There are various approaches to technical analysis. The most popular are strategies using various indicators. However, even a clean candlestick chart without any auxiliary items carries enough information to create accurate forecasts.
Welles Wilder is the biggest figure in the world of modern trading. He actually “digitized” the existing technical analysis tools, and also developed a large number of new indicators. There are dozens of developed solutions credited to him. In Binomo’s range of tools, there are 5 indicators from Welles Wilder. In this article, we will look at a simple two-line strategy for beginners Moving Average Welles Wilder.
The Bollinger Bands (BB) is a trend indicator created by John Bollinger based on the Moving Average. When the tool is added to the chart, a price channel is formed which shows the factor of price deviation from the “normal range,” calculated using a certain formula. Bollinger Bands is a multifunctional solution that can be used to determine the level of market volatility, find reversal points, and filter the signals of other instruments. In this article, we will review the tool, its history, and different approaches to its practical application.