🚀 Bollinger Bands are not just lines… they are a way to understand the hidden psychology in the market!
🔥 The next indicator: Bollinger Bands
Did the price suddenly rise strongly? Or did it collapse without warning? 🤔
Professionals know the secret… It's Bollinger Bands 🔥
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📌 What is the Bollinger Bands indicator?
It's a smart tool that measures volatility in the market.
It helps you know when the market is 'very quiet' or 'very crazy'! 😵💫
It consists of 3 lines:
• The middle line: Simple Moving Average (SMA)
• The upper and lower lines: two standard deviations above and below the middle line
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🧭 How to add Bollinger Bands on the Binance app? (Step by step for beginners)
1️⃣ Open the Binance app
2️⃣ Go to 'Markets' and select the desired currency
3️⃣ Click on 'Chart'
4️⃣ Click on 'Indicators'
5️⃣ Type in the search: Bollinger Bands
6️⃣ Activate the indicator and 3 lines will automatically appear on the chart 💡
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🧠 How to use it wisely?
🔹 When the price touches the lower line:
🔁 It might bounce upwards → Buying opportunity (especially if accompanied by support)
🔹 When it touches the upper line:
🔻 It might drop → Selling opportunity or waiting for a correction
🔹 When the bands tighten significantly:
⚠️ The market is very quiet → An explosion is coming, whether up or down!
🔹 When the bands suddenly expand:
🚨 Strong momentum entry → Watch the movement and beware of high volatility
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🧱 Simple strategies for beginners:
1️⃣ Explosion strategy (Bollinger Squeeze):
If the range tightens significantly, prepare for a big move
2️⃣ Bouncing from the edges:
If the price touches the upper limit + reversal candle → Possible correction
If it touches the lower limit + bullish candle → Possible bounce
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⚠️ Warning for beginners:
❗ Do not rely on the indicator alone!
❗ It's best to combine it with another indicator like RSI or MACD to confirm the signal
❗ In a strong trend, the price can touch the outer line several times without correction
The market whispers to you through volatility… But are you listening? 👂🔥
