line is above the 21st day cost average and is a positive value. The farther away the distance, the greater the positive value, and vice versa; The K-line is a negative value below the 21-day cost average, and Farther the distance, the greater the negative value, and vice versa.


[Floating Profit 60]: The manifestation is the displacement between the K-line and the 60-day cost average. The K-line is above the 60-day cost average and is a positive value. Farther the distance, the greater the positive value, and vice versa; The K-line is below the 60-day cost average and is negative. Farther the distance, the greater the negative value, and vice versa.


[Floating Profit ∞]: The manifestation is the displacement between the K-line and the moving average of all costs. The K line is above the average cost line and is a positive value. The farther away the distance, the greater the positive value, and vice versa; The K line is below the average cost line and is a negative value. Farther the distance, the greater the negative value, and vice versa.

Gold Trading - Differences between Spots and Futures

Gold Trading - Differences between Spots and Futures

Spot gold: Instant delivery, investors buy and store physical gold. Futures: Contracts for future delivery with leverage and higher risks.

2023-09-28
Making Money with Stocks' Key Points

Making Money with Stocks' Key Points

The potential and risk of stock investment coexist, and the stock market is influenced by multiple factors, including economy, performance, politics, etc.

2023-09-28
Analyzing Key US Non-Farm Employment Indicators

Analyzing Key US Non-Farm Employment Indicators

US non-farm employment data includes key metrics: job changes, unemployment rate, labor participation, wage trends, long-term unemployment.

2023-09-28