How to Set Bollinger Bandwidth on MetaTrader 4 Charts - Adding MT4 Bollinger Bandwidth Indicator
Step 1: Open the Navigator Window on Trading Platform
Open Navigator window as is shown and illustrated below: Go to the 'View' menu (press on it), then select 'Navigator' window (press), or From Standard Toolbar click the 'Navigator' button or press key board short-cut keys 'Ctrl+N'
On Navigator panel, choose 'Indicators', (DoublePress)
How to Add Bollinger Bandwidth in MT4 - MT4 Bollinger Bandwidth Indicator
Step 2: Expand the Indicators Menu on the Navigator - Adding Bollinger Bandwidth MT4 Indicator
Expand this menu by pressing the expound(+) button feature mark + or doubleclick the 'indicators' menu, after which this button will appear and be shown as (-) & will now display a list just as shown below - choose the Bollinger Bandwidth forex chart indicator from this list of indicators so that to add the Bollinger Bandwidth on the chart.
How to Add Bollinger Bandwidth - From the Above window you as a trader can then place Bollinger Bandwidth that you want on the chart
How to Set Custom Bollinger Bandwidth to MT4
If the indicator you want to add is a custom indicator - for example if the Bollinger Bandwidth you as a trader want to add is a custom indicator you will need to first add this custom Bollinger Bandwidth on the MetaTrader 4 software & then compile custom Bollinger Bandwidth so that as the newly added Bollinger Bandwidth custom indicator pops up on the list of custom indicators in Meta Trader 4.
To learn how to install Bollinger Bandwidth indicators on MT4 Platform, how to add Bollinger Bandwidth window to MT4 and how to add Bollinger Bandwidth custom indicator on the MT4 Software - How to add a custom Bollinger Bandwidth in MT4 Platform.
About Bollinger Bandwidth Example Explained
Bollinger Bandwidth Analysis & Bollinger Bands width Signals
Developed by John Bollinger.
This technical indicator is derived from the original and initial Bollinger technical indicator.
Bandwidth is a measure of width of Bollinger Band
Calculation
Band-width = Upper Band - Lower Band
Middle Band
This is an oscillator trading indicator, based on the theory that price and volatility occurs in cycles.
Periods of high volatility is followed by the periods of low market volatility.
When volatility is high, bands are far apart, the bandwidth will also be wide apart.
When volatility is low, Bands are narrow and the band-width trading indicator will also not be narrow.
The blue line represents the highest Bandwidth value reading for a previous number of specified periods.
This line also identifies the periods of high volatility
The red-line represents the lowest Band-width value reading for a previous number of specified periods.
This line also identifies the periods of low market volatility
Forex Analysis and How to Generate Trading Signals
Consolidation - Bollinger Squeeze
Bollinger Bandwidth is used to identify the squeeze, which is a consolidation period of price, after which the price then breaks-out in a particular direction.
The Signals are derived & generated when there is a price breakout - signal is derived/generated by the indicator beginning to go up after touching the red line. When the band-width line starts and begins to move up it signifies that market volatility is rising as the price is breaking out.
Squeeze
Break Out Signal After Bandwidth Squeeze
However, this is a directionless indicator & needs to be combined with another technical indicator such as the MA to figure out the direction of the trend/ Break Out.
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