Using Extremes In Price, Volume & Bollinger Bands | Active Trading Strategies

which way is your volatility going how do we make decisions on that we're going to continue on with our discussion from yesterday uh using bollinger bands and and directional or counter direction bias stick around [Music] good afternoon everyone and welcome to active trading strategies this is or i am pamela lawley and i'm joined in the chats not only by all of you welcome welcome welcome but also by barb armstrong uh yesterday we started out in the technical analysis and options discussing uh different types of strategies it's going to be our different methods of technical analysis to define different ways to perhaps look at price action and pick up some ideas about what we might do we're going to continue on with that uh today before we jump into any of that i want to say welcome to christy and tm and vijay and and rh and schube and robert and juan and ganesh jack robinson uh and uh so jack says what are we going to learn today we're going to continue on uh with uh what we were talking about today i was hoping for maybe uh the more things stay the same quicker they change and so some things changed uh during the day i'm not really happy with some of the act price action we had but we're going to continue on with that discussion uh scott j george in texas dylan krishna el diego hello hello hello let's get on with our important information remember this content is for educational informational purposes only not for recommendations options not suitable for all investors options do have special risks and those are those are inherent to option trading remember that uh this webcast while discussing technical analysis or other approaches can include other approaches can include fundamental analysis that can assert different views short options can be assigned at any time up to expiration regardless if the stock is in the money or the in the money amount and in the money option has a higher risk of being excuse me of being assigned an important important important paper money trading the virtual trading platform if you are new learning how to learning strategies learning the the platform the virtual trading paper money platform does not assign short option positions early so once you start start trading options in a real account and you sold those options short you can be assigned the uh go through assignment on those uh on those positions remember that um everything that we do here i mean excuse me everything that we do involving risk involves raw a loss or a possibility of loss so please remember that any trailing stop loss orders will not guarantee the execution at the activation price once activated it becomes an incoming uh it becomes a competition between your order and other incoming market orders past performance many security does not guarantee future results and you are responsible for the decisions you make in yourself directed account let's get out there let's take a look at what's going on so today as we talked about yesterday we're going to discuss again uh bollinger bands but again anytime we talk about indicators they're just they're just that indicators they're not uh the end all the be-alls they don't predict but what we will do is we will use certain things uh to help us make uh decisions hopefully lower risk decisions not guaranteed but we're still going to look at trends support and resistance we're looking at volume momentum sentiment the typical thing somebody might look at when they're looking at charts we're also going to add a little bit of volatility to this and that's where the bollinger bands come in not vix but statistical volatility or price volatility okay so what what this means is that when we talk about using certain indicators and we talk about maybe where and you've heard me talk about this before trading at the edges and it's where a lot of what a lot of people feel is uh where things can occur where bounces occur along the edges of support or support to bounce up or bounce down from the edges of resistance so they think that they look at that is that those trades possibly happen at those edges which can be extremes right so when things get extreme uh they can continue to be extreme uh are they or they might not be so extreme so we're trying to define uh those extremes why because sometimes we can use that uh maybe counter-intuitively not so intuitive for a lot of trend followers but maybe use that as a counter trend method to do several different things you can either trade counter trend uh you you might uh do a uh a less bullish position using options you may use options a counter trend type of an idea extremes to hedge or protect your long stocks those types of things sometimes you might use these ideas to say this is extreme i have a certain bias and i'm going to wait for a setup so sometimes you might wait to trade or maybe given you a signal that you can trade in in that directional bias that you have so let me ask you a question if you are bullish and this is something that some people might say yeah i can i can move back and forth fairly easily and that takes probably for most people if they've been doing it a while probably takes a while to learn how to do that so what am i talking about move back and forth if you are are have a totally bullish bias and have only traded bullishly should you you got to ask yourself this question you gotta you gotta not think that you're you're you know better than average should you trade bearishly if you are inherently bullish so these are the types of things that you need to you need to learn so we can still use extremes if we if we still have a directional a strong directional bias like i'm totally bullish the market not going to take any bearish trades this is really moving far and fast oh my gosh i might be missing out maybe we're telling it's telling us that it's at extremes and we can wait for a pullback all right uh got more people rolling in here tony and wayne chuck and lou michael hello hello uh so dylan steps right up to the pump says i seriously can only trade bullishly that may very well for many people be an edge because you're not going to try to do something you don't feel comfortable with so that's important i think important