3D Bollinger Trend Forex Trading Strategy

<p>There are several things that traders look for when trading the forex market. These are trend, momentum, mean reversals and trend reversals.</p> <p>Traders often compartmentalize these into different types of strategies.</p> <p>Some traders trade trend following strategies. These are strategies that trade with the existing flow of the market. These types of strategies tend to produce high probability trades because traders are not going against the flow of the market.</p> <p>Momentum strategies are almost the same as with trend following strategies. These are strategies that take trade signals whenever a strong price movement is observed.</p> <p>Then there is the mean reversal type of strategy. This strategy assumes that price would always revert to its average price. Trades are then taken whenever price is either overbought or oversold and profits are taken when price has reverted to the mean.</p> <p>Trend reversal strategies on the other hand assumes that a trend would reverse into another trend. Trend reversal traders take trades whenever one trend has ended assuming that it will turn into a trend on the other direction.</p> <p>All these different types of strategies work. All of it has its own pros and cons. But what if we could incorporate factors of these different strategies into one strategy. The result would be a robust strategy that could be very profitable.</p> <p>3D Bollinger Trend Forex Trading Strategy combines these different types of strategies into one. It takes trend following trades based on a long-term trend which in confluence with a probable mean reversal on the shorter-term, and rides on momentum that could result in a new trend.</p> <h2><strong>Advanced Bollinger Band</strong></h2> <p>Advanced Bollinger Band is a modified Bollinger Band indicator that helps traders identify trend and momentum.</p> <p>Classic Bollinger Band indicators are unique because it provides a whole lot of information with just one indicator. It provides information on trend, volatility, momentum and overbought or oversold prices.</p> <p>Bollinger Bands display 3 lines – a middle line and two outer bands. The mid line is basically a Simple Moving Average (SMA) usually set at 20-periods. The outer bands are set at a distance from the midline based on a standard deviation. This creates a channel that envelopes the 20 SMA.</p> <p>Trends could be observed on the Bollinger Band just as it is observed on a moving average line. It could be based on the slope of the line or the location of price in relation to it. Volatility could also be observed based on the expansion and contraction of the bands. Momentum could be based on a strong close beyond the Bollinger Bands. Overbought and oversold prices are conditions wherein price is beyond the Bollinger Band and is rejecting that area.</p> <p>The Advanced Bollinger Band could also display a gauge on the price chart to provide relevant information to traders regarding the range of price and what price level does the market have to break in order to consider a trade.</p> <h2><strong>3D Oscillator</strong></h2> <p>3D Oscillator is a custom indicator designed to detect trend and mean reversals.</p> <p>This indicator works more like a smoothened out Stochastic Oscillator. The lines are derived from a modified Stochastic Oscillator and a Relative Strength Index (RSI).</p> <p>It has two lines that crossover each other. Trade signals are generated whenever the lines crossover each other. A fast line crossing above the slow line provides a bullish signal, while the inverse of it indicates a bearish signal.</p> <p>Trend could be interpreted based on the location of the lines. Lines staying above zero indicates a bullish trend while lines staying below zero indicates a bearish trend.</p> <p>There are many ways to trade with this indicator. However, it is best to take bullish trades whenever a bullish signal is generated while the lines are below zero, and bearish trades whenever a bearish signal is generated while the lines are above zero. This is a classic mean reversal type of entry because the two lines would usually be drawn towards the midline as price is drawn towards the mean.