Momentum Breakout Trading
description
Transcript of Momentum Breakout Trading
Momentum Breakout Trading
A new look at an old
friend
The application of standard deviation bands, Bollinger’s,
toprice charts to give usbuy and
sell signals
Standard Deviation Bollinger Bands as taught by John Bollinger
Buy?
Sell?
??
?
Unfortunately, Bollinger’s Band settings, give us
NO objective buy and sell
signals.
Bollinger does suggest
using lots of
technical studies to get
the reversal points
A NORMAL PRICEDISTRIBUTION MEANS THAT
MOST OF THE PRICES ARECLOSE TO THE AVERAGE WITHFEW PRICES AT ONE EXTREME
OR ANOTHER
AVERAGE PRICE
OR“MEAN”
STANDARD DEVIATION
Standard Deviation Bell CurveBollinger’s Bands
Our MomentumBreak out bands
“MOBO”
BREAKOUTAREABUY
BREAKOUTAREASELL
AVERAGEPRICE
TIGHTER BANS TO SHOW THE BREAKOUT OF PRICE
DAILY CHARTS
MOBOBANDS
J. BOLLINGER BANDS
LONG
SHORT
LONG
ABOVE MOBO BUYBELOW MOBO SELL
MOBO BREAKOUT
MOBO SUPPORT
SYMC
SELL
SELL
BUY
GE
RSTI
MOBOBUY
BREAKOUT
MOBOSELL
BREAKOUT
ERTS
ERTS
50 Sma
15 Sma
ERTSTwo Day Chart
No Sell Signals
DJ-30 2 DAY CHART
DJ-30 WEEKLY
DJ-30 MONTHLY
DJ-30 QUARTERLY
DJ-30 Hourly
DJ-30 HOURLY
BLUE ‘MEAN’ PRICE AVERAGE
DJ-30 HALF HOUR WITH BLUE ‘MEAN’
DJ-30 FIVE MINUTEWITH BLUE ‘MEAN’
DJ-30 ONE MINUTEWITH BLUE ‘MEAN’
SELL
U.S. DOLLAR DAILY
GOLD DAILYWITH BLUE ‘MEAN’
GOLD DAILY WITH TECHNCIALS ( SOAP)
DJ-30 DAILY WITH TECHNCIALS ( SOAP)
EELN WITH MOBO AND SOAP
100 Sma
BUY