What does it mean to hang yellow and red cloth at the door of fortune telling?

What does it mean to hang a red cloth on the door frame at home?

Hanging red cloth is generally expressed in the following ways according to local customs:

1, red cloth to ward off evil spirits, it is said that Nian beast and ghosts and evil things are afraid of red, so hang red cloth to prevent evil spirits from coming in;

2, red cloth is auspicious, red five elements belong to fire, hanging red cloth brings wind and fire to make money;

3, red cloth is festive, there is a new life at home, and hanging red indicates a happy event at home.