Momentum Breakout Trading A new look at an
Momentum Breakout Trading
A new look at an old friend
The application of standard deviation bands, Bollinger’s, to price charts to give us buy and sell signals
Standard Deviation Bollinger Bands as taught by John Bollinger Sell? ? ? Buy? ?
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
STANDARD DEVIATION A NORMAL PRICE DISTRIBUTION MEANS THAT MOST OF THE PRICES ARE CLOSE TO THE AVERAGE WITH FEW PRICES AT ONE EXTREME OR ANOTHER AVERAGE PRICE OR “MEAN”
Standard Deviation Bell Curve Bollinger’s Bands BREAKOUT AREA SELL AVERAGE PRICE BREAKOUT AREA BUY Our Momentum Break out bands “MOBO” TIGHTER BANS TO SHOW THE BREAKOUT OF PRICE
DAILY CHARTS
J. BOLLINGER BANDS MOBO BANDS
LONG SHORT ABOVE MOBO BUY BELOW MOBO SELL
SYMC MOBO BREAKOUT MOBO SUPPORT
GE SELL BUY SELL
RSTI MOBO BUY BREAKOUT MOBO SELL BREAKOUT
ERTS
ERTS 15 Sma 50 Sma
Two Day Chart ERTS 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 MINUTE WITH BLUE ‘MEAN’
SELL DJ-30 ONE MINUTE WITH BLUE ‘MEAN’
U. S. DOLLAR DAILY
GOLD DAILY WITH BLUE ‘MEAN’
GOLD DAILY WITH TECHNCIALS ( SOAP)
DJ-30 DAILY WITH TECHNCIALS ( SOAP)
100 Sma EELN WITH MOBO AND SOAP BUY
- Slides: 32
