Bollinger Bands
Technical Analysis
Definition
A technical analysis tool consisting of a moving average with upper and lower bands set at standard deviations above and below, used to measure volatility and identify potential reversal points.
Key Points
- Consist of middle line (20-day MA) and two bands
- Bands expand during high volatility periods
- Price touching bands can signal reversal opportunities
Quick Info
Category
Technical Analysis
Related Topics
volatility
moving average
support and resistance
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