๐ Darvas Box vs Bollinger Bands: Understanding Price Ranges! ๐
Similarities:
๐ Both identify price ranges
๐ฐ They provide buy/sell signals
Differences:
1๏ธโฃ Calculation:
๐ฆ Darvas: Recent Highs and Lows
๐ Bollinger: Moving average + standard deviation
2๏ธโฃ Flexibility:
๐ Darvas: Change with new extremes
๐ Bollinger: Continuous adjustment
3๏ธโฃ Volatility:
๐ Darvas: Does not fit directly
๐ข Bollinger: Expands/contracts
How to use them:
๐ฏ Darvas:
โฌ๏ธ Buy: Price breaks the cover
โฌ๏ธ Sell: Price falls below the bottom
๐ฏ Bollinger:
โฌ๏ธ Possible purchase: Price is lower band
โฌ๏ธ Possible sale: Price touches higher band
๐ Key: Darvas is more stable, Bollinger more dynamic
๐ก TIP Combine both for best results!