for a lot of people to understand so let's get into kind of to the meat of what bollinger bands are and we're going to add some things to bollinger bands which we did yesterday so i'm going to come in and i'll put a post yesterday's technical analysis and options and we may do similar things today because some of my directional our counter-trend directional bias trades didn't quite unfold but we we still have some but i'll put a i'll post uh in the uh in youtube after this i'll put a link uh above this page here on the spx uh and you can review that if you'd like or you can just go to the uh web page uh to the education page on td ameritrade and go to the archived webcast and find those as well so you can see here for the for those that are in the recording welcome but you're not going to be able to see the chat so i'm going to read this off uh so um chuck says depends on the overall direction of the market so he has a philosophy you need to maybe think about that if you have a philosophy that says if the market is bullish i'm going to only trade bullishly if you have a philosophy that says if the market is neutral you may not do anything you know you may be able to switch back and forth if you're bearish maybe you don't do anything because you don't like bearishness right because dylan says he's uh inherently uh uh uh bullish right and so these are the things that you need if you're fairly new to figure out over time and you can as long as you pay attention to what you're doing all right so we won't go into any uh market review here although the s p 500 up three tenths of a percent uh but the uh but if we look at price action let me zoom in here real quick because this is going to be part of our discussion if we look at price action today and when we do this when we use this kind of method there's lots of things we can do remember i said we can look at support we can look at trend number one support and resistance which is still price activated right so we look at price trend support and resistance price is king they like to say and then we can look at uh around those support and resistance areas we can look at the kind of candlesticks that we might be seeing and today we have a candlestick that was higher and now it's a little bit higher than where it opened we've seen that before but this has broken out and we are you know into the well into the second year of a bull market after the pandemic low so on here i have bollinger bands so for those that might be watching for the first time today where do we find the bollinger bands right here in the beaker this is the edit study speaker this is where we can find a lot of technical studies and the reason we're going to use bollinger bands is and i'm going to show you how to get to them but i want you to understand what you're looking at first before you get to uh caught up into how do i put these on the screen because i want you paying attention to the screen when you see this screen you see you see some bands here you see a band here you see a band here and you see one in the middle okay the middle is a moving average in this case the default is a 20 period moving average the outside bands are are going to be two standard deviations from that from that moving average so two standard deviations up is this upper band two standard deviations down is that lower band now if you're new that's somewhat okay that's that's great but what do we notice about this and if we in in didn't say there was going to be any math but two standard deviations usually encompasses when you look back in time when you look back at price or any any other any other thing that you're you know population heights or things like that 89 of the price action here is going to be encompass 88 89 is going to be encompassed inside of this the upper and the lower bands and we can see how that's occurring they dip out from you know above below so the majority of price action will be inside of those bands now knowing that we have the makings of some kind of near-term extremes um jack also says uh you know your your your bias and everything depends on your uh time period you know as well trading above uh see developing a perspective trading above certain averages right so but in any event when we look at this when we look at this and this is just this is just a snapshot this is no guarantee this will always always be the case because we're going to look at the case here in a little bit well the price pulled down to the lower band and bounced well what was the trend the trend was up price pulled down to the lower band and bounced price pulled down the lower band and bounced and you can see over and over and over again until the bounce was a little bit pathetic okay so let's um back out of this uh let's go back out two years now or yeah probably two years and let's go back to a year ago just a little over a year ago let me zoom in a little bit better here and we can see while the leading into this after the after the trouncing of the bear market of march uh february march uh 2020 market rallied september pulled down to the lower band things expanded out these bands expanded out we're going to talk about yesterday we talked about the expansion of these bands and we talked about what's called a squeeze in these bands and we're going to talk about those bandwidths here in a minute so this is squeeze and then this is a bulge squeezed and then bulged squeezed and then bulged right and so then we see price pull back down and find the lower band and continue that's showing us that uh for all intents and purposes nobody's getting really way out of hand go back out here to the pandemic bear market and we bulged like we haven't seen a bulge in a long time and it just kept dropping right so just because it gets to that lower band this is the this is you where you've got to be careful and this is why we want to make sure we understand risk and check risk at the door this can keep going okay now remember i said you can use this for counter trend trades you can use it for uh directional trades you getting getting in uh in sync with the trend uh you can use it for uh really kind of defining bottoms which kind of falls along possibly defining bottoms which kind of falls along with the trend so today