Bollinger Band Daily System

I can see the pics and i don't know if you can.If you can't see the pics than please download the attached word file.It has all the imformations in it.Anyhow,sorry for this.

Updata:As i only look at chart 1 time 1 day(at the open of a new day of my broker) and i just have the SL in my mind(Never set it for my broker often hunts for SL),the stop lose will work only when the close price is inside of it.

I have learned a lot here so i determinde to feed back.(Sorry for my poor english.)
1:I will show u an easy but powerful system using bollinger band(20,0,2,close) only.
As you can see,it's eurusd daily chart with a bollinger band.
http://www.forexfactory.com/attachme...1&d=1336841124

Basicly we open position when price action touch the under or upper line of BB and go back,we set SL a few pips below the lowest or a few pips above the highest,than if we luckily make some pips then we put our new SL to the BE + a few pips. we close our position when the price action touch the opposite upper or under line.

2:I will show u what i mean by some chart.
TRADE 1
http://www.forexfactory.com/attachme...1&d=1336841708

TRADE2：
http://www.forexfactory.com/attachme...1&d=1336841708

TRADE3：
http://www.forexfactory.com/attachme...1&d=1336841770
3:Now let me tell u the details.
1A touch the upper or the under line of BB.
2A go back at once(for this case,PA should go back a lot,it depends on experience) OR PA go back next bar（for EURUSD,IF the goback bar >120pips than NO trade ).
3:Open at the next bar open,SL = the high of the bar that touch the BB upper line + a few pips(5pips e.g.） OR the low price of the bar that touch the BB under line - a few pips,say it's 80pips.（for EURUSD,IF the SL >120pips than NO trade ).
4:When you have 80 pips profits,move SL to BE + a few pips.
5:close the trade when PA touch the opposite BB upper or under line.

BTW,there is 5 bars per week in my daily chart,if your chart has 6 bars a week,you'd better use another broker.

4:The advantage of this system is it's simple and it has a Win/Lose ratio of 3:1(say a win trade is 300pips and a lose trade is -100pips),and what's more,the BB never repaint so you can backtest it easily.

5:Some trades...
http://www.forexfactory.com/attachme...1&d=1336841210

6:Feel free to ask questions.But as i'm a college student facing the coming exam,maybe i can't answer u at once.

thanks

No charts visible, please re upload em.

If the u are in a strong tread,than you will have a good trade,one or two BE trade,one or two lose trade,and another good trade.

I like BB too but still no pics showed.

well...anyone could help me anyhow to make the pics visbile?i will post a word with all the pics...

Anyhow,the attachment in the first post is visible?

Ma, thanks for sharing. Yes the picture are visible now. I think this is very good in non trending market.How do you trade when the PA is trending? You will see a lot of touching bars and fake "go back" (as you call it) bar?

I found this almost the same strategy here http://www.trading-naked.com/JoeRossGimmeeBarSetup.htm

Yes,when we are in a tread market you will have a lot of "go back" bar and a lot of BE and some SL.But in a long run,you are in green pips.
I just do a BACKTEST of 2011,this is the result.

+300pips
+340pips
BE
BE
BE
-60pips
BE
+700pips
BE
-120pips
+480pips
+600pips
BE
BE
BE

We have +2240pips total.5win,2 lose and 8 BE.In average,each win is 484pips and each lose is -90pips.

I know only 1 year of backtest is not enough to prove the power of a system.So i wish u do more backtest and feed back.

And BTW,you can download the attached tlp file to see the details of my backtest,i mark every trade in the chart.you could open a eurusd daily chart(5 daily bar a week only) with it to see the details.

thanks

I just read this and i think the two system is likely but not same.
As you say,if one trade this way with BB,he will has a lot of wrong singals in a trend market.So the key stuff of this way to trade is to manage the bad singals in a trend market.My system just work on this.

Hi mahanxiong:

I am newbie for few weeks with my poor English, Anyway, I have learned a lots here.

Thanks for sharing your system, would you show me more that how you handle situation when market change from sideway to trend or breakout?

If you are a forex trader and your not using Bollinger Bands you should as they are one of the simplest and most useful tools you can use for bigger profits in your forex trading strategy. Here we will look at exactly what Bollinger Bands are 3 ways you can use them to increase your forex profits.

Bollinger Bands Defined
Developed by John Bollinger, Bollinger bands are one of the most popular, flexible and easy to use technical indicators around. Here we will look at the logic behind them and how to use the to enjoy greater forex profits.

Bollinger bands are simply, volatility bands one each side of a simple moving average.

Bollinger bands are calculated using the standard deviation of price over the same period as moving averages and plotted on either side of the moving average. Moving averages are used to identify the underlying trend and Bollinger bands combine this with the ability to see the volatility of the individual currency as a trading envelope.

The distance between upper and lower Bollinger bands reflects the standard deviation of price (volatility) of the currency traded.

As prices become more volatile the outer bands move further away from the longer-term average, as volatility decreases they are of course closer to the moving average.

Why there so Useful

In any market, the value of it tends to rise slowly overtime but price spikes occur from time to time and these are normally a reflection of the greed or fear of the participants.

Short term price spikes never last for long and prices eventually come back to more realistic levels ( in the case of the Bollinger band) this is the moving average. The volatility of the outer bands therefore tells us how volatile prices are - and how far away prices have moved from fair value.

Bollinger bands can be used in the following way

1. Catching New Trends
When a market is in consolidation it tends to exhibit low volatility, when it trends on the other hand higher volatility is normally present.

When Bollinger bands are narrow, this shows a market with low volatility however low volatility in currencies never lasts for long and traders can be on alert for a breakout and new trend.

Trader should look for prices to break out of the outer bands in either direction to indicate a potential new trend.

2. Timing Your Trading Signal
If you want to get in on an existing trend the Bollinger Band can help you determine the best area to execute your trading signal in terms of risk to reward.

In a strong trend prices will tend to dip to the centre band or fair value and this is the place to execute your trading signal.

Look at any strong trending currency and you will see how effective this simple strategy is.

3. Spotting Market Tops and Bottoms
When top of the band is hit, you can sell, prices should revert back to the moving average. If the price touches the bottom of the band, they look again for prices to revert back to the average.

DO NOT USE IN ISOLATION!

Bollinger bands are a volatility indicator - they should NOT be used in isolation to enter trading signals.
When using Bollinger bands they should be combined with support and resistance lines on your forex charts and ideally, before entering a position, you should use momentum oscillators, to confirm your move. An ideal one is the stochastic ( although there are many more), if you confirm each set up, you will get the odds on your side and that means big long term profits.

I have some free, useful, and different representation of Bollinger Bands indicators that may help you get used to it. Have a look. Trade safe and good luck, guys!

Hi guys!
Do you still trading this method?, how do you pick the pairs to enter a trade?.