• Price retraces to the middle band for support/resistance
• Confirmed with candlestick reversal patterns (such as hammer, engulfing pattern)
Operations:
• Go long at middle band support, set stop loss below the middle band
• Go short at middle band resistance, set stop loss above the middle band
• Take profit based on Bollinger Band track
IV. Key Points for Risk Control
1. Position Management: No more than 5% of total funds per trade
2. Stop Loss Setting: Must set a stop loss to avoid holding onto losing positions
3. Trend Judgment: Combine with higher timeframe trends and follow the trend
4. Avoid Frequent Trading: Wait for clear signals before taking action
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Strategy 2: Middle Band Support and Resistance
Entry Conditions:
• Price retraces to the middle band for support/resistance
• Confirmed with candlestick reversal patterns (such as hammer, engulfing pattern)
Operations:
• Go long at middle band support, set stop loss below the middle band
• Go short at middle band resistance, set stop loss above the middle band
• Take profit based on Bollinger Band track
IV. Key Points for Risk Control
1. Position Management: No more than 5% of total funds per trade
2. Stop Loss Setting: Must set a stop loss to avoid holding onto losing positions
3. Trend Judgment: Combine with higher timeframe trends and follow the trend
4. Avoid Frequent Trading: Wait for clear signals before taking action