How to Use Bollinger Bands Indicators !!!

Secret Techniques for Setting the Best and Most Accurate Bollinger Bands Indicators
Trading strategies use the most accurate indicators and precise tricks for binary or forex trading on the iq option, one of which uses the Bollinger Bands indicator.

The most accurate trend indicator that is often used by traders is Bollinger bands, and it will be even better if combined with other indicators.

Basically, all indicators are good, depending on the traders who use them, so choose and use indicators that suit your trading style.

Indeed, to study indicators is easier than to digest candlestick patterns. The most accurate iq option indicator.

How to Use Bollinger Bands Indicators

I think all the traders who visit www.iqbisnis.com must understand how to use it. Bollinger Bands are a useful indicator to help measure market volatility and estimate the range of normal price movements (range).

When price movements exceed normal limits, that's where we use to take trading positions.

but for those who haven't, here's how:

1. Click the Indicator List, then select Bollinger Bands

2. Select the advanced settings, then click Use

3.Like this appearance of the Bollinger Bands indicator

Explanation of Bollinger Bands Indicators

Bollinger Bands consist of 3 lines:

1. Upper Bands

2. Middle Line

3. Lower Bands (Bottom Line)

The Middle line (base line) on its base is the line of the Moving Average indicator with a period of 20. Functioning as a basis for calculations for Upper bands and Lower Bands.

The distance between Upper Bands and Lower Bands is influenced by the volatility that is happening.


Bollinger Bands help traders to analyze whether the market is crowded or quiet based on the volatility that appears on the indicator.

Psychology:

• When Bollinger Bands Narrow (the distance of Upper and Lower narrows) means the market is quiet

• When Bollinger Bands widen (the distance between Upper and Lower) it means the market is busy

1. Bounce Trading Strategy

This simple strategy utilizes Upper Bands Lines and Lower Bands Lines as resistance support and dynamic support.

• Upper Bands as dynamic resistance

• Lower Bands as dynamic support

• Middle acts as a target

Price movements will tend to bounce back to the middle (middle) after prices reach the upper line (Upper) or the lower line (lower).

This movement pattern that we will use to take a trading position. The way is we will take entry

• CALL / UP, When the Red candlestick reaches the bottom line (Lower), wait for the confirmation of the Green candle

• PUTT / DOWN, when the Green Candlestick reaches the upper line, wait for confirmation of the appearance of the Red candle

note;

This bounce technique strategy is effective if it is used when the market is moving stable / sideway (note the distance between the Upper and Lower lines, if there is no sudden spike it means sideways).

2. Breakout Trading Strategy

With bollinger bands, we can find out the breakout opportunities. As I explained above.

Bollinger bands tend to narrow if the market is quiet, which means market participants are not sure where they will be taken.

The Seller and The Buyer are just as strong, eventually the price moves within a narrow distance. The movement of Bollinger bands also narrows.

The breakout that will occur is marked by the movement of Bollinger bands (Upper and lower) widen / suddenly widening and the price penetrates the Upper or Lower line.

Now this is the moment that we will use to take a trading position. The entry signals are:

CALL / UP, if the upper band line is broken by the price

PUTT / DOWN, if the Lower band line is broken by the price

Although simple, Bollinger bands are very useful indicators. Experience and hours of use using this indicator are also very important.

Keep in mind Bollinger bands indicators are not indicators that are 100% always right, so to minimize errors would be better if combined with other indicators.

3. Strategy Combination of Bollinger Bands Indicators

Installing lots of indicators if we can use them all is indeed good, but sometimes if too much results in difficulty concentrating.

For that, attach indicators as needed, in this strategy I will combine the Bollinger bands indicator with indicators: Fractal, Parabolic SAR, and Stochoastic Oscillator.

The entry signal is: when all the indicators we install show the same entry signal.

Previously we must know each signal entry on the indicator that we will use.

Fractal Indicator

Signal entry:

CALL / UP, if an arrow appears below the Candlestick

PUTT / DOWN, if an arrow appears above the Candlestick

Parabolic SAR indicator

Signal entry:

CALL / UP, if a parabolic point appears below the Candlestick

PUTT / DOWN, if a parabolic point appears above the Candlestick

Stochoastic Oscillator indicator

An easy way to read the stochoastic indicator is to pay attention to the Period K line (Blue). Accurate stochostic settings

Signal Entry:

CALL / UP, If the blue line is above the other line and penetrates the 20% line

PUTT / DOWN, if the blue line is below the other line and crosses the 80% line

Now if you already know the signal entry of each indicator, it's time to combine them

Take a trading position when all indicators show the same signal.

That's the forex or binary trading strategy using the most accurate indicators. It can be used as a surefire trick by traders accompanied by serious practice.

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