Online Stockmarket Trading Update

Strategy Overview

Bollinger Bands were created by John Bollinger in the late 1980s to provide a reference for high and low points based on volatility.

The centre line of the bands is typically a 20 day simple moving average of the price showing the intermediate trend. The two bands are then plotted around this centre line by adding (top band) or subtracting (lower band) the standard deviation from the average. They are usually plotted as 2 standard deviations from the centre line.

Click here to download the PDF guide.

By Jeff Cartridge,
Education Manager

Tags: bollinger bands, charting, investing, technical analysis, Trading Strategy

This entry was posted on Tuesday, June 23rd, 2009 at 4:56 pm and is filed under Trading Strategies. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.