</p> <h2><strong>Trading Strategy</strong></h2> <p>This trading strategy provides trade entries based on the confluence of trend reversal signals coming from the 3D Oscillator and the Bollinger Bands, while being aligned with the long-term trend.</p> <p>To identify the long-term trend, we will be using the 200-period Simple Moving Average. Trades will be taken in the direction of the trend based on its slope and the location of price in relation to the 200 SMA.</p> <p>On the Bollinger Bands, a trend reversal signal should be generated based on the crossing over of price and the midline of the Bollinger Bands. If a momentum is generated or if the trend continues, price will be hugging close towards the outer bands in the direction of the new trend.</p> <p>On the 3D Oscillator, a mean reversal signal should be generated. Bullish signals are considered when the lines are below zero and bearish signals when the lines are above zero.</p> <p><strong><em>Indicators:</em></strong></p> <ul> <li><em>200 SMA (gold)</em></li> <li><em>3D Oscillator</em> <ul> <li><em>D1RSIPer: 39</em></li> <li><em>D2StochPer: 32</em></li> <li><em>D3tunnelPer: 40</em></li> <li><em>Hot: 0.8</em></li> <li><em>Sigsmooth: 12</em></li> </ul> </li> <li><em>advanced bollinger band mt4</em></li> </ul> <p><em><strong>Preferred Time Frames:</strong> 1-hour and 4-hour charts</em></p> <p><em><strong>Currency Pairs:</strong> major and minor pairs</em></p> <p><em><strong>Trading Sessions:</strong> Tokyo, London and New York sessions</em></p> <h3><strong>Buy Trade Setup</strong></h3> <p><strong><em>Entry</em></strong></p> <ul> <li>Price should be above the 200 SMA line.</li> <li>The 200 SMA line should be sloping up.</li> <li>Price should close above the midline of the Bollinger Bands.</li> <li>On the 3D Oscillator, a bullish dot should appear while the lines are below zero.</li> <li>These bullish signals should be closely aligned.</li> <li>Enter a buy order on the confirmation of the conditions above.</li> </ul> <p><strong><em>Stop Loss</em></strong></p> <ul> <li>Set the stop loss on the fractal below the entry candle.</li> </ul> <p><strong><em>Exit</em></strong></p> <ul> <li>Close the trade as soon as price closes below the lower line of the Bollinger Bands.</li> <li>Close the trade as soon as a line on the 3D Oscillator crosses below zero.</li> </ul> <p><img class="alignnone size-full wp-image-65842" src="https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-1.png" alt="3D Bollinger Trend Forex Trading Strategy 1" width="977" height="560" srcset="https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-1.png 977w, https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-1-300x172.png 300w, https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-1-768x440.png 768w" sizes="(max-width: 977px) 100vw, 977px" /></p> <p><img class="alignnone size-full wp-image-65841" src="https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-2.png" alt="3D Bollinger Trend Forex Trading Strategy 2" width="977" height="560" srcset="https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-2.png 977w, https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-2-300x172.png 300w, https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-2-768x440.png 768w" sizes="(max-width: 977px) 100vw, 977px" /></p> <h3><strong>Sell Trade Setup</strong></h3> <p><strong><em>Entry</em></strong></p> <ul> <li>Price should be below the 200 SMA line.</li> <li>The 200 SMA line should be sloping down.</li> <li>Price should close below the midline of the Bollinger Bands.</li> <li>On the 3D Oscillator, a bearish dot should appear while the lines are above zero.</li> <li>These bearish signals should be closely aligned.</li> <li>Enter a sell order on the confirmation of the conditions above.</li> </ul> <p><strong><em>Stop Loss</em></strong></p> <ul> <li>Set the stop loss on the fractal above the entry candle.</li> </ul> <p><strong><em>Exit</em></strong></p> <ul> <li>Close the trade as soon as price closes above the upper line of the Bollinger Bands.</li> <li>Close the trade as soon as a line on the 3D Oscillator crosses above zero.