when we look at the s p 500 it has popped up into this upper band and let me ask everybody a question between these two lines do we have a bulge or do we have a squeeze do we have a bulge or do we have a squeeze so rj rg puts in there incorrectly so two standard deviations is 95 percent is absolutely right i always pull that in a little bit i always make sure that we understand that uh it it can be outside of that but mathematically statistically yes absolutely we're in a bulge we're definitely in a bulge uh all right so we're in that bulge so what does that mean it means that price has taken off to the upside so when we talk about volatility when people talk about volatility does volatility just mean one direction down like because we hear the vix you know we talk about the the volatility index which usually means that when things get volatile price drops and the s p and the volatility goes up no volatility in this case can be directional in this case over since the since the october lows the the price has been marching higher and so we might say volatility is to the upside so that's how we're going to work that's what we're going to work with excuse me on this uh today so let's pop over and take a look at the first trade here and this is where we're going to introduce some things so first of all first off let's look at where we find the bollinger bands again i said earlier that they're in this beaker here which is the edit studies and then you're just going to type in bollinger over here you can do that or you can uh scroll down until you get to the b's and find bollinger bands highlight it add selected or double click and it throws it over here to the right side for those that watched yesterday or know who this goes please be please bear with me there there can be uh people that are brand new to all of this and uh so just and i know all of you are very kind and you help them out so all right so that's that's the bollinger bands now we also have on here the bandwidth and the bandwidth is going to give us a a a quicker view or more actually more information about two different things that we just talked about it's going to give us more information about the bulge and about the squeeze and with that we're going to make assumptions that might lead us to certain types of of trades whether it's counter trend whether it's waiting for a setup whether it's using options you know the right strategy for the right situation uh you know not locking yourself into or being at least being able to say no nothing to do here nothing to see here now so the bollinger band width is right here and that's what this bottom pane is so this bottom pane here and it is marked by these purple dotted lines so that's the the upper this is the bulge line up in here so um i'm going to put a b up in there for the bulge and then this purple line down at the bottom is going to be the squeeze line we'll just put an s down there for now no i won't put an arrow apparently and that's down here for the squeeze line and so when we see and we see this green line i can't get my drawing of course that's that's normal we see this green line move up into the bulge line that means that we have a bulge occurring now it doesn't for extremes for extremes and where we might make decisions whether it's counter trend whether it's something at support or resistance whether it's something in the direction that's where these come into that's where the extreme nature that we're looking for comes into play this is extreme so what this purple dotted line is telling us you see these 150s over here now these are defaults you can change them to whatever you want but that says that price is not bulged we haven't seen that kind of deviation from the center line for 150 days and so once it gets into this purple line are these purple dots dash lines up in here we know we are somewhat at an extreme okay now why is that important well if you're looking for if you if you i have i have southwest airlines up here if you're looking to trade southwest airlines and you're bullish only and you start putting all these things together what are the things we look at first price what's the trend what's where support and resistance what's the volume are we getting any indications that in this case are we getting any indications that there could be an exhaustive move up or down in this case to the downside because uh it's been moving down so that's where we look at these bulges are we seeing exhaustion and when we look at this exhaust we look at this bulge here price rallied up into that upper band and then drifted sideways so we had some exhaustion right we had some exhaustion in this case over here since we are always on the right side of the chart price has drifted down to the lower band and the uh action the volatility this is has moved up into the bulge category which means we are at extremes does it mean it can won't go any lower no but this is where everything else comes into play remember that these are indicators bollinger bands is just an indicator it's not something that says hey if it's there then it has to reverse but when we start putting things together price trend support and resistance let's do that i'm going to come down here and get a support line and i'm going to draw along the lows here so now what do we have we have price running into this lower band now you may have a fundamental bias on this and say hey wait a minute oil's going through the roof right and uh yada yada you know and that may impact earnings on southwest you may not be using this and this is since this is active trading we may not necessarily be using this for some kind of a long term determination uh of of trend this could just be a short term expecting some kind of a short-term bounce so when we do this we say well is if you're going to expect to bounce where does where do things bounce things bounce uh people buy and create bounces in theory where demand comes in where does demand come in at support typically so when we look at this well we had demand come in demand come in now it was rejected along the way demand come in and had a pretty strong run which was then soundly rejected back down into here so that could be indicative of something more nefarious out there in the future