I learnt a lot from YouTube videos. To discuss this, I will point out my new ideas. What do you think?
– what do you think is the best way to recognize RANGED and BREAKOUT?
confirm with 5 indicators: overbought/oversold MFI, macd, rsi, %b and bandwidth
confirm trend/breakout with bar technique: if candles are creeping on the outerband
– what other indicators complement the Bollinger Band?
MA rainbow to follow the trend. Use slow_MAs for risk.
– what is in your experience the best timeframe for Bollinger Band?
M5 with H1 or H1 with H4.
– what do you confirm before entry?
Trend, breakout and range.
– what conditions do you think should be met in the higher timeframe (before entry)?
Both in same direction, because you should trade in the direction of the main trend
Both timeframes on upper or lowerband is stronger signal.
– what Price Action do you think is best with Bollinger Band? (HnS, M, doji, other)
HnS not so much
M is recommended, especially third leg.
doji is unrecommended. Because market doesn’t listen to doji like it used to.
– what conditions (if/else) for our Bollinger Band strategy do you think could be helpful?
if price close (instead of: hit), then trade
if squeeze, wait for confirmation breakout
– what are the differences between volatile penetrations of the outer bands, common trend and correction penetrations?
correction penetration aka small retracement/reversal usually doesn’t close above outerband.
common trend: candles usually close above outerband, candles walk along upperband
penetration of outer bands: ?
I still don’t know how to deal with this? how to deal with fake breakouts? how to deal with short-walking upwards?
Do you or anyone have tips for my questions?
As the starter of this thread I expect many comments/ideas from you traders in here. I am looking for tips that help us trade better with Bollinger Band. Any tips are welcome.