$SHELL | What Bollinger Bands Actually Are
Imagine a rubber band stretched around a rope. The rope in the middle is the average price of the last 20 candlesticks. The rubber band around it widens when prices have fluctuated a lot recently, and narrows when prices have been relatively quiet.
That’s basically what Bollinger Bands are: a middle line, the moving average, plus an upper and a lower line plotted at a certain distance based on how much prices have moved recently.
Right now, SHELL’s 4-hour middle band is at 0.02401, the upper band is at 0.02456, and the lower band is at 0.02345. The price itself is at 0.02413, just slightly above the middle line.
#SHELL #TechnicalIndicators #Bollinger
Imagine a rubber band stretched around a rope. The rope in the middle is the average price of the last 20 candlesticks. The rubber band around it widens when prices have fluctuated a lot recently, and narrows when prices have been relatively quiet.
That’s basically what Bollinger Bands are: a middle line, the moving average, plus an upper and a lower line plotted at a certain distance based on how much prices have moved recently.
Right now, SHELL’s 4-hour middle band is at 0.02401, the upper band is at 0.02456, and the lower band is at 0.02345. The price itself is at 0.02413, just slightly above the middle line.
#SHELL #TechnicalIndicators #Bollinger