-
How To Trade Bollinger Bands
Traders and investors use Bollinger bands to assess the expected price action in the financial markets. Bollinger Bands are a viral technical trading tool plotted at a standard deviation above and below a simple moving average of the price. It is considered the most reliable and useful trading tool since it has the best predictability in determining if the stock is oversold or overbought. I don't say this lightly, using Bollinger Bands effectively is a must to be a professional technical trader. Famous financial analyst John Bollinger developed Bollinger Bands in the early 1980s and trademarked this term in 2011. ... (full story)