"How to use Bollinger Bands to detect quick opportunities in trading".

Bollinger Bands are a simple yet powerful tool for traders. With them, you can identify key entry and exit points in volatile markets. Here’s how to use them practically.

1. What are Bollinger Bands?

They are three lines on your chart:

Upper band: Shows overbought levels.

Middle band: Is the central trend (moving average).

Lower band: Indicates oversold levels.

When the bands narrow, volatility is low. When they widen, volatility increases.

2. My recommended setup on Binance:

Periods: 7

Band width: 2.0

Colors:

Upper: Yellow

Middle: Red

Lower: Purple

It's ideal for quick movements in cryptocurrencies.

3. How to interpret the signals:

Buy: When the price touches the lower band and starts to rise.

Sell: When the price touches the upper band and starts to fall.

Breakout alert: If the bands are narrow, prepare for a strong move. Watch where it breaks.

4. Additional advice:

Combine Bollinger Bands with the RSI or another indicator to confirm your decisions. And remember: manage your risk, never bet more than 2% of your capital.