Bollinger Bands

Bollinger Bands

Bollinger Bands are a technical analysis tool invented by John Bollinger in the 1980s, used to measure market volatility and identify overbought or oversold conditions in a market. The bands consist of a middle line, which is a simple moving average (SMA), and two outer bands that are standard deviations away from the SMA. The distance of the bands adjusts based on market volatility