The use of Bollinger Bands

cashback forex profit calculator B cashback forexs is an indicator that reveals the extent of short-term stock price volatility, its focus is on the analysis of stock price volatility forecast trend from the perspective of volatility, the basic trend of the stock price for cashbackforexprofitcalculator and forexcashbackprofitcalculator, the movement of the stock price is composed of a consolidation and a breakthrough of consolidation consolidation process, the stock price in a certain range of oscillation, at this time suitable for the method is high Each up and down shock is consuming the enthusiasm of the stockholders to chase up and down, consuming the energy of the shock, so, the process of consolidation, the stock price amplitude is always gradually decaying when the amplitude is so small that there is no room for profit when the high throw low suction, the game can not continue to play, at this time, someone will start to seek a breakthrough in the consolidation range, looking for new space to continue to play the game, so the brewing change, this so-called static pole Vivid breakthrough process, the stock price breakthrough of the original consolidation range, the launch of a rapid rise and fall unless the dealer highly locked chips, otherwise whether up or down, this rapid movement will make the participants unstable, resulting in a huge short term shock energy, to continue to rise and fall caused by resistance at the same time, this shock energy also need to make full use of, so, up or down a space, is bound to re-enter the consolidation, gradually Consumption of shock energy, stabilize peoples mindset, and then to re-brew the next breakthrough this so-called dynamic static So, from the perspective of consolidation, it can be said that each breakthrough is in the new consolidation to find space; from the breakthrough point of view, each consolidation is in a new round of breakthrough energy two mutual cause and effect, alternately, the stock market fluctuates forever From the point of view of consolidation and breakthrough, can be very natural (1) to determine the state of the market, decide to make a strategy When the upper and lower Bollinger distances began to contract, indicating that the stock movement into the consolidation state, suitable for high and low suction when the distance between the Bollinger line began to expand, indicating that the stock price shock intensified, may enter the breakthrough state, the need to follow the trend of consolidation and breakthrough of another sign is that, in the process of consolidation, the stock price is generally in the Bollinger line Two tracks between the process, and breakthrough, the stock price is generally in the Bollinger two tracks outside the line so, when the stock price from the Bollinger outside through the Bollinger within the line, said the end of the breakthrough market, will enter consolidation (2) the width between the upper and lower Bollinger line can be used as a change in the warning signal consolidation process, the distance between the Bollinger line gradually become smaller, when the distance between the Bollinger line is small to about 5%, indicating that the market shocks has been too small, short term speculation has no profit space, will change; if the Bollinger band width is still more than 10%, it indicates that there is still a large short term shock space, the possibility of a breakthrough is small, you can continue to sell high and low suction breakthrough process, when the Bollinger line width reaches more than 30%, indicating that there is a large short term shock space, the market may stop at any time to start a new round of consolidation (3) consolidation In the process of consolidation as the target level of high and low suction in the process of consolidation, the stock price most of the time in the middle between the two Bollinger Bands, sometimes beyond the middle of the Bollinger Bands, but generally will not exceed 1.7 times the Bollinger Bands so, when determining the strategy of high and low suction, the middle of the two Bollinger Bands as the target level of high and low suction, or slightly relaxed, but never expect to exceed 1.7 times the Bollinger Bands (4) capture the moment of breakthrough The moment the market breaks through consolidation to start a round of up and down, the stock price often has to go to 1.7 times the Bollinger Bands outside but also observe the strength of the breakthrough, a round of effective breakthrough should be a very rapid breakthrough 1.7 times the Bollinger Bands to reach a larger value, and can maintain two or three days, otherwise, if it is a slow breakthrough and soon back, it is invalid stock prices over 1.7 times the Bollinger Bands will not stay for a long time, generally will soon return to 1.7 times the Bollinger Bands because, the stock price in 1.7 times the Bollinger Bands outside the probability of no more than 5%, generally only in the moment of the breakthrough can occur in this case, will not run for a long time in 1.7 times the Bollinger Bands outside the stock price back to the Bollinger Bands between the two ways, pull back or stop waiting for the Bollinger Bands to catch up, which corresponds to the breakthrough after finishing or back to test the process of support pressure (5) judge the breakthrough market Breakthrough market, the stock price in the breakthrough consolidation range of a moment to break through the 1.7 times Bollinger Bands; breakthrough after the trend running stage, if the stock price in the Bollinger Bands and 1.7 times Bollinger Bands between, indicating a stronger trend; if the stock price around the original Bollinger Bands running, indicating a weaker trend (6) determine the robustness of the breakthrough market breakthrough after the continuous running stage, if the stock price again close to 1.7 times Bollinger Bands (7) as support pressure line optimization Bollinger five lines have support and pressure, especially the middle three more obvious middle one is the moving average, its support pressure role is obvious in addition can often observe the stock price in two Bollinger line support or encounter pressure