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Bollinger close

 

Bollinger close

I observed some strategies using Bollinger on apiaryfund. I got the idea perhaps it could be improved. So here's my method and I will try to make some eurusd calls using it. Use default BB settings, H1. 

Enter: Closes outside of bollinger band. Then, closes inside bollinger band.

optional T/P 1: bollinger mean line

optional T/P 2: line on other side of band is hit

Exit: pattern repeats on other side of line for new direction

S/L: A few pips (or 1 ATR) less than low before close into band (from identified entry).

The main difference here is I noticed trainers didn't advise to enter buy using close outside band then wait for close inside band, for entry pattern. At a glance, it appeared adding the rule of closing in the band to enter towards mean line or opposite band appeared to greatly improve prediction. Especially for hitting other side of band and use as pivot. Prefer wide band divergence (for good T/P:S/L rate) and no wicks on the closing outside and closing inside candles (for good S/L).

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Sat, 04/07/2018 - 3:19am
 
MWGachara

Thanks for sharing

I will definitely try it

Happy trading

 
SR1

Thanks Javaeurusd,
i've been trying bankers close with no success so far!
will definetly try out what you've said.

 
Rookie

@Java, I used to trade with Band and BBands, but had issues with both entries and exits. Kathy Lien wrote a good book on the subject available for a free PDF download.

I resolved that issue by learning to use the CCI. When using the plus/minus 100 line they very much reflect the Bands 2% lines and you can add the enter line if desired. The advantages the signal to trade or not is very clear without any decision conflict.

 
LKSL

@SR1

As additional protection, If it hit your S/L on one direction, don't retry on same direction (and currency) until it inverts to different direction. Better just leave it alone, because it will probably just run up (even if it prints new reversals for that same direction). That should help the win vs loss.

 
LKSL

@SR1

I was referring to general Bollinger Discussion, like this https://apiaryfund.com/calendar?event=28201#calendar-event

But I just read the 'bankers close' again, and yes my observation confirms it completely. You can even extend the T/P with the info I give here. But for sure just using it at 15:30 GMT/16:30 GMT increased the probability.

 
Reddotscott

I have been using the same strategy.

It seems to work better for me if the reversal comes at a point of previous S/R

 
gg99sites

Hi RNM,

I use BB all the time ( will be using this till I get more experience......)!!!!

Could you post a link to the book by Kathy Lien?

Will be really helpful.

Thanks.