Articles for: Bollinger

The truth will set you free but first you will want to slash your wrists.

With the equity markets still in disarray from the tight global credit environment, many observers will be looking forward to 2009 with continued pessimism.

In the last edition of the Trading Tutors Newsletter I wrote an article about picking strong or weak sectors and choosing long or short trading opportunities within those sectors.

At the very beginning of the year there were a multitude of shares that looked like they were offering value.

Seeing John Bollinger speak a few years ago at the Oasis conference in Santa Clara, USA was a great experience for me personally – his Bollinger Bands indicator is one of my favourite technical tools.

Bollinger Bands are one of the most widely used and well regarded technical indicators around. One of the reasons for their popularity is that they are a directional analysis tool as well as a measure of volatility.

I suspect from some of the feedback we receive that many readers are still torn between media hype and the underlying reality. This is a real issue particularly when you start off trading, but if it is any consolation, even experienced traders are at a quandary at times as to what to believe.

Our market was again US driven last week. The Australian bourse spiked on Tuesday in reaction to the positive response by US investors to the 8.2% GDP growth in the September quarter. Without taking anything away from the US markets, what is more important is what future level of GDP growth can be sustained? The 3rd quarter growth was largely from increased consumer spending part of which came from a tax cut but also some came from an increase in “fantastic plastic” credit which adds to the lurking “indebtedness” bubble.