</li> </ul> <p><img class="alignnone size-full wp-image-65840" src="https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-3.png" alt="3D Bollinger Trend Forex Trading Strategy 3" width="977" height="560" srcset="https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-3.png 977w, https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-3-300x172.png 300w, https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-3-768x440.png 768w" sizes="(max-width: 977px) 100vw, 977px" /></p> <p><img class="alignnone size-full wp-image-65839" src="https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-4.png" alt="3D Bollinger Trend Forex Trading Strategy 4" width="977" height="560" srcset="https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-4.png 977w, https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-4-300x172.png 300w, https://www.forexmt4indicators.com/wp-content/uploads/2021/02/3D-Bollinger-Trend-Forex-Trading-Strategy-4-768x440.png 768w" sizes="(max-width: 977px) 100vw, 977px" /></p> <h2><strong>Conclusion</strong></h2> <p>This trading strategy is a high probability type of trading strategy. This is because trades taken are in line with the long-term trend while being a mean reversal entry at the same time.</p> <p>If the trade does work out, price would constantly be hugging the outer bands of the Bollinger Band which is indicative of a strong trend or momentum.</p> <p>Trade this strategy with other technical analysis techniques such as divergences or trendline breakouts and you would have a profitable high probability trading strategy.</p> <p><h3><span><strong><br /> Forex Trading Strategies Installation Instructions</strong></span></h3> <p>3D Bollinger Trend Forex Trading Strategy is a combination of Metatrader 4 (MT4) indicator(s) and template.</p> <p>The essence of this forex strategy is to transform the accumulated history data and trading signals.</p> <p>3D Bollinger Trend Forex Trading Strategy provides an opportunity to detect various peculiarities and patterns in price dynamics which are invisible to the naked eye.</p> <p>Based on this information, traders can assume further price movement and adjust this strategy accordingly.</p> <p><iframe src="https://www.youtube.com/embed/YczVA9lhppk" width="500" height="315" frameborder="0" allowfullscreen="allowfullscreen"></iframe></p> <h3><strong>Recommended Forex Metatrader 5 Trading Platform</strong></h3> <ul> <li>Free $30 To Start Trading Instantly</li> <li>Deposit Bonus up to $5,000</li> <li>Unlimited Loyalty Program</li> <li>Awards Winning Trading Broker</li> </ul> <p><a href="https://www.forexmt4indicators.com/go/xm/" target="_blank" rel="noopener"><img class="alignnone wp-image-65593 size-full" src="https://www.forexmt4indicators.com/wp-content/uploads/2021/01/xm-account-opening-guide.png" alt="xm account " width="1160" height="544" /></a></p> <p><a href="https://www.forexmt4indicators.com/xm-trading-account-opening-guide/" target="_blank" rel="noopener noreferrer"><strong>Click Here for Step By Step XM Trading Account Opening Guide</strong></a></p> <h3><strong>How to install 3D Bollinger Trend Forex Trading Strategy?</strong></h3> <ul> <li>Download 3D Bollinger Trend Forex Trading Strategy.zip</li> <li>*Copy mq4 and ex4 files to your Metatrader Directory / experts / indicators /</li> <li>Copy tpl file (Template) to your Metatrader Directory / templates /</li> <li>Start or restart your Metatrader Client</li> <li>Select Chart and Timeframe where you want to test your forex strategy</li> <li>Right click on your trading chart and hover on &#8220;Template&#8221;</li> <li>Move right to select 3D Bollinger Trend Forex Trading Strategy</li> <li>You will see 3D Bollinger Trend Forex Trading Strategy is available on your Chart</li> </ul> <p><span><em>*Note: Not all forex strategies come with mq4/ex4 files. Some templates are already integrated with the MT4 Indicators from the MetaTrader Platform.</em></span></p> <h4><strong>Click here below to download:</strong></h4> <p><span>Save</span></p> <p><span>Save</span></p> <br /> <br /> </p> <p><span><a href="https://www.forexmt4indicators.com/upgrade/"><span>Get Download Access</span></a><br /> </span></p> </p> <p>La entrada <a rel="nofollow" href="https://www.forexmt4indicators.com/3d-bollinger-trend-forex-trading-strategy/">3D Bollinger Trend Forex Trading Strategy</a> se publicó primero en <a rel="nofollow" href="https://www.forexmt4indicators.com">ForexMT4Indicators.com</a>.</p>