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Re: T-Bond Chart With Bollinger bands/Trades

You could have a wide trading range pattern with volatility and the bands would be further apart.

What the narrowing of the bands means the info is low volatility is occurring, tighter the bands the lower the volatility. This means a move is about to take place, normally the volatility explodes in markets when this occurs, a nice move.

That is why I suggested a delta neutral play when this happens, you don't have to be right the direction of the move to have a winner. Lot of pros right now are taking a delta neutral position. There are other strategies one could use but I like this one best of all.

USCoralSea :)

Messages In This Thread

Re: T-Bond Chart With Bollinger bands/Trades