Bollinger Bands Strategy Summary

Bollinger Bands indicator is a popular technical analysis indicator that can be used in various ways.

However, like most indicators it should not be used alone. Bollinger bands indicator work best combined with overbought and oversold indicators & oscillators.

Since Bollinger Bands uses price volatility to determine the trading market trend, traders should not use technical indicators that duplicate this information. Instead the Bollinger bands trade indicator should combined with trade indicators that measure volume or momentum.