๐ **Ever wondered how pro traders spot reversals before they happen?** Letโs break down one powerful tool: **Bollinger Bands** โ and how to use it like a whale. ๐
๐ **What are Bollinger Bands?**
Itโs a volatility indicator with 3 lines:
โ **Middle Band** = 20-period moving average (trend direction)
โ **Upper Band** = Resistance in uptrends
โ **Lower Band** = Support in downtrends
๐ฏ **How to Use It:**
- **Squeeze = Low Volatility โ Big Move Coming**
- **Price near Upper Band** = Overbought (possible pullback)
- **Price near Lower Band** = Oversold (possible bounce)
- **Strong Trend** = Price rides the bands
๐ **Real Example:**
Right now, **$SOL** is testing the LOWER Band near **$198**. If it holds โ bounce toward Middle Band ($207). If it breaks โ more downside.
**Pro Tip:** Combine with volume + MACD for higher accuracy.
๐ฌ **Have you used Bollinger Bands before?**
๐ Yes โ itโs in my strategy
๐ No โ but I will now!
๐ค Still learningโฆ
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