but it's interesting that on this way down i want you to notice so that's price action sideways rallies up into the upper band couldn't even couldn't quite get to the bulge even though we have a bit of a bulge now we have a a bulge that price action has not been uh this uh uh volatile if you will meaning that we had a lot of downside action for 150 days and we're at support so what else do we see here if we if we put everything into some kind of if somebody were using some kind of hierarchy or you got price transport and resistance then you might have volume why do we notice about the volumes over in here and this is where you know i i talk about volume a lot this is where we want to start paying attention over here a lot of volume coming in as demand came in we expect more volume we expect volume spikes as it comes back into support which we got again here we had a nice run on volume here right and then price came down volume has swelled in this area right in here uh somewhat but it's it's presently nothing's you know by the end of the day who knows presently struggling to move zoom in here below the support area and that's might be supporting volume i noticed in the chats somebody said okay now we look at momentum and that's via the rsi the rsi has pulled down to just above the 30 line what's rsi if your new rsi is a in its most basic form means overbought and oversold because it's a bounded oscillator meaning we have a an upside at in this case the default at 70 that's his purple line and a downside at 30. when it was originally developed anything below 30 was oversold anything above 70 overbought but we also use it as a measure of changes in momentum and uh when we look at this over here well we went oversold readily bounced from there couldn't quite make it oversold and this is something we don't we don't talk about a ton i haven't talked about a ton we usually talk about these levels but what i want you to notice is that again down here near support we've seen the rsi unable to continue to the downside so the information we have in front of us at this very second says that right now there's not a lot of push to continue to just to to sell this down so with that what do we look at next well we have our bulge now we are seeing that we are in an extreme so when we start putting it all together the the bollinger bands themselves are or the price is at the bollinger band themselves they're at a confluence of that bollinger band and price support we're getting some heavy fairly heavy volume coming in but price unable to move lower so maybe there's some sneaky people coming in there buying and we have uh the rsi starting to trend higher and this is why i say this could be a short-term trade because we've not seen the rsi break out and get overbought that's where we're going to look at this as a possibility of a total change in trend so we may somebody may just look at this as a counter trend trade when i say counter trend just buying support and trying to uh see what they see what happens to their uh uh to their share price as price moves higher now together with all that we may make some decisions now come the last thing that we mentioned earlier and that's the candlestick pattern i'm going to just kind of squeeze this down now move some of this out of the way what kind of a pattern are we seeing here at a support area you see how i'm kind of layering all these things putting these things together candlesticks for those that aren't sure what we're looking at here it's just price action it's just open uh open high low and close for the day and a red candle means in this case today it gapped up opened higher and it's down lower it's still above yesterday's close uh so we've got some indecision not nest technically not the perfect what we might call a morning star but the point is we have this indecision right at the support area so we may somebody may decide to make some kind of counter trend move they may buy a call and expect price perhaps to get from where it is now trading at 48 dollars somewhere over in here maybe they expect it to get up into the middle up to 51 dollars maybe their short term swing trades um yeah so let me address tony's question here or comment it says the green line is touching the upper dotted line yes that means that that what that means tony is that we've had an expansion a an inordinate expansion of price in a and it's created this separation between these standard deviation lines uh more so than we've seen in the past and then then he goes on to say but price is uh but the purple line is touching the lower our prices touching the lower band that's where we're looking for extremes what do we know about the lower bands what do we know about standard deviations we know that price is going to say stay inside of these bollinger bands in theory 95 of the time you might want to fudge that a little bit and say 89 90 percent of the time one one one standard deviation is going to be around 89 so those are those are the way it work that's the way it works so we're just looking for those tracks in the sand that say something momentum might be shifting momentum might be shifting maybe perhaps everybody just said i'm done and they're getting out and other people are saying i'm coming in and buying this what we're going to do here is going to come over to the trade tab put in luv and define or decide you know what kind of a trade so let's do and remember this is not a recommendation this is just for educational purposes you know we track all these yesterday we put on some trades uh and these were all option trades tesla was uh doing a lot worse earlier in the morning then it was doing a lot better now it's just but these are going to these are all time going to be somewhat time sensitive but those were based off of the same kind of counter trend type of moves so we're going to do something similar here only we're going to buy directionally we're going to we're going to look for the possibility of no guarantees here of price maybe bouncing off because when we see and you can see this you can watch this yesterday as well when we see this bulge when we see the bandwidth reach up into these bulges oftentimes what happens is there's a slowing of whatever directional move it had right