Wick

Bollinger Bands

Indicators I

Volatility envelopes

A 20 SMA ± 2 standard deviations. Price touches bands in normal action, so touches are NOT signals alone. The squeeze (bands pinching) is the real tell: quiet markets precede loud ones.

Check yourself

Tight, pinching Bollinger Bands signal…

  1. Time to sleep
  2. A volatility expansion is loading correct
  3. A guaranteed rally

Volatility is cyclical. Compression stores the energy the breakout spends. Direction TBD.

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