Research On New Rules Of Stock Trading Based On Moving Average And Its Effectiveness In China 's Stock Market

With China’s rapid growth of economic aggregate and income, people have heightened their investment mentality. At the same time the development and maturity of our capital market give the investors a large investment platform. Recently more and more people have joined the capital market. Every day in the changing security market, each investor faces three alternatives (buy, sell, and hold) which will influence their total asset. In order to make good decision, many analytic methods were invented, which become an important part of the capital market.Among all kind of methods, technical analysis is a utility tool to make investment decision. Since it was emerged, many theories and indices have been proposed. They bring a great amount of information as well as contradictions, which makes the common investors have no idea about their effect.In view of the trouble mentioned above, the article start research from the basic technical theory-the moving average. By means of refinement the moving average, the article introduced the15minute transaction data for the tendency estimate of the stock and established a new kind of trade rule.Later, the article took the domestic stock index and some stocks as examples, and used the empirical testing to validate the effeteness of the traditional trade rule and the new rule.At last the article promoted the new trade rule to the area of foreign exchange, and use empirical testing to validate its effeteness...