$SHELL | What Bollinger Bands Actually Are
Picture a rubber band stretched around a rope. The rope in the middle is the average price over the last 20 candles. The rubber band stretches wider when price has been bouncing around a lot recently, and pulls tighter when price has been calm.
That's basically what Bollinger Bands are: a middle line, the moving average, plus an upper and lower line drawn a certain distance away based on how much price has recently varied.
Right now, SHELL's 4-hour middle band sits at 0.02401, upper band at 0.02456, lower band at 0.02345. Price itself is at 0.02413, just slightly above that middle line.
#SHELL #CryptoForBeginners #BollingerBands
Picture a rubber band stretched around a rope. The rope in the middle is the average price over the last 20 candles. The rubber band stretches wider when price has been bouncing around a lot recently, and pulls tighter when price has been calm.
That's basically what Bollinger Bands are: a middle line, the moving average, plus an upper and lower line drawn a certain distance away based on how much price has recently varied.
Right now, SHELL's 4-hour middle band sits at 0.02401, upper band at 0.02456, lower band at 0.02345. Price itself is at 0.02413, just slightly above that middle line.
#SHELL #CryptoForBeginners #BollingerBands