📚 Do you know the Bollinger Bands rule? It’s one of the most powerful tools in technical analysis—and today I’ll show you how to use it like a pro 👇

📉 Bollinger Bands help traders spot overbought and oversold zones, as well as potential breakouts or periods of consolidation. The bands are made up of:

🔹 A Simple Moving Average (usually 20 periods)

🔹 An Upper Band = SMA + 2 standard deviations

🔹 A Lower Band = SMA - 2 standard deviations

💡 How to interpret them?

• If price hits or exceeds the upper band → the asset might be overbought 😬

• If it touches the lower band → it could be oversold 🧐

• Bands tightening? ➡️ Expect a volatility breakout soon 🚀

• Bands widening? ➡️ Indicates high volatility ⚡

🎯 Many traders combine Bollinger Bands with RSI or volume to confirm entry/exit signals. Using them properly can help you avoid FOMO trades and improve your timing dramatically.

🔥 Pro tip: When bands contract, stay alert… volatility is about to strike. Mastering this rule is a must for any serious crypto trader! 💪📊

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