in this case the directional move was down perhaps it'll be a slowing in this bulge uh or a slowing in price moving lower and perhaps it moves higher so we're going to come over here and i'm just going to pick a call stock trading at 47 and a half we're just going to buy an at the money call we're just going to do this one time for uh for sample trades we're going to use this 242 dollars if you're new to options barb teaches getting started with options on tuesdays 11 o'clock eastern time and all this is telling us is 2.42 cents if i can get this to draw in there right 2.42 cents times a multiplier of 100 which is right here so that means that's 242 dollars we're going to spend on this and we're just going to hit confirm and send the idea is that 2.42 cents if price can bounce from 40 and say 48 and make it up to 52 kind of this midpoint up in here that's four dollars if it can do it far and fast then this this two dollars and forty cents in theory could be worth five dollars in theory you know maybe four dollars something but we have a fairly good reward to risk we're gonna use this as our total risk amount two dollars and forty two cents we'll confirm double check everything and send that off and see what happens remember this is counter trend in theory we're filled but we're we're just doing what people have done before what the the traders in this particular stock have done before and that is their they bought at support this is probably the thing that is most uh unnerving right but sometimes not all the time we people get shaken out in price rallies okay let's see if that happens let's move over to verizon and this is something similar uh verizon in a downtrend this is probably a little bit more uh intense so we're going to go through this as well so what do we see what do we what similarities do we see well we don't see a sideways trend we see a downtrend we see a downtrend in verizon we also see the bollinger band but first we go support and resistance and then inside of this downtrend we see kind of this perhaps this flush to this downside perhaps that final capitulation we see volume rise and then what do we see we see price ride this bollinger band down until we get into this morning star type of candlestick pattern as volume rose as you can see volume rising over in here uh meaning that uh perhaps what we're seeing is people throwing in the towel and then demand came in as price rose and then we get the possible makings of a new uptrend yes we are below the downtrend line we are definitely below the downtrend line but are we seeing extremes so one of the things that i would suggest that might be a good idea to do is i'm going to pop this i'm going to come up here to the d and i'm going to come down i'm going to put on a three year weekly chart here's a weekly chart going back three years what do we notice we notice of course different time frames we see a big bulge on the weekly chart but what we're really noticing is we price drifted down or slammed down in in reality really hard three strong three-day move uh recently and a really strong two-week move into areas where uh where they bought before and we assumed the weekly chart price our volume rallying we see the rsi bouncing and heading back up on the weekly chart let's go back to the daily chart and we see the bulge so what we we've already determined downtrend possible uh bottoming pattern where can we see resistance well we can see resistance at this downtrend line it may get all the way back up into this top of this bulge so we have some possible upside we see a possible bullish flag forming uh today we see what's in candlestick parlance what's called the suzuki line meaning we gapped up on the on the opening and we moved above uh yesterday's high or what we would call a close not yet but it's above yesterday's high and if we look at the momentum we saw momentum crater so here's an extreme in the rsi the rsi made it all the way to 20 and you've heard me talk many of you have heard me talk about that before just because 30 is there doesn't mean that it uh it can't get to 20 right 20 and 80 is often times like the last areas of uh of in the case of 20 extreme weakness so we see some extremes there we see a the bulge here we've rallied already now it's pulling back now there's nothing that says that it can't come down in retest right what we're going to do here just for educational purposes only though is we're going to do we're going to buy another call and we're going to go out in time and buy another call and see what can transpire let's zoom out on this and see what else we have here what's starting to possibly develop that we haven't seen uh in a while or it's starting to develop and that is this 40 line this 40 level here suddenly that seems to be an area over the last month or half a month to an area where we're finding support even though we had the final sell-off in here you know i talk about this a lot the climactic selling which is strong push to the downside increases in volume and then it has a tendency to track site the sideways are up and we're going to take an upward bias on this you could you could do a number of things uh with this you could sell an iron condor you could do meaning selling a call spread and a put spread lots of different things you can do but they had earnings earnings came out and if we put our cursor right here i can get this to work here there we go uh earnings in here beat and they and looks like maybe some anticipation of that going in and then they perhaps sold after the earnings came out and took some profits let's pop over here to verizon and here um now the last one we did uh options now remember options carry a a contract fee of 65 cents here let's just buy some shares and so that's what we'll do and it's trading at 53 dollars you can put your if you wanted a tight stop saying if it gets below yesterday is low which is 52 46 that's only 50 cents down from here so let's put it a little bit lower let's get um uh let's put this a dollar lower and see if it gets to 52 than we want then we want out so we'll do this by a certain amount of shares with a stop at 52. if you had a

