The Nigh Accurate Strategy Indicator

The Secret of the Most Accurate Indicator Settings (Bollinger Bands)

The almost accurate tendency indicator that is oftentimes used past times traders is the Bollinger band, what to a greater extent than if the indicator is combined alongside other indicators.But inward my sentiment all indicators are good, but it depends on us using it.

Indeed, to written report indicators nosotros must digest candlestick patterns.

Bollinger Bands indicator

What is the Bollinger Bands indicator ?

 Bollinger Bands is an indicator that is useful to aid mensurate marketplace volatility as well as jurist the hit of normal cost movements (range).

Explanation of Bollinger Bands Indicators 

Bollinger Bands consist of iii lines:

1.  Upper Bands Lines
2.  Middle Line Middle Line
3.  Lower Bands Line (Bottom Line)

Strategies for Using Bollinger Bands Indicators

1. Bounce Trading Strategy

This uncomplicated strategy utilizes Upper Bands Lines as well as Lower Bands Lines every bit back upward as well as dynamic support.

• Upper Bands every bit dynamic resistance
• Lower Bands every bit dynamic support
• Middle acts every bit a target 

 Price movements volition tend to bounce dorsum to the middle (middle) later the cost reaches the upper business (Upper) or the lower business (lower)

 

•  This drive blueprint that nosotros volition purpose to accept a trading position. The way is nosotros volition accept entry
•  CALL / UP, When the Red candlestick reaches the bottom business (Lower), aspect for the confirmation of the Green candle
   PUTT / DOWN, when the Green Candlestick reaches the upper line, aspect for confirmation of the appearance of a Red candle 

Open position

a note:
This bounce technique strategy is effective if it is used when the marketplace is moving stable / sideway.

2. Breakout Trading Strategy

With bollinger bands, nosotros tin discovery out opportunities for breakout.

 Bollinger bands tend to narrow if the marketplace is quiet, which way marketplace participants are non certain where they volition survive taken.The Seller as well as The Buyer are merely every bit strong, eventually the cost moves inside a narrow distance. The drive of Bollinger bands likewise narrows.

  This is the 2nd that nosotros volition purpose to accept trading positions.

•  CALL / UP, if the upper ring business is broken past times the price

•  PUTT / DOWN, if the Lower ring business is broken past times the price

 Keep inward heed Bollinger bands indicators are non indicators that are 100% ever right, as well as thus to minimize errors would survive amend if combined alongside other indicators.