Turn to any website or financial software that includes charts with technical analysis and Bollinger Bands are featured. To many savvy traders charts look incomplete without them. Why has this analytical tool become so popular? The simple reason is that Bollinger Bands work!
The first Bollinger Band indicators created in the 1980s were %b™ which tells us where are we in relation to the Bollinger Bands, and BandWidth™ which tells us how wide the Bollinger Bands are.
The new additions to the Bollinger Band Suite of Tools and their functions are:
BBImpulse™ - How is %b changing?
BandWidth Delta™ - How is BandWidth changing?
Percent BandWidth™ - Where is BandWidth in relation to history?
BBTrend™ - Are we trending and if so in what direction?
BBMomentum™ - Momentum in a Bollinger Band framework.
BBIndex™ - Are we overbought or oversold in relation to the Bollinger Bands?
BBPersist™ - Price persistence in a Bollinger Band framework.
BBStops™- Start at an interval above/below the entry day as a function of Bollinger Envelopes and progress automatically as price changes and time passes.
Bollinger Bands are widely used by investors and traders worldwide for analyzing all the financial markets. The strength of Bollinger Bands is that they show whether prices are high or low on a relative basis. When used in conjunction with other indicators for confirmation, they are an extremely powerful technical analysis tool. Says Bollinger, "With these new Bollinger Band tools we provide a selection of indicators to use for confirmation that are as robust as Bollinger Bands. There is an indicator for each category traditionally used by technical analysts when analyzing market dynamics."
To see the new suite of Bollinger Band indicators at work visit http://BBands.com, http://www.EquityTrader.com Pro and http://www.BBForex.com.
About John Bollinger
John Bollinger is best known for his Bollinger Bands, which have been widely accepted and integrated into most of the analytical software currently in use. He is the president and founder of Bollinger Capital Management, Inc., an investment management company that provides technically driven money management services. The firm also develops and provides proprietary research for institutions and individuals.
Mr. Bollinger has published the Capital Growth Letter since 1987 and is interviewed regularly on television and radio. He is a speaker at financial seminars worldwide and the founder of several financial websites: www.BollingerBands.com, www.BollingerOnBollingerBands.com, www.EquityTrader.com, www.GroupPower.com, www.PatternPower.com, www.BBForex.com. www.MarketTechnician.com, www.BBScript.com, www.EquiVolume.com and www.FundsTrader.com.
John Bollinger is the recipient of the 2005 Market Technicians Association Annual Award for Outstanding Contribution to the Field of Technical Analysis.