BollingerBands

[columbus]

BB(20,2) of nifty futures and bank nifty, on time frame 5 min are presented below.

Case1.Choppy Market:

Go long when Red+Green candles of comparable lengths 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.Please see that RSI
value is around 25-35 and you have sufficient time left for closure of market.

Go short when Green+Red candles of comparable lengths 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.Please see that RSI value is around
75-65 and you have sufficient time left for closure of market.

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.
The middle line turns into WHITE. Candles over White line.
If the candles are concentrated in Bottom band ONLY go Short.
The middle line turns into MAROON.Candles below Maroon line.
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, especially in the initial stages.

 

[columbus]

EOD=16.12.10 NIFTYchart of last 7 months

 

[TraderRavi]

Hi columbus, I am following this thread from last one year...have not traded NF much.....do you trade solely on bollinger bands.? how much points is daily average ?...I have traded nifty options with this method..but now trading in NF...lets see if I can gather 25 - 30 points per day with this method...

 

[columbus]

Hi columbus, I am following this thread from last one year...have not traded NF much
.....do you trade solely on bollinger bands.?
how much points is daily average ?...
I have traded nifty options with this method..
but now trading in NF...lets see if I can gather 25 - 30 points per day with this method...

Hi Ravi,

I solely trade based Bollinger Bands.Since BB will time to appear (20*TF),
in initial stages I depend on ema.In any case I trade after 945am generally.
(At 2min time frame BB will appear after 955am).What is your experience
with this method with Options?I use RSI &Stoch sometimes.
On average you can expect 25~30 points.My model trading look like similar
the way I mentioned 3 posts back.It is ideal one, but difficult to achieve
for variety of regions like GREED and FEAR.Last trading day I had 2 buy
positions at 5902, I exited one at 5944 and then at 5961.Eventually it
went to 5979.But everyday has a different story to tell.

All the BEST to you,trading in nifty futures with BB.

 

[TraderRavi]

Hi Ravi,

I solely trade based Bollinger Bands.Since BB will time to appear (20*TF),
in initial stages I depend on ema.In any case I trade after 945am generally.
(At 2min time frame BB will appear after 955am).What is your experience
with this method with Options?I use RSI &Stoch sometimes.
On average you can expect 25~30 points.

All the BEST to you,trading in nifty futures with BB.

Hi columbus,...actually I am fascinated by simplicity of this system...its best for NF I think...specially when the nifty trading in a range..because you can then scalp for a few points with BB...on trending day ..you just flow with the trend...while trading nifty options...I used nifty spot with BB .... mixed results...as options tend to swing on either side..they are not ideal to trade and SL is a problem too...but in NF you can put easily 15 points SL ...looking for a 15- 20 point trade...so 1:1 risk reward... I will share my results in NF....strictly intraday....how many are positive trades , how many negative etc....are their any more detailed patterns with BB, ?...like in some chart in this forum...someone pointed out about bullish signals when price goes downwards from upper band..then turned uppish without touching lower band etc....I checked bollinger's website but their is not much in their tutorial....

 

[columbus]

Hi columbus,...actually I am fascinated by simplicity of this system...its best for NF I think...specially when the nifty trading in a range..because you can then scalp for a few points with BB...on trending day ..you just flow with the trend...while trading nifty options...I used nifty spot with BB .... mixed results...as options tend to swing on either side..they are not ideal to trade and SL is a problem too...but in NF you can put easily 15 points SL ...looking for a 15- 20 point trade...so 1:1 risk reward... I will share my results in NF....strictly intraday....how many are positive trades , how many negative etc....are their any more detailed patterns with BB, ?...like in some chart in this forum...someone pointed out about bullish signals when price goes downwards from upper band..then turned uppish without touching lower band etc....I checked bollinger's website but their is not much in their tutorial....

Hi Ravi,
After going a lot of methods ,finally I chose BB for it's simplicity.
YES ,BB is good at scalpining on a choppy day rather than trending day.
That is why ,I choose to scalp, Pre-Europe and trade ,Post-Europe.
Basically this thread serves as a good database since 99% of charts
are preserved.

 

[columbus]

BB(20,2) of nifty futures and bank nifty, on time frame 5 min are presented below.

Case1.Choppy Market:

Go long when Red+Green candles of comparable lengths 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.Please see that RSI
value is around 25-35 and you have sufficient time left for closure of market.

Go short when Green+Red candles of comparable lengths 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.Please see that RSI value is around
75-65 and you have sufficient time left for closure of market.

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.
The middle line turns into WHITE. Candles over White line.
If the candles are concentrated in Bottom band ONLY go Short.
The middle line turns into MAROON.Candles below Maroon line.
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, especially in the initial stages.

 

[columbus]

BB(20,2) of nifty futures and bank nifty, on time frame 5 min are presented below.

Case1.Choppy Market:

Go long when Red+Green candles of comparable lengths 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.Please see that RSI
value is around 25-35 and you have sufficient time left for closure of market.

Go short when Green+Red candles of comparable lengths 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.Please see that RSI value is around
75-65 and you have sufficient time left for closure of market.

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.
The middle line turns into WHITE. Candles over White line.
If the candles are concentrated in Bottom band ONLY go Short.
The middle line turns into MAROON.Candles below Maroon line.
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, especially in the initial stages.

Nifty was highly range-bound within a range of 25 points after 10am.
Gained smartly before that.

 

[columbus]

BB(20,2) of nifty futures and bank nifty, on time frame 5 min are presented below.

Case1.Choppy Market:

Go long when Red+Green candles of comparable lengths 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.Please see that RSI
value is around 25-35 and you have sufficient time left for closure of market.

Go short when Green+Red candles of comparable lengths 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.Please see that RSI value is around
75-65 and you have sufficient time left for closure of market.

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. Candles over Midline.
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, especially in the initial stages.

EMAs are more sensitive than SMAs.Hence EMA20 line (WHITE in case bullish conditions, MAROON in case bearish conditions) with respect to SMA20 (blueline) is introduced.

This feature is more pronounced on trending day than choppy day and
in initial stages than final stages.

 

[columbus]

BB(20,2) of nifty futures and bank nifty, on time frame 5 min are presented below.

Case1.Choppy Market:

Go long when Red+Green candles of comparable lengths 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.Please see that RSI
value is around 25-35 and you have sufficient time left for closure of market.

Go short when Green+Red candles of comparable lengths 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.Please see that RSI value is around
75-65 and you have sufficient time left for closure of market.

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. Candles over Midline.
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, especially in the initial stages.
EMAs are more sensitive than SMAs.Hence EMA20 line (WHITE in case bullish conditions,
MAROON in case bearish conditions) with respect to SMA20 (blueline) is introduced.