The main indicator of the Bollinger Band was written by Mr. John Bollinger in the 1980s, and in 2011 he registered all its rights in his name. This Bollinger Band Stop Indicator, developed from the idea of price movement in the bands, can be used to measure the price of its specific bands and related indicators, whether the price is floor or ceiling.
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The bowling alley consists of the following:
- A Moving Average with its own period
- A high bandwidth that is actually a standard deviation greater than our moving average.
- A low bandwidth that is actually a standard deviation less than our moving average.
The indicator described in this section is a modified version of the Bollinger Bands and is designed and written solely for the use of its signals.
How to use the Bollinger Band Stop indicator
Using this indicator is very simple.
When the red dots turn green, this is an uptrend and the price goes up.
When the green dots turn red, this is a bearish signal and the price goes down.
** Under no circumstances is it recommended to start trading with just one indicator. Indicators are aids, use them alongside your tested trading strategy and method. **
This indicator can be used to stop trailing and risk free trading in profits.
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