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Monday, June 21, 2010
Bollinger Band Trading in Ranging Market!!!
In this kind of ranging market you can trade the yellow indicator or any oversold/overbought indicator to pick reversals. Such as a Bollinger Band, price jumps outside the band soon price wants to find its way back inside the band. Here i have posted a 15tic chart with a Bollinger Band i keep running with an audio alert. You see when you get a candle that has its body more than 1/2 to 2/3 outside of the band, the price wants to reverse for some pips. This technique is not new but is highly effective in a ranging or choppy market.
Set some Stop Loss rules for yourself and make some pips...
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