thousand dollars you could risk on this with a one dollar stop obviously you can you can buy a thousand shares of this and only in theory only lose a thousand dollars now we're going to put a stop loss on that so that say that's in theory because stop losses are not guaranteed they they are not guaranteed to trigger at your activation price so what i'm going to do here is i'm going to right click and come down here to buy custom with stop click this little link here because we're going to buy it right now on a limit i'm going to do 500 shares though because i'm a chicken make sure we've got our our sell order to buy excuse me sell 500 and have our stop at a dollar lower that's really fairly tight but we're expecting movement right now at least up into this uh up into this fifth up into this uptrend where you may decide somebody may decide to take profits there we're going to leave this good till can or put our stop good till cancel in here and buy those 500 shares double check everything make sure you got the right stock number one uh i don't know if you've ever had that happen but 500 shares at 5305 on a limit to open that trade with a stop loss not guaranteed uh to activate it 52.05 as a matter of fact let's edit that and make that 52. there you go confirm and send double check everything now we've got our stop there and boom we'll send that off now we're long long verizon yeah sorry don't mean to laugh for the you know tom says if i lose a thousand dollars i'll be a billionaire in reverse excellent all right sorry for my my voice some of you know the situation okay so let's see we've short on time here uh here's csx now csx is kind of a is going to be kind of a different thing this is where we talk about possible setups if you think about transportation transportation index and we'll talk about this tomorrow in my um market and sector analysis dow transportation is making new highs transportation index is making new highs so we have railroads making new highs so what do we notice about this this is the complete opposite of what we've done and this is where this whole discussion we started off with if you have a bullish bias is this a little bit ahead of schedule on this on on this uh on this run to the upside because it's been running pretty strongly doesn't mean it can't go higher but is it a little bit ahead of a schedule what do i mean are we extended what does the word a lot of people use rally nice nice volume here we are closing in on that 80 area on the rsi and we've got a bulge uh that's that's pretty wide so how much more upside does it have so counter trend you can do what we did yesterday with unp which we sold a call spread above the market on unp you can see it's very similar or you could say i like for whatever reason i like this stock stock a better than stock b but i'm bullish only so you may wait for a relaxation so where does that relaxation take place now that we know we have something that's saying hey this could be radically possibly radically bullish or not we don't know for sure but we know that it's broken uh resistance gapped up above resistance on a breakaway gap maybe it pulls back down to here to the old these old highs in here but it's telling us that this is overdone now when an rsi gets up into 80 it doesn't mean that it's so overbought that the party's over it just means it can mean that there's more upside to come especially when we look at the structure of this sideways action in here the structure of the sideways action says there's some coiling and i want you to notice thinking about southwest airlines the bulge down in here was kind of a stop a stopping i don't want to say mechanism but an idea that maybe that downward tr downward uh trudge was going to start to slow and then it starts to move back up so here you've got two choices sell you try to try to trade it opposite of this direction trading just for a few bucks to the downside you could get beat up pretty good because if we look at uh unp from yesterday it kept going higher and which we expected uh button so that's why we chose the strategy we chose yesterday again watch yesterday's so so that is the idea is counter trend trade or wait for the setup oops wait for the setup to pull back to an area because if this is a new trend if this is going to start to trend then what may happen is we may see price pull into the midpoint of the bollingers to the lower band give us lower risk opportunities to enter into those trades here if we see the midpoint and the price support come into play together maybe that's a lower risk idea no guarantees here yeah so the the top band it just so the question becomes and i gotta hurry here jack says what does the show bollinger band width show it shows the that's a great question i i was going there and i stopped you see this squeeze right here that's this point right here now that squeeze is not the lowest squeeze it's had in a while this squeeze right here where we see this bandwidth touch that lowered uh purple line let me uh do this real quick so you can see that better that bandwidth is telling us that the tightness in here is this tight as it's been for 150 days so that kind of brings us to an extreme extreme areas when it's up into here it's the it's the widest between the bands than it's been in 150 days so those are extremes those are what's showing us all right if there is a survey please fill out that survey and give us your comments we use those comments coming up next is john mcnichol with swing trading so please join him if you like what you saw today today please give us a thumbs up we're going to continue this out there so thumbs up on youtube watch the past youtube subscribe subscribe subscribe you subscribe to youtube you can find the stuff barb and i have done and all the other uh td ameritrade coaches uh trade uh on uh in a more easy way so again you can follow us on twitter at people only underscore tdo a and share this with somebody that you think can benefit from this so extremes looking for extremes looking for indications of extremes that's the whole point of this using price trend support and resistance momentum volatility volume to make hopefully better decisions with that we're doing this for educational purposes only and you're responsible for your decisions that you make in your self-directed account so long [Music] you

2021-10-29 10:26

Other news