BollingerWorm !!!

[timepass]

NF:

The picture above shows 1) Bollingerworm for today (standalone) and 2) Bollingerworm for today as continued from the previous session.


How to draw Bollingerworm :

1.Use standard Bollinger Bands ,that is, bb(20,2).

2.Use ema2-HIGH and ema2-LOW to outline the body of the worm.

3.If the body comes out of bands & re-enters ,then make an ENTRY.

4.The EXIT is, if body comes out the other band and re-enters the body.

5.In case of extreme Bullishness/extreme Bearishness another
pair is used pertaining to BB(20,1) or just for guidance in normal case also.

6.If candles are sandwiched between OUTER of BB(20,1) and INNER band
BB(20,2) then ride the trend .

7.If either ema-2H or ema-2L is cut twice by either BB(20,2),BB(20,1) or
SMA-20 in quick succession ,it indicates a END of a trend.

8.Continuation is indicated if both ema-2H and ema-2L are cut by SMA-20
and/or BB(20,1) and/or BB(20,2).

9.If the trade goes against you and if the divisions on Y-axis is not more
than 10,in that case you can add ONE or TWO trades, at least 5 points apart.
(Or as per the volatility on that day).

 

[timepass]

NF:

The picture above shows 1) Bollingerworm for today (standalone) and 2) Bollingerworm for today as continued from the previous session.


How to draw Bollingerworm :

1.Use standard Bollinger Bands ,that is, bb(20,2).

2.Use ema2-HIGH and ema2-LOW to outline the body of the worm.

3.If the body comes out of bands & re-enters ,then make an ENTRY.

4.The EXIT is, if body comes out the other band and re-enters the body.

5.In case of extreme Bullishness/extreme Bearishness another
pair is used pertaining to BB(20,1) or just for guidance in normal case also.

6.If candles are sandwiched between OUTER of BB(20,1) and INNER band
BB(20,2) then ride the trend .

7.If either ema-2H or ema-2L is cut twice by either BB(20,2),BB(20,1) or
SMA-20 in quick succession ,it indicates a END of a trend.

8.Continuation is indicated if both ema-2H and ema-2L are cut by SMA-20
and/or BB(20,1) and/or BB(20,2).

9.If the trade goes against you and if the divisions on Y-axis is not more
than 10,in that case you can add ONE or TWO trades, at least 5 points apart.
(Or as per the volatility on that day).

 

[timepass]

NF:

The picture above shows 1) Bollingerworm for today (standalone) and 2) Bollingerworm for today as continued from the previous session.


How to draw Bollingerworm :

1.Use standard Bollinger Bands ,that is, bb(20,2).

2.Use ema2-HIGH and ema2-LOW to outline the body of the worm.

3.If the body comes out of bands & re-enters ,then make an ENTRY.

4.The EXIT is, if body comes out the other band and re-enters the body.

5.In case of extreme Bullishness/extreme Bearishness another
pair is used pertaining to BB(20,1) or just for guidance in normal case also.

6.If candles are sandwiched between OUTER of BB(20,1) and INNER band
BB(20,2) then ride the trend .

7.If either ema-2H or ema-2L is cut twice by either BB(20,2),BB(20,1) or
SMA-20 in quick succession ,it indicates a END of a trend.

8.Continuation is indicated if both ema-2H and ema-2L are cut by SMA-20
and/or BB(20,1) and/or BB(20,2).

9.If the trade goes against you and if the divisions on Y-axis is not more
than 10,in that case you can add ONE or TWO trades, at least 5 points apart.
(Or as per the volatility on that day).

 

[neuron_sun]

Hi TP/Columbus

Can you please specify in the image , what trades could have been taken.

I traded today based on worm and its difficult to analyze in real time.

Thanks

 

[timepass]

Hi TP/Columbus

Can you please specify in the image , what trades could have been taken.

I traded today based on worm and its difficult to analyze in real time.

Thanks

It's difficult to trade the index using bollingerworm, options may give better returns. Personally I just watch it for guidance, but don't take trades based on this. The safe trade as per Bollingerworm comes when both EMA3(high) and EMA3(low) have reverted from BB(20,2) and closed outside BB(20,1). Normally, by this time the move may or may not have much steam, except on trending days. Will try to mark the trades tomorrow.

But you will find the markings in many of Columbus's posts in the earlier part of this thread. Please go through the beginning of the thread. You should find some good examples in the first 10 pages itself.

 

[neuron_sun]

It's difficult to trade the index using bollingerworm, options may give better returns. Personally I just watch it for guidance, but don't take trades based on this. The safe trade as per Bollingerworm comes when both EMA3(high) and EMA3(low) have reverted from BB(20,2) and closed outside BB(20,1). Normally, by this time the move may or may not have much steam, except on trending days. Will try to mark the trades tomorrow.

But you will find the markings in many of Columbus's posts in the earlier part of this thread. Please go through the beginning of the thread. You should find some good examples in the first 10 pages itself.

Hi

Yes I have gone through the thread , but some times it difficult to decide whether to reverse the position or keep with the trend ,
When Worm enters back into BB , you need to watch whether candles are sandwitch b/w BB(20,1) and BB(20,2). By the time its clear most of the gains are gone.

Thanks

 

[timepass]

Hi

Yes I have gone through the thread , but some times it difficult to decide whether to reverse the position or keep with the trend ,
When Worm enters back into BB , you need to watch whether candles are sandwitch b/w BB(20,1) and BB(20,2). By the time its clear most of the gains are gone.

Thanks

What you can do is keep 2 charts of the bollingerworm - one on 5 min TF and one on 3 min TF. Take an entry if the 3min chart gives a clear signal, maintain a tight stoploss. It will surely come before the signal on 5 min. It will also tell you about the continuation of the signal.

 

[neuron_sun]

What you can do is keep 2 charts of the bollingerworm - one on 5 min TF and one on 3 min TF. Take an entry if the 3min chart gives a clear signal, maintain a tight stoploss. It will surely come before the signal on 5 min. It will also tell you about the continuation of the signal.

Hi TP

You mean to say , take entry based on 3 minute chart and if its confirmed by 5 min chart then continue else exit, will try on previous data and let you know
Thanks

 

[timepass]

NF:

The picture above shows 1) Bollingerworm for today (standalone) and 2) Bollingerworm for today as continued from the previous session.


How to draw Bollingerworm :

1.Use standard Bollinger Bands ,that is, bb(20,2).

2.Use ema2-HIGH and ema2-LOW to outline the body of the worm.

3.If the body comes out of bands & re-enters ,then make an ENTRY.

4.The EXIT is, if body comes out the other band and re-enters the body.

5.In case of extreme Bullishness/extreme Bearishness another
pair is used pertaining to BB(20,1) or just for guidance in normal case also.

6.If candles are sandwiched between OUTER of BB(20,1) and INNER band
BB(20,2) then ride the trend .

7.If either ema-2H or ema-2L is cut twice by either BB(20,2),BB(20,1) or
SMA-20 in quick succession ,it indicates a END of a trend.

8.Continuation is indicated if both ema-2H and ema-2L are cut by SMA-20
and/or BB(20,1) and/or BB(20,2).

9.If the trade goes against you and if the divisions on Y-axis is not more
than 10,in that case you can add ONE or TWO trades, at least 5 points apart.
(Or as per the volatility on that day).

 

[Gangadharan]

Hello Columbus Sir,

Hope you remember me.

Thanks a lot to you and your Bolinger worm. It is amazing.

Warm Regards