Larry Connors – The Bollinger Bands Swing Trading System 2004
Welcome to the Bollinger Bands Swing Trading System
technique information. In the pagesto come, you’ll learn the way this technique works and how one can apply it instantly toyour personal buying and selling. Plus, additionally, you will be taught the system’s extra aggressive model, the Plus One system.
What Is The Bollinger Bands Swing Trading System?
The Bollinger Bands Swing Trading System (BB %b) finds reversals that happen when amarket will get overbought or oversold relative to that market’s latest volatility. Volatilitysimply refers back to the vary of motion in a market. A inventory that sometimes has 7-pointswings inside 10 days is extra risky than a inventory that solely has 2-point swings in 10 days.The approach that the BB differs from different techniques is that it takes under consideration the actual fact thatthe quantity of volatility in a market is consistently altering. Therefore the circumstances thatproduce reversals additionally change. For instance a 5-point drop would possibly get inventory XYZ oversoldenough to provide a reversal. But which may not be true 10 days from now if the extent of volatility in XYZ will increase. That being the case, reversals could be finest anticipated when amarket will get overbought or oversold relative to a market’s latest habits.