RU/EN

Bollinger Line

strategy Lines Bollinger - Stochastics - RSI

strategy Lines Bollinger - Stochastics - RSI
Lines Bollinger, also known as trade lines - this is the line that reflect the current deviation from the moving average. Traders are usually more interested in bar'y, or candles, held by the indicator lines.

Volatility can be measured by a fixed percentage deviation from the moving average (Envelope) or floating interest rate deviations from the moving average based on the volatility (Bollinger Bands). This varying rate of deviation and reflects the changing market conditions for certain actions.

Line Bollinger, Stochastics, RSI

As shown in the chart above, the Bollinger Bands expand at a time when trade takes place in a large price changes in stocks (during the high volatility), and taper or converge when the stock price changes are insignificant (the period of low volatility) . Thus, the line of the Bollinger are indicators of motion, reflecting the standard deviation of a particular moving average.Prosche fact, many traders are attempting to use Bollinger Bands to receive signals to buy or sell. They argue that if the price bar crosses or touches the line, it's time to buy or sell. In fact, all that they can provide the line Bollinger - it's about whether the current price of high or low compared to moving average.

determined as the current stock price is related to the moving average and its behavior at this point, you as a trader are in a better position to make decisions about buying or selling shares.

When you're trying to explore methods of building (of) line of Bollinger, there are some common issues that can not be left without an answer:

  1. Where is the current share price compared with some for her moving average?
  2. How far or how large a deviation from the current stock price is defined for her moving average?
  3. As far as current activity
  4. action is essential to take into account the deviation under consideration?
  5. increas whether a decrease, remain unchanged if within the established trading range and volume of activity?
  6. Although these are typical thoughts that come to mind a trader or investor, respond to these and other questions are very difficult, if only rely on Bollinger Bands. Only the most experienced traders can try to answer these questions, and even while they use all available information resources for them.

Use this strategy at your own risk. Forex-Utility.com not responsible for any damages that may result to you when using any strategy, presented on the site. It is not recommended to use this strategy on a live account, without testing it to start a demo account.

< | | >> NEXT>>

Use the contents of the site at your own risk | Satisfaction of machine translation