Learn to pounce on the opportunity that arises when other traders run and hide. New articles are posted as they are received from the authors. Note that subscription solicitations may appear inside these articles. When the markets become more volatile, the bands widen and they contract during less volatile periods. Just like in case of the Envelopes , the interpretation of the Bollinger Bands is based on the fact that the prices tend to remain in between the top and the bottom line of the bands. Know when there's a new article! Then once you identify a setup that you want to trade, just click on the symbol to open up the relevant chart, so you can analyze the setup further.
The CCT Bollinger Band Oscillator (CCTBO), developed by Steve Karnish of Cedar Creek Trading, reconfigures John Bollinger's classic Bollinger Bands (envelopes plotted at two Standard Deviations above and below a moving average) by drawing two parallel lines replacing the envelopes. The parallel lines represent a measurement of two Standard .
All opinions expressed in these articles are solely the opinion of the article's author, not that of StockCharts. The materials in these articles are the property of the article's author and may not be reposted without the author's explicit permission. Subscribe to Top Advisors Corner to be notified whenever a new post is added to this blog! The contents of Top Advisors Corner articles are the property of the authors and may not be reproduced or re-broadcast in any fashion without their explicit written permission.
Share your opinion if you have tried this combo of the indicators before and what were the results. Forex Tester is a software that simulates trading in the Forex market, so you can learn how to trade profitably, create, test and refine your strategy for manual and automatic trading. Software to copy trades between MT4 accounts. We'll help you become intelligent Money Managers and gain you entry into the elite group that actually makes money trading Forex. Software that opens trades in a fraction of a second with a built-in risk management calculator.
Compatible with Forex Tester and MT4. Bollinger Bands and Awesome Oscillator trading strategy: As well as the Bollinger Bands, there are 3 different options to trade the Awesome Oscillator, but for this particular strategy we use the next way to trade it: Bollinger Bands 20;2 , Awesome Oscillator. The price breaks the Middle Bollinger Band and the Bullish candlestick closes above it. The slopes of the Awesome Oscillator cross the zero level up and turn green.
On the candlestick where these two conditions are met, you open the Long trade. The price breaks the Middle Bollinger Band and the Bearish candlestick closes below it. The slopes of the Awesome Oscillator cross the zero level down and are red. On the candlestick where these two conditions are met, you open the Short trade The same as stated above, wait for the red bar to appear below the zero and enter the trade in the case if the price is still under the zero level.
Conclusions Unfortunately, within the given setting, timeframe and the listed above rules the strategy turn out to be a disappointment. As you can see, the main idea of our backtesting experiment was to show that: Further Adjustments for Better Results What particularly can be a matter of the additional change and backtesting?
Refer to the section where the indicators are described — as there are various ways to read the signals, you can pick another way if you think it can be more precise; Again - custom settings of the indicators can reveal better sides of the trading system — we have use the default ones. Stop loss and take profit — we have tried the preset number of the Stop Loss and Take Profit, but check how to adjust them manually as we have mentioned above. Timeframe and the currency pair — try this strategy for scalping or the daytrading; Check how these indicators can perform alone or in combination with other ones.
Maybe you know the third one that can add up to these two. Try It Yourself As you can see, backtesting is quite simple activity in case if you have the right backtesting tools. Have you ever try the Bollinger Bands indicator with the custom settings? What do you think about this strategy in general? Does it sound promising to try?
Download Free Forex Kaufman Buy Sell Line Indicator!
Strategy CCT Bollinger Band Oscillator — trading strategy by Fadior (). TradingView — best trading algos and expert opinions on a financial platform! Bollinger Bands plot three bands on a price chart to create two price channels. The security is said to be overbought if the price line is consistently near or breaches the upper price band. It may be oversold if the price line is consistently near or drops below the lower price band. The stochastic oscillator is plotted below the price chart and is made . The CCT Bollinger Band Oscillator is used to identify "discrepancies" and "failure fluctuations" which often result in great reversals. You can use the bands simultaneously with such indicators as MACD histogram, CCI, Rate of Change and RSI.