Regardless of how one defines trend, the Bollinger band "bands" setup is one of the most flexible tools to implement either strategy. For other traders, true trend must display a concerted evidence of directionality- that is, prices must make consecutive new highs or new lows for trend to be truly in place.
![advanced get bollinger band formula advanced get bollinger band formula](https://forextester.com/templates/pic/blog/bollinger_bands_indicator/bollinger-bands-indicator_8.png)
The swing high or low of the prior trend is the commencement of a move the other way and thus the birth of a new trend.
![advanced get bollinger band formula advanced get bollinger band formula](https://i0.wp.com/www.stockmaniacs.net/wp-content/uploads/2017/09/Bollinger-Band-Bounce-Trading.gif)
When does a trend start? For some traders a new trend begins when the old trend ends. TREND DETECTION/TREND EXHAUSTION WITH BOLLINGER BANDS The difference be tween professionals and amateurs is that professionals accept this reality while amateurs do not and are therefore doomed to be destroyed by it. In trading currencies, everybody is wrong sometimes. Just remember to stay true to the logic of whatever strategy you devise.
#Advanced get bollinger band formula free#
Feel free to experiment and modify any of these strategies to accommodate your tastes or preferences. Therefore I present these setups simply in the spirit of sharing. However, as always, I note that no two traders are alike nor will they trade alike. Some of these ideas I trade myself, while others have come from the fertile minds of friends and colleagues. In fact, this is the critical value of technical analysis-for it allows the trader to systematically apply his ideas to the market and objectively measure their success. Seat-of-the-pants, instinctive trading may work well for some traders, but ultimately it is extremely limiting. Why is method so important? Because it is the only way we can study, analyze, and improve our techniques.
#Advanced get bollinger band formula how to#
Regardless of the outcome, the purpose of this chapter is to show you how to use technical analysis to develop a methodical approach to trading the currency market.
![advanced get bollinger band formula advanced get bollinger band formula](https://assets.thetradingbible.com/guides/8/bollinger-bands-example.png)
Hopefully, however, these trading ideas will fail intelligently that is, either they will fail frequently but with small losses or they will fail with much larger (though not debilitating) losses but only occasionally. In fact, I can assure you that all of these setups will fail at one time or another. These are generalized setups and by no means are a holy grail to untold riches. What follows are several trading setups designed to exploit the value of technical indicators in currency trading. Only when we apply them to intelligent, logical trading strategies do they prove their worth and help us make money in the currency market. Technical analysis tools in and of themselves are useless.