Hey everyone I am trying to find the post about a strategy that tries to find tops and bottoms using sharp price movements and bollinger bands. Supposedly very accurate.
Thanks for all your help.
Hi kelton,
I’m affraid I can’t help you with that.
Was wondering though, what happened with your challenge?
'Best
Two jobs lol I have been working almost everyday. No time to trade but I want to start making more time for it.
[QUOTE=“Kelton;608753”]Hey everyone I am trying to find the post about a strategy that tries to find tops and bottoms using sharp price movements and bollinger bands. Supposedly very accurate. Thanks for all your help.[/QUOTE]
Some say trying to pick tops and bottoms is a dangerous game, but, it is a better mindset to have than trying to chase a trend when it is long overdue for correction (which unfortunately most newer traders do).
I’ve found that using some basic price action and supply/demand zone analysis can lead to high reward low risk opportunities which typically occur at tops/bottoms of moves. The idea is that when price returns to a level where there was a large imbalance between buyers and sellers, market participants would expect more orders to be placed at the level to protect either bullish or bearish gains.
Effectively, this leads to the creation of the infamous double top or double bottom, which is powerful in and of itself. I don’t wait for a signal, I simply get in at the level, with a close stop if the R:R is in my favor. This method can be used as “set and forget” because all you need to do is identify the most recent zones, and place OCO orders.
I stay away from any indicator of price. Indicators are nothing but derivatives of price, and will always be lagging. To me, I feel they serve no purpose other than one of confusion. The only indicator I agree with using is a moving average if you’re swing trading. But even that gives you false signals, and late entries. The best entry will always be at a level. Just my opinion.