Trading Maximum Profit with Forex Bollinger Bands Traders Dynamic Index Trading System

Forex Trading for Maximum Profit – Below this (Forex Traders Dynamic Index System), you will see the Forex Freedom Bar, which is a showing strength in 4 time frames you can adjust. Naturally…. Up = Blue, Down = Red. It display’s the reverse of the values in the properties display. (in other words…. From top to bottom, if you put in 60, 30, 15, 5; then it displays 5, 15, 30, 60). Its pretty easy to observe.

Bollinger Bands® are a great trading tool because they provide a lot of information in one indicator. Basically, the Bollinger Bands can help you with the three following things:

  1. Measuring volatility
  2. Identifying bottoms and tops
  3. Signaling the strength of a trend

Bollinger Bands are a great tool because they can do a variety of different things at the same time. The reason for that is because they are very close to the actual price, they consist of different things (a moving average and a standard deviation measurement) and they can be combined with different indicators easily. We can sum up the most important aspects of Bollinger Bands as follow:

  1. Bollinger Bands are based on closing prices. Therefore, candle-wicks are not as important as candle bodies.
  2. A close outside the Bollinger Bands shows extreme price levels.
  3. A price closing outside the outer Bollinger Bands in a trend is signaling significant strength.
  4. Bollinger Bands can signal price-tops/bottoms that can signal possible reversals.


The Bottom Line
While every strategy has its drawbacks, Bollinger Bands® and/or Bollinger Bands Traders Dynamic Index have become one of the most useful and commonly used tools in spotlighting extreme short-term prices in a security. Buying when stock prices cross below the lower Bollinger Band® often helps traders take advantage of oversold conditions and profit when the stock price moves back up toward the center moving-average line.

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