BollingerBands

Did Bollinger Bands help you?

  • Yes

    Votes: 239 77.9%

  • No

    Votes: 68 22.1%
  • Total voters
    307
columbus

columbus

Well-Known Member
#1,091
#1,091
rmdsmile said:
Hi
i need Formula to calculate resistance and support levels for short call can u provide me...........
Click to expand...
Hi rmdsmile,

The calculation goes like this.
The central line represents SIMPLE average of last 20 candles.
Top line is +2D of above.Bottom line is -2d of above.
D=Deviation of last 20 candles.
Top line is a sort of resistance line and Bottom line is a sort of support line.
The parameter 20 is default parameter and can be changed.
 
columbus

columbus

Well-Known Member
#1,092
#1,092
BB(20,2) of nifty futures on time frame 4/6 min are presented below.

Case1.Choppy Market:
Go long when Red+Green candles pierce the bottom band
(Keep case.2 in mind also always) and wait for 15minutes for confirmation
after taking position, otherwise come out with stoploss.
Go short when Green+Red candles pierce the top band
(Keep case.2 in mind also always) and wait for 15minutes for confirmation
after taking position , otherwise come out with stoploss.

In case of Verital rise or Vertical fall ,the above rules may not work & have close
look at the central line and outer boundaries always.Perhaps this may qualify for
case.2. A close of candle outside the bands need not necessarily mean
termination of trend but it be continuation as well. Have patience to keep a watch
on those situations.

Case2.Trending Market:

If the candles are concentrated in Top band ONLY go Long.
If the candles are concentrated in Bottom band ONLY go Short.
Rules of Case.1 do not work here and keep Mid line as stoploss.
The Proximity of candles with respect to Outer boundaries indicates the
Strength. More strength means more closer to Outer boundaries.

Avoid trading when the Bollinger Band is Narrow and Horizontal.Check with
Nifty-Spot chart occasionally.

 
alroyraj

alroyraj

Well-Known Member
#1,095
#1,095
nac said:
Because both posts represents different dates. Earlier should be 17th June chart and the later should be 18th June Chart.

Why this confusion? :confused:
Click to expand...
Okay so down left corner is the date,got it now.Did not know in TT where it was.Thought the last 5 days chart was posted . ;-) Yup when u take some wrong calls this happens...
 
columbus

columbus

Well-Known Member
#1,097
#1,097
BB(20,2) of nifty futures and bank nifty, on time frame 4/6 min are presented below.

Case1.Choppy Market:
Go long when Red+Green candles pierce the bottom band
(Keep case.2 in mind also always) and wait for 15minutes for confirmation
after taking position, otherwise come out with stoploss.
Go short when Green+Red candles pierce the top band
(Keep case.2 in mind also always) and wait for 15minutes for confirmation
after taking position , otherwise come out with stoploss.

In case of Verital rise or Vertical fall ,the above rules may not work & have close
look at the central line and outer boundaries always.Perhaps this may qualify for
case.2. A close of candle outside the bands need not necessarily mean
termination of trend but it be continuation as well. Have patience to keep a watch
on those situations.

Case2.Trending Market:

If the candles are concentrated in Top band ONLY go Long.
If the candles are concentrated in Bottom band ONLY go Short.
Rules of Case.1 do not work here and keep Mid line as stoploss.
The Proximity of candles with respect to Outer boundaries indicates the
Strength. More strength means more closer to Outer boundaries.

Avoid trading when the Bollinger Band is Narrow and Horizontal.Check with
Nifty-Spot chart occasionally.



Bank nifty
 
columbus

columbus

Well-Known Member
#1,098
#1,098
BB(20,2) of nifty futures and bank nifty, on time frame 4/6 min are presented below.

Case1.Choppy Market:
Go long when Red+Green candles pierce the bottom band
(Keep case.2 in mind also always) and wait for 15minutes for confirmation
after taking position, otherwise come out with stoploss.
Go short when Green+Red candles pierce the top band
(Keep case.2 in mind also always) and wait for 15minutes for confirmation
after taking position , otherwise come out with stoploss.

In case of Verital rise or Vertical fall ,the above rules may not work & have close
look at the central line and outer boundaries always.Perhaps this may qualify for
case.2. A close of candle outside the bands need not necessarily mean
termination of trend but it be continuation as well. Have patience to keep a watch
on those situations.

Case2.Trending Market:

If the candles are concentrated in Top band ONLY go Long.
If the candles are concentrated in Bottom band ONLY go Short.
Rules of Case.1 do not work here and keep Mid line as stoploss.
The Proximity of candles with respect to Outer boundaries indicates the
Strength. More strength means more closer to Outer boundaries.

Avoid trading when the Bollinger Band is Narrow and Horizontal.Check with
Nifty-Spot chart occasionally.



............................BANK nifty...................................................

 
columbus

columbus

Well-Known Member
#1,099
#1,099
BB(20,2) of nifty futures and bank nifty, on time frame 4/6 min are presented below.

Case1.Choppy Market:
Go long when Red+Green candles pierce the bottom band
(Keep case.2 in mind also always) and wait for 15minutes for confirmation
after taking position, otherwise come out with stoploss.
Go short when Green+Red candles pierce the top band
(Keep case.2 in mind also always) and wait for 15minutes for confirmation
after taking position , otherwise come out with stoploss.

In case of Verital rise or Vertical fall ,the above rules may not work & have close
look at the central line and outer boundaries always.Perhaps this may qualify for
case.2. A close of candle outside the bands need not necessarily mean
termination of trend but it be continuation as well. Have patience to keep a watch
on those situations.

Case2.Trending Market:

If the candles are concentrated in Top band ONLY go Long.
If the candles are concentrated in Bottom band ONLY go Short.
Rules of Case.1 do not work here and keep Mid line as stoploss.
The Proximity of candles with respect to Outer boundaries indicates the
Strength. More strength means more closer to Outer boundaries.

Avoid trading when the Bollinger Band is Narrow and Horizontal.Check with
Nifty-Spot chart occasionally.



.........................................BANK NIFTY.....................................

 
columbus

columbus

Well-Known Member
#1,100
#1,100
BB(20,2) of nifty futures and bank nifty, on time frame 4/6 min are presented below.

Case1.Choppy Market:
Go long when Red+Green candles pierce the bottom band
(Keep case.2 in mind also always) and wait for 15minutes for confirmation
after taking position, otherwise come out with stoploss.
Go short when Green+Red candles pierce the top band
(Keep case.2 in mind also always) and wait for 15minutes for confirmation
after taking position , otherwise come out with stoploss.

In case of Verital rise or Vertical fall ,the above rules may not work & have close
look at the central line and outer boundaries always.Perhaps this may qualify for
case.2. A close of candle outside the bands need not necessarily mean
termination of trend but it be continuation as well. Have patience to keep a watch
on those situations.

Case2.Trending Market:

If the candles are concentrated in Top band ONLY go Long.
If the candles are concentrated in Bottom band ONLY go Short.
Rules of Case.1 do not work here and keep Mid line as stoploss.
The Proximity of candles with respect to Outer boundaries indicates the
Strength. More strength means more closer to Outer boundaries.

Avoid trading when the Bollinger Band is Narrow and Horizontal.Check with
Nifty-Spot chart occasionally.






........................................BANK NIFTY....................................

 
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