Stochastic Bollinger Bands Indicator

Stochastic Bollinger Bands Indicator

Stochastic Bollinger bands indicator for mt4 – download free. Best overbought and oversold mt4 indicators. Trend reversal indicator for mt4.

The Stochastic Bollinger Bands indicator for MetaTrader is simply a combination of two technical indicators: Stochastic and the Bollinger Bands. The indicator helps you to identify better trading setups at Overbought and Oversold zones.

The upper and lower bands of the Bollinger Bands are considered overbought and oversold zones, respectively. Stochastic acts as a confluence for trade entries.

Theis indicator is ideal for both scalpers, day/intraday, and swing traders. Furthermore, the indicator is also ideal for novice and experienced traders.

Stochastic Bollinger Bands Indicator BUY/SELL Signals

The above screenshot depicts how the indicator would look on your chart after installation. It also shows how to identify high probability setups.

The YELLOW line is the Stochastic indicator, while the three WHITE lines represent the Bollinger Bands. The indicator is recommended to be used along with price action and/or other technical indicators.

BUY Signal: Firstly, Wait for the Stochastic line and Bollinger Bands line to meet at the OverSold zone. With the above condition, you may open a BUY/LONG position after the price also prints a bullish reversal candlestick pattern, e.g. bullish engulfing, hammer, pin bar, etc.

SELL Signal: Firstly, Wait for the Stochastic line and Bollinger Bands line to meet at the OverBought zone. With the above condition, you may then open a SELL/SHORT position after the price also prints a bearish reversal candlestick pattern, e.g. bearish engulfing, pin bar, inverted hammer, etc.

Conclusion
The indicator for MT4 is the best tool for trading overbought/oversold zones of the financial market. Besides, it stands on a separate window and doesn’t interfere with your regular technical analysis. Finally, the indicator is free to download.