I've followed your previous threads for a bit and have also looked at your BB on steroids. It seems to be though that you're just using classic BB methodology. White trades being Bollinger Bounces, and Blue trades being Bollinger Breakouts. In my example, I'm using two indicators that Bollinger himself developed. One if them is the Bollinger %B, and the other is Bollinger Bandwidth.
Bollinger bandwidth measures volatility based on the width of the upper and lower bands as you may have guessed. It is thought that the bands contract during periods of low volatility.
%B is an overbought/oversold indicator where the close is plotted as a percentage against the bands. This can be used to help indicate a bounce or breakout situation.
Now for the explaination of the hollow arrows not on the main chart.
GREEN:
1st: Taken long because it goes back into the channel.
2nd: No blue trade here because of positive slope of bandwidth
3rd: White trade. Might have lost depending on your MM.
4th: White trade.
5th-7th: No trade, positive bandwidth slope.
8th: Blue Trade. negative bandwidth slope.
RED:
1st: White trade. previous breakout failed. positive slope
2nd: Blue Trade, -slope
3rd: no trade
4th-6th: White trade, again... MM
Note: the red vertical lines indicate where you should look. At the second red arrow, and the last green arrow, the slope taken into consideration is from the point of breakout, to the last drastic change in the curve.
I wrote this in haste, so forgive me for some errors it may contain.
http://img144.imageshack.us/img144/2...pr07oy7.th.gif
*it seems that FF might have disabled uploading...
*the arrows in main chart are engulfing candlestick patterns.
*Gray arrows are fractals. I use those points in drawing trendlines or fibos
Bollinger bandwidth measures volatility based on the width of the upper and lower bands as you may have guessed. It is thought that the bands contract during periods of low volatility.
%B is an overbought/oversold indicator where the close is plotted as a percentage against the bands. This can be used to help indicate a bounce or breakout situation.
Now for the explaination of the hollow arrows not on the main chart.
GREEN:
1st: Taken long because it goes back into the channel.
2nd: No blue trade here because of positive slope of bandwidth
3rd: White trade. Might have lost depending on your MM.
4th: White trade.
5th-7th: No trade, positive bandwidth slope.
8th: Blue Trade. negative bandwidth slope.
RED:
1st: White trade. previous breakout failed. positive slope
2nd: Blue Trade, -slope
3rd: no trade
4th-6th: White trade, again... MM
Note: the red vertical lines indicate where you should look. At the second red arrow, and the last green arrow, the slope taken into consideration is from the point of breakout, to the last drastic change in the curve.
I wrote this in haste, so forgive me for some errors it may contain.
http://img144.imageshack.us/img144/2...pr07oy7.th.gif
*it seems that FF might have disabled uploading...
*the arrows in main chart are engulfing candlestick patterns.
*Gray arrows are fractals. I use those points in drawing trendlines or fibos