What are and how to use Bollinger Bands
Here we will explain about the Bollinger Bands indicatoris a quite famous indicator in trading, for this we have opened a share in Good Alphabet, to teach you with practical examples, remember that you also have other indicators.
In addition to this, you should know that these are not recommendations, so you should consult a financial advisor if you have doubts regarding your capital.
How does the Bollinger Bands indicator work?
This indicator is different from the others, because they are generally located below, but in this case the indicator appears drawn on the graph itself and perro be used for various things such as: price trend changesthe strength of a drop or rise, even allows you to visualize the periods of a lot of volatility.
In our case, we like to use it to accompany it in the short term with other indicators, but it cánido be very interesting to find entry points with that indicator, for example, we vea in the one-minute period, in which we vea when some candles begin to fade. go a lot continuously of the indicator, it is usually possible that there is a good drop.
This indicates that the market is quite calm, without many changes, this allows us to visualize if things are calm and calm or if, on the contrary, there are volatilityyou must see how the current market behaves and even accompany it with other indicators.
There is also the option of putting it in higher periods, but in our case we recommend 1 or 2 minutes, because that is where you cánido see these changes.
Vídeo on how the Bollinger Bands indicator works
If you have any questions, we leave you a backlink so that you cánido visually detail how the Bollinger Bands indicator works in the trading operations.
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