Bollinger Bands Silver Indicator Bulge and Squeeze Technical Analysis
The Silver Bollinger Bands are self adjusting which means the bands widen and narrow depending on xagusd trading price volatility.
Standard Deviation is the statistical measure of the xagusd trading price volatility used to calculate the widening or narrowing of the silver trading Bollinger bands. Standard deviation will be higher when xagusd trading prices are changing significantly and lower when the xagusd trading market xagusd trading prices are calmer.
- When xagusd price volatility is high the Bollinger Bands widen.
- When xagusd price volatility is low the Bollinger Bands narrows.
The Bollinger Bands Squeeze
Narrowing of silver trading Bollinger Bands is a sign of xagusd price consolidation & is known as the Bollinger band squeeze.
When the Bollinger Bands indicator display narrow standard deviation it is usually a time of xagusd trading price consolidation, and it is a silver signal that there will be a xagusd trading price breakout and it shows silver traders are adjusting their trade positions for a new move. Also, the longer the xagusd trading prices stay within the narrow bands the greater the chance of a xagusd trading price breakout.
Bollinger Squeeze - The Bollinger Bands XAGUSD Trading Squeeze - How to Silver Trade Bollinger Bands Squeeze
The Bollinger Bulge
The widening of Bollinger Bands is a sign of a xagusd price breakout & is known as the Bollinger Bands Bulge.
Bollinger Bands that are far apart can serve as a silver signal that a silver trend reversal is approaching. In the Bollinger bands silver indicator example explained and shown below, the silver trading Bollinger bands get very wide as a result of high xagusd trading price volatility on the down swing. The silver trend reverses as xagusd trading prices reach an extreme level according to statistics and the theory of normal distribution. The "bulge" predicts the change to a downward silver trend.
Bollinger Bulge - XAGUSD Trading The Bollinger Bulge - How to Silver Trade Bollinger Bands Bulge