In the Technical Analysis system, the concept of the central axis occupies a core position. Below, we will analyze its basic characteristics through specific cases:

Downward Central Structure

When the analytical chart shows that the first move is downward, it takes at least three consecutive "up and down" movements to form a true pivot. Specifically, in this structure, we select the lower 5 points from the high point group (3 points and the 5 point ) as the central high; The higher 2 points are selected from the (2 and 4 points ) of the low group as the pivot low, thus determining that this is a pivot in a downward direction. It is important to note that the highs and lows of the pivot are determined entirely by the first three strokes that form the pivot, and this rule will not change even if more strokes appear later. In addition, there are some structures in the market that resemble hubs but do not conform to strict definitions, and these are called "quasi-hubs".

Upward Central Structure

Conversely, when the first pen of the chart shows an upward trend, a complete central zone requires at least three consecutive movements of "down-up-down". In this case, we take the lower of the two points from the high point group (2 and 4 points ) as the central high point; while from the low point group (3 points and 5 points ), we select the higher 5 points as the central low point, forming an upward central zone. Similarly, the key points of the central zone are still determined by the initial three movements, and structures that do not strictly conform to the defined similar structure are also classified as quasi-central zones.

Understanding the formation mechanism of the central hub is crucial for accurately grasping changes in market trends, as it provides a technical basis for predicting possible breakouts or pullbacks.